TD Bank / posting practices

NJ, United States Review updated:

I hope someone is investigating TD Bank's posting practices. I wrote a check and placed it in the RENT DROP box of my apt. complex office on Tuesday morning. As of late Tuesday night, the check had not been presented (as you would expect). Every Wednesday morning, my direct deposit goes in. The rule for direct deposit is: funds are available at the opening of business that day.

When I next checked my account, the rent check had been posted prior to the direct depost, and I was charged 35 dollars, which caused another overdraft and another 35 dollar charge, and a third...

How can a paper check presented at another financial instituion (I confirmed w/the rental office) hit my account on the same day and before my direct deposit, when it was not showing that night? How can they post debits BEFORE credits? Why do online payments go though when there is not suffcient funds and hit me for 35 bucks, instead of generating a no-cost message that my payment did not go?

Customers should be closing their account and fleeing these financial pirates in large numbers.

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  • Se
      8th of May, 2010

    TD Bank's check posting policies are paramount to fraud.

    I check my account online regularly, and when I don't check it online, I call the banking line to check my account balance. I had paper checks outstanding I knew were going to post to my account. On 5/5 the check still hadn't posted, so I went out and picked up a couple of things, knowing there'd be more money in my account on 5/6. At 12:01AM 5/6 the check outstanding still hadn't posted to my account. On 5/6 when I got up in the morning, the check posted to my account, but my bank statement claims it posted on 5/5, even though it wasn't there the previous night and even after midnight this next morning. So TD Bank not only posts the check to my account, and they paid it, but they charged me overdraft fees, not for the check, but for the two transactions I made the previous day that did not bounce the account, because those transactions were still pending, but when I made those transactions, I had plenty of money in the bank.

    Now, another issue I have with them is this. I make purchases for oil, and it shows up on pending transactions. We use oil heat, and it's expensive. So I have $400 pending when I buy the oil. The next day, the pending transaction is gone, it hasn't posted to my account, it's just gone, and the money is back in the account like it never happened. 3-5 days later, the account actually goes through. That issue has never actually bounced my account, but what's the excuse for disappearing pending transactions?

    I hope that sometime in the near future the banking regulations change specifically with this bank in mind. In the meantime, I will have to choose between Wachovia, Bank of America, Lakeland Bank, or Chase.

    0 Votes
  • Ti
      8th of May, 2010

    If you subtract the check amounts in your register as soon as you write them, it won't matter when they post. It's very very simple to avoid overdraft fees.

    +1 Votes
  • Mi
      12th of May, 2010

    It's amazing that TD Banks policy is to post the largest amounts to your account first. The reason they do this is so when your deposit brings your account into the POSITIVE they can take out that large chunk of OVERDRAFT FEEs and put you back in the negative and then charge you for the six withdraws after that (which average 3-6 dollars). It's a total scam that lets them make money on a $2 cup of coffee. In 2 days I deposited $750 out of which they took $385 for overdraft fees... and they wonder why people can't make it today!

    Why don't they charge a % of what they cover for you instead of a flat fee??? Why because they'd make no money that way... The customer service rep I spoke with assured me that the BANK is not making any money with overdfaft fees.. HAHA What a laugher... I told her that I knew she worked at the bank so she had to be "PRO-BANK" I beleive that there is a special place that BANK big wigs will go to EVENTUALLY.

    0 Votes
  • St
      12th of May, 2010

    While I agree with Tired of stupid I just had the same problem with this bank and yes I am very diligent with my record keeping and I never overdraft. I went to a movie and purchased some refreshments then the next evening my mother bought the wrong food for my dog, he is allergic to corn and certain kinds of nuts. I called her and she said if I fixed the problem she would pay me back only after I explained the situation to her, when I got home she went back on our deal. I scrounged up the five dollars which I deposited the next day to cover the transaction. They kept my deposit pending until the next day intentionally (cash is cash and should appear immediately nothing needs to clear) so when the other pending transactions came through it would overdraft my account. The problem is 2 of the 3 purchases were from the same vendor and they should have posted them chronologically by date or by vendor they place the one that was from Sunday night first, then Monday night and last the final Sunday night purchase. It looks like this,
    05/11/2010 DEBIT CARD VISA DDA PUR
    CINEMAGIC QPS SACO *ME $.35 -$4.59
    05/11/2010 POS DDA PURCHASE *0050
    HANNAFORD 0389 WELLS *ME $7.35 -$4.24
    05/11/2010 DEBIT CARD VISA DDA PUR
    CINEMAGIC QPS SACO *ME $8.77 $3.11

    Notice how I did not post any personal information by doing this.
    There are two larger issues here, first what they are doing is unethical and I have seen many businesses be shut down for such practices, second unethical and all what they are doing is also illegal and could be classified as borderline extortion, see definition.

    In the United States, extortion may also be committed as a federal crime across a computer system, phone, by mail or in using any instrument of "interstate commerce." Extortion requires that the individual sent the message "willingly" and "knowingly" as elements of the crime. The message only has to be sent (but does not have to reach the intended recipient) to commit the crime of extortion.
    Basically they are willingly and knowingly doing this but will not admit the offense because if they do it would incriminate them for said crime. In my case the message was not only sent but received via the online banking.

    Remember, almost all of the banks in this country are a member of FDIC who's job at the moment is to insure and protect 250, 000 dollars of a person's money and it is my understanding that any bank who has entered into an agreement with the FDIC has therefore agreed to protect peoples money. While some fees are fair and necessary there are limits and should not be allowed to con us hard working blue collar citizens out of their money.

    It would be absolutely fantastic if someone out there would do the right thing and create a bank that was honest and fair. There are ways to make money without deceit.
    I will leave you with a pair of quotes
    Honor: It is better to fair with honor than to win be deceit;
    Truth: Always do right, this will gratify some people and astonish the rest.

    +1 Votes
  • Mo
      2nd of Dec, 2010

    I just opened an account with TD. I deposited $250 cash via the ATM on 12/1. My receipt says $101 of that is available...ok fine. I then go out to get dinner and used my debit card. I got home and checked my account to see I was in the negative and the deposit I had just made didn't show up. I called and asked WHERE my deposit was and that I was in the negative when I shouldn't have been. Rep said he could see the deposit was made but there was nothing available to use due to the 'new account hold'. I asked well why is that not reflected on my receipt?? He gave me some gibberish and I was telling him if I had used my debit card and been humiliated bc my card was rejected I would have closed the account and gone right back to Chase. Funny how fast that $100 became available. As of this AM 12/2 I now see the $250, of which $150 is pending. MESSED UP!

    0 Votes

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