I just received a letter from US ALLIANCE Financial and they may close my saving acc. for in activity .. What, I have cd with a large amt. and interest ... I can't believe what I am reading . They said I have to send money and all this crap... I don't need the savings acc. but we had $10.00 in it in order to open the cd. Now I tried to set up a transfer and they won't so far except it. so far... I did not expect this kind of stuff. I had this happen before and took my cd. out and ran from another credit union ... They have my money in there and I have to write out a check and crazy , Time consuming maybe they should pay for my time... Anyone know or have this done to them.. Everything looks ok on line but I had 10 dollars and not it shows 5.00 total balance.
This is why:
The #1 Rule Anytime You Open any Account At a New Bank/CU:
(Unless that new place is to be your PRIMARY bank where you'll have lots of activity):
As soon as you join a new credit union (or a bank), set up automated ACH deposits (for 5c or 2c or any tiny amount, it doesn't matter how small it is) every 6 months so that you never get hit with "inactiviy".
It means more work in the beginning -- I consider it part of the work of "joining" -- but once it's initially done, you can forget about it.
So if I join Credit Union XYZ, as soon as I become a member, I immediately set up automated payments for 2c every 6 months from my primary bank/credit union into the place I just joined.
It's either that, or you have to remember to manually do some activity every few months, which is unsustainable if you have more than just a couple places, to remember to do that. It doesn't matter if you have a CD there... if you have a savings account as well (mandatory at most places) if there's no activity after a while there will be consequences.
That's why it's showing $5 now instead of $10.. most CUs require you to keep $5 to keep your account open, the rest (above the $5) they probably took as the "inactivity fee" and just left the required $5.
I know it's a bit of work to set up automated transfers, but again, I consider it part of the work of "joining" a new bank or credit union, and always do it as part of the initial process. Once it's set up, you can forget it. All you have to do is make sure you have $2 or $3 (to cover those 2c every 6 months transfers to the various places)
My experience is that some do require activity in a checking or savings account you have despite a CD. So, you have to ask into that at each place you open a CD and consider it. If they require the activity, then do it or don't place your CD there. Do it either manually or set up an automatic ACH in and out from your hub account.
About having $10 in your account but now seems to be only $5. Likely they took out the $5 as the inactiviy fee, and will do so every month -- until you go below minimum, which likely is $5. At this point, they probably have frozen your account as inactive. (Or, you might be seeing $5 AVAILABLE in the account, but still have $10 in it. Too many places confuse with how they show that. But if they are talking of closing, then they certainly took out an inactivity fee.)
At any rate, call the CU, tell them this is a big surprise, you didn't know you were supposed to have a transtion every however long, 6 months, 12 months whatever. Ask if they can reverse the fee they charged, and it woud have been nice if they had sent that message in advance of an inactivity fee so you could have taken care of it. Most places, not all, will do at least the one-time reimbursement. Either way, they will take the feeze off the account, and with that, you can make your ACH transfer into it.
"Accounts are considered inactive when there is no member initiated activity after a period of two years."
"Inactive Account Tracking $5.00 per month."