I put up my debit card at a car rental place for my son. He was to pay the balance when he returned the car. He did not pay. They did a force pay on my debit card causing a $2000.00 overdraft. How can the bank honor this, when I don't have enough money in my account to cover it?
Untitled
Ordinarily, car rental agencies make one or more authorization requests from a card issuing bank in connection with rentals. Some banks only approve such requests if there are sufficient funds in the account to cover them. Others honor them within limits, even if they would overdraw the accounts. It appears that your bank may be in the second group.
You should have realized when you allowed your card to be used for obtaining the car rental that it would be used to pay for the use of the car if your son didn't pay for the rental in some other way. While you may have reason not to like the fact that your bank allowed your account to go overdrawn as a result of the car rental, you should be talking to your son about how he's going to fix the problem of his making.
BankingQuestions.com is a free service made possible by the generous support of our advertisers. Advertisers are not responsible for site content. Please help us keep BankingQuestions.com FREE by supporting our advertisers. When you see an ad for a product or service you may have an interest in, click through to learn more.
Accounts
Article
Q&A
Podcast
Video
Blog
Discussions
PDF
Powerpoint
Ordinarily, car rental agencies make one or more authorization requests from a card issuing bank in connection with rentals. Some banks only approve such requests if there are sufficient funds in the account to cover them. Others honor them within limits, even if they would overdraw the accounts. It appears that your bank may be in the second group.