I’m looking for people who have experienced problems with their creditors due to a failure of an electronic payment that was not their fault.  If you have an agreement to pay a debt via ACH (automated clearinghouse), debit card, phone check, direct withdrawal, or other electronic means and for some reason (like a computer glitch, malfunction, bank error, or other screwup), the money never went from your bank to the creditor, the creditor is supposed to give you time to try the transfer again or fix the problem before taking action against you.

If an electronic payment method fails, your creditors cannot take action against you until they have requested another payment method in writing.

So for instance, if you have a mortgage payment that comes out of your checking account each month, and one month your bank starts screwing up the payments, then the mortgage company cannot foreclose on you or charge you late fees until they have sent you a written request for another payment method.  Has this happened to you?  Have you been foreclosed on because of an ACH failure that wasn’t your fault?  If so, give me a call and tell me what happened.  I’m very interested in this aspect of the law and want to see if there are violations happening out there.

Or are you paying for a car via debit card each month, and after a bank malfunction, got a car repossessed?

If something like this has happened to you, give me a call at 251.272.9148.  I won’t charge you anything.  I just want to hear your story.

About Attorney Judson E Crump

I am an Alabama consumer credit attorney. I specialize in defending people from their creditors. I fight (and usually win) credit card and collection lawsuits. I fight unjust predatory lenders, foreclosures, and I help people recover from credit reporting errors and identity theft. I live in Mobile, Alabama, and I have a wife and 3 children. I love reading and growing things.

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2 thoughts on “Have you lost money because your bank screwed up an ACH or Electronic Fund Transfer? – Alabama Consumer Credit Attorney Judson E. Crump

  • Linda Nelson

    I went to family dollar and use my direct express card for the amount of $24.25 cent and family dollar say the money didn’t come off my card but the bank statements showing that it did took the money off and I am still waiting to hear from them about getting my money back because I am on a fix income and can’t afford to give my money away like that so what should I do next

    • Attorney Judson E Crump Post author


      If what you are saying is true, then Direct Express should correct the error and refund the money to your card. You may need a statement or receipt from Family Dollar confirming that no money was actually sent by Direct Express. Under the EFTA, you can write a dispute letter to Direct Express telling them that the money was never actually received by Family Dollar and demanding a refund of the money that was debited. Keep a copy of the letter for your records, so you can prove it later. If they don’t refund the money or investigate your dispute, then you can take them to court and force them to do it.

      If you live in Alabama, then I can help you with that.