Centier BankOverdraft fees

L
This review was posted by
a verified customer
Verified customer

A self-proclaimed community bank, Centier Bank, located in NW Indiana, has some of the worst overdraft fees in the area. Competitors, at least, offer options to by-pass these fees - through monthly-fee insurance, or an approved line of credit. Both of these either eliminate the overdraft fee, or only charge you for interest due on what they covered (pennies). Centier, however, slaps you with a $35 fee, regardless of your overdrawn amount, and will continue hitting you with this fee if you don't get the balance back above $0, or if additional debit card transactions or checks hit your account, repeating the overdraft fee nightmare. As a privately held bank, with the majority held by the founding family, you can see the motivation. Employees are discouraged from reversing these fees. If you overdraw your account by $2, lasting 3 days and getting a $35 fee, you are paying an APR of 212, 916.67% in interest - worse than loan sharking. Fair would be a $.50 charge on a 3-day overdraw of $200. This calculates out to be over 30% APR. Add to this, their processing of withdrawals before deposits, and withdrawals being processed in descending order - regardless of their transaction order. Both these tactics result in potentially higher fee revenue for them. Do they really care about their community, or just themself?
I've seen days where withdrawals and deposits take place, netting out to a positive balance, but because of their so-called money-making strategy, fees were assessed because the deposits were processed last.
If you do business with them, I encourage you to research area competitors who may care more about their customers' satisfaction instead of their shareholders.

Responses

  • Lm
    LMG Davison Sep 06, 2018
    This comment was posted by
    a verified customer
    Verified customer

    I have typically been satisfied with Centier Bank, until recently. Now, I'm disgusted and any reasonable person would agree. As a single parent household struggling to get ahead, after continuing education and graduating with honors at Valparaiso University, I'm disgusted with an excessive fee charged to my account with a simple transfer. I was advised to put some money in two low-to-no risk accounts. Earlier this year, I advised the Account Manager for Allianz at Centier that times are tough and I would like to close the account when it's ready and transfer the money to my money market account. He advised of the timeline available to transfer. Closer to that time, I tried to make contact with him and he was out due to health issues. I was transferred to another representative. I felt uncomfortable with that, but it was necessary as he wasn't going to return soon. I spoke to the other representative on the phone and she advised to "wait until after a certain date not to be charged any penalties." So, I said, that's fine, I don't want to lose any money. On the day that I met with her. She had a basic document for me to sign to confirm the closing of the account and transfer of money to my Money Market account. No fees in the document, no discussion of any fees or charges. I was out of there within 10 minutes max. She just said I would have to wait a couple of weeks for the process and transfer. About three weeks or so later, I receive a statement that the transfer was complete and they charged me close to 600.00 dollars! Approximately, 584.92 to be more precise. For a no risk-low risk account that was excessive and undisclosed taking of a single mothers money! I have sent emails to the Account Manager with little and no response. The first response he was turning me over to their lawyer. I received a letter from the lawyer to communicate with him. I emailed the A.M. again saying, he was my AM and I would like for him to be the liaison to rectify this wrongful taking of my money! I have allowed enough reasonable time and sending a couple of emails to get a reply and with no response. Now, I must reach out to other authorities to right this wrong and, yes, thievery. The way this whole thing unraveled was mishandled and deceptive. I'm very upset!!!

    0 Votes
  • Rp
    rppt Jan 12, 2016

    I agree. We had bad experience with business checking, they don't help customer when it comes to making deposit first. Very bad bank.

    0 Votes
  • Lm
    LMG Davison Sep 06, 2018
    This comment was posted by
    a verified customer
    Verified customer

    @rppt Agreed.

    0 Votes
  • Lu
    lurch Feb 13, 2014
    This comment was posted by
    a verified customer
    Verified customer

    Mr. Tired of Stupid. Find your brain. Centier's tactics will crush even the wise spender. I've watched people who have deposited cash in the morning and proceeded to purchase items with their debit card later that day. Low, and behold, what does Centier do - they process all the charges first, from the largest to the smallest, before they process any deposits. The net result may calculate out to an increase in your bank account (to the account holder), but with this little tactic, they plunder the money before you even get credit for it because they follow up the overdrafts with the excessive fees before you get credit that may bring you back up above ZERO..

