My wife checked our account balance last week and it showed that we didn't have any funds in our account. Over the weekend we received a letter from our bank stating that all of the money in both our checking and savings account had been removed to pay a garnishment. The legal papers included in the letter listed a name that had a different middle initial from mine and a social security number where the last four digits didn't match mine. The bank obviously removed the funds from the wrong account.
What rights do I have outside of getting my money back? There will be overdraftfees, credit report issues, and lost time from work. How should I go about rectifying this situation?
If the bank made a valid error they will reverse it and provide you with the funds that were taken from your account. They will also reimburse you any fees they charged and should reimburse you any fees that others charge, such as a retailer who charges you a returned check fee. They should also be willing to send letters explaining the problem to anyone you ask.
While the bank can't undo the error, they can and should make you whole and apologize for the error. They will then have to see if they have any accounts for the real person and request funds back from whomever executed the garnishment.
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If the bank made a valid error they will reverse it and provide you with the funds that were taken from your account. They will also reimburse you any fees they charged and should reimburse you any fees that others charge, such as a retailer who charges you a returned check fee. They should also be willing to send letters explaining the problem to anyone you ask. 