After being out of work for a few weeks, I have had some cash flow problems. I have a joint account at one bank and an individual account at another. Today, both banks closed my accounts after noticing that I was floating checks between them to cover cash flow between paychecks. Am I going to jail for doing this? How do I get information from the banks as to their intentions?
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The amounts that you had floating between the banks could be a determining factor, although it's highly unlikely that either bank would take any sort of legal action unless your actions caused them a loss. If you have an overdrawn balance at either bank, quickly resolve it to avoid any need for the bank to take collection or legal action against you. If there is no loss to either bank, the probable outcome is the reporting of the account closure to a credit reporting agency. That report could affect your ability to establish bank accounts in the future.
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The amounts that you had floating between the banks could be a determining factor, although it's highly unlikely that either bank would take any sort of legal action unless your actions caused them a loss. If you have an overdrawn balance at either bank, quickly resolve it to avoid any need for the bank to take collection or legal action against you. If there is no loss to either bank, the probable outcome is the reporting of the account closure to a credit reporting agency. That report could affect your ability to establish bank accounts in the future.