    1 Votes
  • Mi
    Micele Aug 04, 2013

    "Tired of Stupid, " gives a classic bank customer service rep. answer of, "Of course, you could stop stealing money." This ridiculous and typical response is usually said by either someone who works or has worked for this bank, another bank, or simply doesn't have a clue and it's so simple to say, "Stop stealing money." Because the bank has this privilege, a said fee, and allows for its customers do it this, it would NEVER be considered stealing, although you would enjoy believing so. It would only be considered as such if the overdraft service never existed but voila! It does! Centier bank is a fairly large company, almost as annoying as seeing Starbuck's at every corner in downtown Chicago. If one person overdraws their account, there is a fee of $34.00. What has not been added, is if your account is not brought to a positive balance and is not paid by a certain date, it begins to accumulate ANOTHER fee of $34.00. I'm not great in math, but I believe that is already almost $70.00. For one person. Double that, triple that, multiply this circumstance from hundreds of people and imagine the plethora of cash coming in. A lot of people don't even bother to dispute their fees so they pay them without giving the bank a hassle! And you KNOW, some of these fees go to pay the bankers that work there. So, "TiredOfStupid, " you're going to have to be a little more convincing because some of us have common sense and have multiple college degree's. This is really basic. Your comment is too easy to dispute.

    1 Votes
  • Ti
    Tired of bank scams Jul 06, 2012

    Mr. Tired of Stupid, or should I say Mr. Stupid...Just because someone makes an error does not mean they should have to pay hundreds in fees. I have made deposits to cover bills coming in and the bills came in the same day as the deposit. They did not put the deposit through (and it was CASH!) but put through the checks. They put the deposits through last. I have received letters from attorneys involved in law suits with Fifth Third and they have offered all customers compensation for this dishonest practice. You can call people stupid all you want, but the bottom line is that the banks that are doing this are being dishonest. If a deposit comes in before a check, the deposit should be put in first. NOT THE CHECK!! If I put cash in my account, and my account has a positive balance, I should not find out the next day that I am overdrawn because they chose to put in checks that came through first before the deposit. Mr Stupid, you can blame customers all you want, but the bottom line is that if you think that is ok then you are no better than these bank scammers themselve (and maybe you even are one!!!)

    0 Votes
  • Ma
    Matt McCoy Nov 29, 2011

    I just closed my account with them, the manager was rude and wouldnt reverse a $30 dollar fee, its very easy to get these fees there, i do alot of bill pay and if your calculations are slightly off it could cost you hundreds.

    Also i vouched for no overdrafting at all I.E. if the moneys not these don't let anything take it out so you don't get the fee. But i guess these banks thinks they can do whatever they want and think the people will just put up with it. All these fees are major marketing ploys, this is where they make the big bucks.

    0 Votes
  • Lu
    lurch Dec 26, 2010
    This comment was posted by
    a verified customer
    Verified customer

    Mr. Tired_of_Stupid: Are all your comments derogatory? Browsing them, it certainly appears that way. If all you have are insults for those running into trouble, this isn't where you need to be. Guiidance is sought, not criticism (of everything).

    2 Votes
  • Pr
    pretty_princessb Sep 02, 2010
    This comment was posted by
    a verified customer
    Verified customer

    This is common of all banks it seems now. I had the same problem with Fifth Third in the past. We had a few checks returned to us when we got married, well after taking out the checks, that left with with a negative balance. So not only were we charged the returned check fee, but also OD fees resulting in almost $400 in fees b/c they too processed the transactions coming out from largest to smallest. Their response to my question as to WHY they do not process them in the order they were authorized was that they pay the largest first so that things such as your rent/house payment, car payment, utilities, etc will be paid/not returned and all other items like that $.50 charge at the gas station will get a $35 fee. So it's not just 1 fee, it's a fee for EVERY SINGLE transaction that puts you below $0. We even had transactions for a $1.00 out there that got a $35 fee smacked on. This is the problem with the banking industry. The government needs to regulate the amount that can be charged in fees as coming up with $400 was difficult, but then what about the checks/debits that still had not cleared. We also had to make sure those didn't OD us or the whole cycle begins again. It's ridiculous!

    0 Votes

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