How to Reverse Bank Overdraft Fees
Written By TarikOverdraft fees and other various customer penalties have quickly become the banking industry’s most profitable source. Your personal bank makes more money on fees and penalties than it does financing loans.
For example, Bank of America charges $35 for overdraft fees unless you have the coveted Overdraft Protection, which I highly recommend signing up for. Whether your bank has overdraft fee protection or not, here’s a step by step tutorial on how to reverse your banking fees.
The Overdraft Fee Reversal Process
You just made a purchase with your checking or savings account, but quickly realize you do not have the funds to cover the charge. Suddenly your teeth cringe, and simultaneously the dreaded overdraft fee notice starts heading to your mailbox. Should you panic? Of course not, you’ve been trained in these situations. That frivolous banking fee can be reversed in less than 3 minutes. All you have to do is call up your bank and ask to speak to a manager.
Most of us have called our bank and inquired about the charge; Few are lucky enough to receive the credit after their first inquiry. The representative may deny your request initially, but you should now ask to speak to a manager. The #1 mistake people make when calling their bank is only speaking to a representative. These employees have zero authority and are no more than mere automatons. Here’s what you have to do.
5 Steps to Reversing the Overdraft Fee
1. Contact your bank and ask to speak to a representative.
2. Explain in a kind manner that the overdraft was a mistake and request its removal.
3. Ask to speak to a manager who maintains higher authority if the representative will not reverse the charge.
4. Request a fee removal once connected to the manager.
5. Unless your overdraft is highly conspicuous, your fee should be removed in no time.
If you ask in the correct manner, you will receive.
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Post/Read Comments
November 6th, 2006 at 11:09 am
Great post. But I talk to a human first. That way I can still call the service center later on.
May 3rd, 2007 at 6:46 pm
just a quick comment to your website, you made the indication that if someone gets a $35 dollar OD fee and if they want the money back they should go to a manager and instantly the OD fees will be refunded. I must regrettably disagree because as much as anyone would want that fee to removed, just because the call is escalated to a manager does not necessarily mean the fee is going to be removed. I found that out so you may want to redo that info you want to or not that is purely up to you but I wanted to let you know, thanks for taking time in showing your opinion on how a OD fee could be refunded.
May 5th, 2007 at 2:17 am
If you maintain a good history with bank and are an asset to their company, then they will most likely refund the amount. The only time I’ve encountered difficulties is when I either dealt with mediocre firms or missed a few payments in the past, which hurt my integrity.
It really depends on who you bank with? Bank of America always refunds my request. Who do you bank with?
July 7th, 2007 at 2:09 pm
[…] 3. Send yourself an e-mail - It may sound creepy, and you’ll probably accuse me of talking to myself. Nonetheless, self reminders are as powerful as you make them. For instance, my checking account balance reminders have saved me hundreds in overdraft fees. […]
December 7th, 2007 at 8:24 am
This article is grossly untrue. I work for one of the largest banks in America, and we do not follow the principles listed above. The representatives actually have more lee-way in deciding to refund fees. Managers are held to the policy of the bank, and rarely refund just because you request to speak to them. OD fees are our main income, and we are surely not eager to give our income back. Customers are notified in writing ahead of time that overspending their account may result in fees, plus we have a responsibility to our shareholders to return a good dividend to them. Point blank, don’t believe this story… you will only be disappointed!
December 7th, 2007 at 10:26 am
In my personal experiences, I receive overdraft refunds if I call in and ask enough. Sometimes it takes 4 or 5 separate calls to get the refund; The key here is persistence. While I agree that Banks need the overdrafts for revenue, no corporate banking giant can withstand a persistent customer who asks for a break now and then.
If you can’t even get $35 back from a multi-billion bank, you need to find a new bank!
January 5th, 2008 at 4:23 pm
If you have a business with a large amount of cash with them, hold that over there head: if they don’t credit your personal account, you’ll move your business account.
January 31st, 2008 at 9:34 pm
I just contacted Bank of America regarding an overdraft I had, used your method and it worked! Thank you very much for the advice!
March 8th, 2008 at 2:29 pm
As the old saying goes, “you can get more flies with honey than with vinegar.” I was able to reverse over 100 dollars worth of odf using the steps above, with a touch of honey-sweet politeness. Of course, I don’t actually like bofa, or the people they pay to gouge us, but I was polite and courteous, and that made all the difference in the world. Remember that the person on the other end of the phone did not personally take your 35 dollars! They are probably being screwed by bofa just as bad as you were, an wold love to help, but you need to help them by being nice, even if you don’t mean it. Honey may help, but honest to God bulls**t will really get the most flies.
May 8th, 2008 at 1:07 pm
I used to work in bookkeeping at a bank and I learned that they will reverse charges more often then people think. It will vary based on if you overdraft all the time or just a once in a GREAT while. Yes, its also true to be polite, explain what happened, and ask very very nicely and most of the time they may refund all of it, or at least a portion of the charge.
May 10th, 2008 at 5:45 pm
@ Jackson
Good point. Make them work for your money.
@ Mr. Grateful
I’m glad the method worked for you! Congrats
@ Raoul
Politeness will always open a few doors. Most employees understand that BofA is out to make your money theirs. With a little honesty, politeness, and persistance, you can get things done.
@ Shana
Usually the banks will refund 100% unless of course, like you said, it’s a recurring problem. One time, Bank of America only refunded 75% of the fees, even though I’ve been a customer since I was born! That really ticked me off, so I switched accounts!….And I asked so nicely!
June 23rd, 2008 at 2:45 pm
I agree with Big Bank Employee. The fact of the matter is that it always depends who you talk to. When I received customers with problems of this sort, I would refund depending on the situation. After refunding more than enough to some customers, they still don’t keep track of their personals so I would not refund to them again. Other employees will just say no and keep with it if you are any bit rude. It always depends on the representative so try to become friends with them. That should guarantee overdraft refunding.