Federal judge in San Francisco rules against Wells Fargo in action over it processing larger debits before smaller debits, regardless of which comes in first, in what the court ruled was an illegal effort to cause maximum bounced checks and bounced check charges. Court orders Wells Fargo to pay $203 million fine.
http://www.latimes.com/business/la-fi-wells-20100810,0,5994603.story This is VERY similar to the practice by Alliant Credit Union that I complained about in this forum previously. Alliant allows you to access your account online and set up transfers between accounts to be done on a future date. However, I found out he hard way that Alliant choses not to do that transfer that you set up in advance until later at night. But all day long as checks or other debits come in through the ACH, Alliant processes them -- and will bounce them for lack of the funds that transfer was designed to cover! When the day is over and all the ACH debits have been handled -- and bounced, with the resultant bounce fees, if they needed that transfer -- only then does Alliant put the transfer you set up in advance into your account!
What Alliant is doing is even worse than what Wells Fargo was doing!
