I had a checking account for 9 years with Bank X. Had some financial problems come up, and this account was eventually charged off with a negative balance of around $600.00 back in 2004. Bank X was since bought by Bank Z a few years back. I have just opened a new checking account with no problem with Bank Z. Would they be able to draft any deposits I make into this account to recover the losses that Bank X had with my account in 2004?
We'll spare you the suspense and suggest right up front that you can eliminate the mystery by offering to pay the obligation. If you do that, you won't have any further concern over what might happen.
That said, a lot depends on whether Bank Z takes an aggressive look at past charge-offs looking for possible recoveries. That happens from time to time, particularly when a bank hires new people in its collections area, who try to "prove" themselves by "working" old accounts.
We think that your Bank X history is actually fairly fresh, since it's only three years old. If your state or your deposit contract give Bank Z a set-off right, the likelihood that the bank will try to collect the old charge-off is pretty strong.
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We'll spare you the suspense and suggest right up front that you can eliminate the mystery by offering to pay the obligation. If you do that, you won't have any further concern over what might happen.
