banks sharing knowledge with debt agencies

hare

:(I recently sold my car of which I need to replace very soon. I have a cheque which I need to pay into my bank account. does anyone know if, as I am with a debt co can the bank report the amount I will be paying in and will it disappear from my account without my knowledge to repay my debts, in other words do banks share this knowledge?

scottishblondie

No, credit balances aren't reported to the CRAs. However, if you are in debt to the bank into which you deposit the cheque, and you are in arrears, they can use the "right of offset" and take the money towards it.

hare

Thanks for reply. no not in debt with my bank just credit cards:mad:. Just nervous to pay in cheque as heard such horror stories, but you think its safe. by the way I am paying off my debts.:T

pmduk

As the previous poster said, make sure it's not a card issued by your bank.

pinkdalek

If the debt has been "passed over" to a 3rd party debt collector you should be ok, however to be honest you are probably wise to open up a secondary account, a basic banking account if you like, with a bank that is not linked with your current one. At least this way you would be certain that no monies would be taken without your knowledge.