Be Your Own Bank
The bank isn’t using money you have — they’re using money they are legally allowed to advance or recover under your account agreement. How account function The bank isn’t using money you have — they’re using money they are legally allowed to advance or recover under your account agreement. Bank-authorized transactions (fees, debits, subscriptions, ACH pulls, pending items) overdraft If not approved or overdraft protection is off: The transaction is declined This protects the bank from risk. Contract Authority vs Availability These follow contract authority, not availability rules: Examples: Monthly fees Recurring subscriptions ACH debits Pending charges clearing Merchant delayed settlements Bank fees Chargebacks Account adjustments These post anyway, even if balance equals $0, it still cab result in a negative balance. ⚖️ Why this is legal When you opened your account, you agreed to an Account Agreement (contract law, UCC, and ACH rules). That contract gives the bank authority to: Post...