Are banks allowed to take money from accounts to pay arrears on visa.?

Answer 1

If they have successfully sued you and obtained a judgement, they are allowed to take money from any bank accounts that belong to you, and they are allowed to garnish your paycheck. Otherwise, they are not allowed to take money from your account without you giving them permission to pull money from it.

Answer 2

The simple answer is "yes", if the Visa (which I assume is a Visa credit card) is issued by the same organisation as your bank account.

This is called "Setting-off", and is allowed within certain guidelines in the UK. In short, if you owe money to an organisation, and you have money available in accounts held with the same organisation, the firm can use your available funds to cover what you owe.

Nonetheless, under The Banking Code, firms are expected to treat cases of financial difficulty "sympathetically and positively", and so if paying your debts is causing problems for you, you may be able to ask the firm to not set-off the debts you owe.

Additionally, a firm can only set-off debt that applies to the same person; that is to say that if the account is a joint account with a partner for example, they can't take that money to pay a credit card debt in your sole name. This is because they are, in effect, holding your partner liable for debts that you owe.

As I said at the top of the answer, the short answer is "yes", but there are specific circumstances that apply. If you wish to discuss the individual circumstances of your case further to establish whether the organisation has acted appropriately and within the rules please send me a message and I'll be glad to help.

Answer 3

I have a direct debit on my credit card so the minimum is paid each month - that way, I am never in arrears, so I do not get penalties for paying late. Then I pay the balance off (or whatever I want to pay off) by cheque.
However, that is the only money they can remove from my bank account.

Answer 4

they can only do it if the visa account is in arrears and held with the same bank.

should you wish to get the money back you need to prove to the bank, how it will disadvantage you as a customer, furthermore you should got to the citizens advice bureau and ask to get an expenditure list, to get the list you need to provide (cab) with the last 3 months bank statements so you can prove you can only afford a small amount that you set, cab will give u a letter on headed paper which will then be sent to the bank

Answer 5

In the UK they are.

Check the terms and conditions and they will be allowed to offset any credit in one account against any debit in another.

Also all cards and pin numbers remain the property of the issuing bank and can be withdrawn without notice.

Overdrafts can be cancelled without notice as well.

Answer 6

Some banks offer switch over loans.You can surrender the card for their card and the bank taking over and issueing new card will directly clear the dues and issue new card.You must have valid reasons,good credit rating and they may ask for past one year bank statements.

Answer 7

Not without your prior consent or a court order. Every penny that comes out of your account must have either a signature, pin code or county court order against it.

Answer 8

Wrong. The IRS can take money from you. When you get audited, your accounts are frozen and your money is their money if you owe them.

Answer 9

No.No-one can take money from any of your accounts unless authorised to do so.

Answer 10

Only with your prior agreement