Personal Finance

what bank not charge nsf for pre authorized withdrawl

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  • Nov 10th, 2021 9:26 am
[OP]
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Feb 23, 2004
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Calgary

what bank not charge nsf for pre authorized withdrawl

what bank not charge nsf for pre authorized withdrawl. thx
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Jan 27, 2004
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None. Unfortunately your bills have to be paid on time with either time or money management skills.

Or apply for overdraft protection.

https://www.ratehub.ca/chequing-account ... 3148091067

edit : sorry don't mean to sound condescending or anything! I was once a broke ass foo. I even lived in the ghetto.
I still earn relatively low wage. But I have good money and investment management skills.
So if its a living on the edge thing...

here are some tips! These can actually work for ANYONE just to keep organized.

Online banking alerts

- you can set it up to text alert you when your account dips down to a certain balance. I know when money is tight... $100 or $200 matters. That way you can prepare for anything that pops up.

-You can set up alerts to text you when there is a pre-authourized debit out of your account. That way you can check and see if there is enough money. If you cover it the same day before 10am, it will most likely not bounce NSF

-calculate how many bills you got in a month. Then setup pre-authourized debit to debit your account on the day of your pay check to set aside in a savings account for bills. That way you don't spend all your money by accident. I remember back when I was in the hood... You go grocery shopping and spend $100. Then a bill comes out and now you're negative $100. Trouble!!!
Example... your bills for the moth is $500... You get paid bi-weekly. Setup so every time you get a pay cheque... $250 gets transferred into a savings account.
That way... If you spend all your money... No problem. You got everything to cover your bills in the savings account.

Hm... Theres more... But thats more like not wasting money on things, or finding the best value.
Last edited by UrbanPoet on Sep 30th, 2021 3:30 pm, edited 2 times in total.
Deal Addict
Jul 28, 2012
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Trois-Rivières, QC
Not only would your bank charge you an NSF fee. The company that tried to withdraw the money may charge a fee as well. So even if hypothetically, there was a bank that waived an NSF fee, you would still be charged something for not having enough money in your account.
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Jul 23, 2002
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kocoman wrote: what bank not charge nsf for pre authorized withdrawl. thx
Tangerine's overdraft protection gives you the ability to go negative, up to several thousand dollars, for no fee or interest as long as you pay it off that same day.
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Aug 18, 2005
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I use the Simplii LOC for outgoing payments.
You can overpay the LOC and the 'credit' amount is just 'free overdraft'.

Not all banks allow you to use an LOC in this manner.
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Jul 16, 2019
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Jucius Maximus wrote: Not all banks allow you to use an LOC in this manner.
Only Simplii, CIBC, and TD.

Simplii's downside is their lack of branches and TD's downside is that they charge to send e-transfers from their LOC. So I'd say CIBC's LOC is the best free chequing account with a cheap overdraft that you can get.
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Sep 14, 2012
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SLee wrote: Tangerine's overdraft protection gives you the ability to go negative, up to several thousand dollars, for no fee or interest as long as you pay it off that same day.
The only thing to watch out for is whereas Tangerine's own automatic transfers/payments and money rules happen in the morning which gives plenty of time to pay the money back into the chequing account, there is no guarantee on what time the transaction if done will happen.

I did a pull from my Tangerine account to another account and checked the balance at Tangerine at 9pm and it was still in the positive. Thinking that it wouldn't be taken out since the business day was over regardless of what part of Canada (institution's head office I was dealing with was in the Eastern time zone), I went to bed/sleep. As it turned out, the amount was then taken out of my Tangerine account at 11:00pm and I was dinged by the $5 charge (along with I believe the interest charge). This taught me that when doing a pull of the funds, make sure that I transfer the money immediately to my chequing account to cover the pull amount.
Newbie
Aug 12, 2009
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If you don’t have access to a LOC or another way of covering the fee, then my recommendation would be to do a stop payment with your bank online. There is a fee but it is lower than an NSF charged by your institution. The service provider will still charge you a fee.

Hope this helps!
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Dec 23, 2005
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I found tangerine very flexible. They charge $5 NSF and send an email. Pretty good if you forget to fund your account.
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Newbie
Jul 21, 2020
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I had set up a bill payment from Simplii to BMO MC (just the minimum balance) few weeks in advance. Then I forgot about it and paid the balance from Tangerine and didn't leave enough balance in Simplii Chequing (I rarely use Simplii). Well, Simplii charged me whooping $45 NSF fee. That was painful.
[OP]
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Feb 23, 2004
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hvwkzq wrote: No. EQ Bank and Neo Financial do not charge an NSF fee. It is just computers telling each other that there is not enough money to send and the banks are profiting off of this.
How would you know about the NSF from EQ bank if you were not charged the fee?

for Neo Finacinal is that a bank or a credit card? thx
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May 16, 2017
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kocoman wrote: How would you know about the NSF from EQ bank if you were not charged the fee?

for Neo Finacinal is that a bank or a credit card? thx
Although EQ may not charge an NSF fee that is NOT the same thing as actually processing a payment when there are not sufficient funds. EQ can simply refuse to process the transaction.

Per EQ account agreement.

"You would he held responsible should any charges be incurred if debits cannot be processed due to insufficient funds or for any other reasons."
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Jan 21, 2018
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Vancouver
Depends on the exact type of transaction. I had an incident recently where I somehow mis-typed one digit in an EFT from HSBC to Tangerine to close out the account, and it was a few dollars over the amount actually in the account. HSBC called me to say they couldn't put it through, and charged a $40 NSF fee. I called them back, explained obvious typing error, they reversed the fee. I also called Tangerine. They said there should be no fee at their end if a deposit EFT was cancelled by the source bank (as opposed to a cheque deposit, where they do have an NSF fee). And indeed they just reversed the deposit a couple of days later with no fee.

So it appears you are more likely to be charged an NSF fee on a withdrawal, which would include a pre-authorized withdrawal, and it's more variable whether there would be a fee on a failed deposit or payment, depending on the destination. Also you would likely have some success getting these fees waived for a rare one-time occurrence, but not if you make a habit of it.

Personally I don't think overdraft protection is a good idea. The bank won't contact you in the case of a fraudulent transaction or a major error, they'll just put the transaction through. And then they'll likely charge you a fee and exorbitant interest until you find out about it.

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