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==You have a written agreement with Understand your banklegal rights==People usually don’t think much about their relationship with the bank. But the important details are always set out in a written agreement. When you open a bank account, you must typically sign some forms. One form is usually a signature card, so that the bank has a record of your true signature. For a chequing account, you must sign a form to obtain personalized cheques. But at least one of the documents you sign has the details (that you agree to) on how the bank will operate your account.
==Different banks use different agreements=You have a written agreement with your bank===Most of People usually don’t think much about their relationship with the agreements have similar terms, but bank. But the only way to find important details are set out exactly what you’ve agreed to in a written agreement. When you open a bank account, you typically sign some forms. One form is usually a signature card, so the bank has a record of your true signature. For a chequing account, you must sign a form to get a copy obtain personalized cheques. At least one of the document from documents you sign has the details on how the bank will operate your bank and read itaccount.
{| class="wikitable"|align="left"|'''Tip'''Most bank account agreements have similar terms. But there are some differences. To find out exactly what you’ve agreed to, get a copy of the agreement from your bank and read it.|} ===Bank account service charges vary=Overdraft privileges==Overdraft privileges are not automatic'''Service charges''' vary between banks and accounts. If you have a personal chequing Depending on your account, you expect your bank to honour your may be charged for the cheques when you write them. But unless you’ve arranged and for overdraft privileges (where other services the bank will honour your cheque even provides. For example, if you don’t have enough money in '''overdraft''' your account to cover it) your agreement likely says (that is, withdraw more money than the bank must honour a cheque only if there’s enough money in your account. And if the bank lets holds), you go into may have to pay an overdraftfee, they can charge you plus interest at a rate they set. If you’ve arranged for overdraft privileges, make sure this is recorded in writing. If Or you may have to pay for goods or services and your bank doesn’t honour your cheque because a service charge every time you don’t have enough funds in your account, it could hurt your credit ratinguse an automated teller machine (ATM).
{| class="wikitable"|align=Check "left"|'''Tip'''Overdraft protection helps not only with avoiding unexpected charges. If you pay for something and your bank statements carefullydoesn’t honour your cheque because there’s not enough money in your account, your [[Credit Reports (Script 249)|credit rating]] will suffer.|} ===If you deposit an NSF cheque to your account===The first that When someone pays you may learn of with a cheque returned NSF may be from , you deposit the cheque in your bank statementaccount. AlsoYour bank will typically credit the money to your account, and present the cheque to the cheque writer’s bank for payment. This process ideally ends with the cheque being “cleared”. But sometimes a cheque bounces. That means there’s not enough money in your agreement with the bank, you promise cheque writer’s account to be responsible for making sure that cover the statement cheque. The cheque is truereturned to your bank stamped '''NSF''' (standing for '''non-sufficient funds''').
==If a bank makes a mistake==Most account agreements make you responsible for cheques that don’t clear====You have a certain time to point out that mistake to Your account agreement likely says your bank can debit your account for the bank—normally 30 days from amount of the date the bank mails NSF cheque — even if you your statement or posts it online. If you don't point out the mistake, you’re considered to have agreed that not withdrawn the balance shown in money. That’s true even if your statement bank is correctslow and doesn’t clear the cheque promptly.
===If someone uses your PIN or bank machine card===When you have a bank machine card and “personal personal identification number” or number (PIN), you’re responsible for all amounts withdrawn from your account through the authorized use of your card. So if If you lose your card or find out that someone has stolen your card or PIN, phone the bank immediately. Most agreements require you to phone within 24 hours.
You normally won’t be responsible for the unauthorized use of your card or PIN after you’ve told the bank about the loss or theft. But you must not have “knowingly contributed” to the unauthorized use, — for example, by lending your card to a friend to withdraw money. And you must have been careful to keep your PIN separate from your card.
For more information about bank cards, check script see our information on [[Buying Goods on Credit, Credit Cards and Credit Bureaus (Script 246247)|246credit cards (no. 247)]] on “Buying Goods on Credit, Credit Cards and Credit Bureaus.”
==Joint bank accounts==If you have sign up for a joint bank account with someone, depending on how the signature card is signed, you agree that the ===A '''joint bank can pay out funds on a cheque account''' allows two or withdrawal signed by any of more people, from the same account holders, to make withdrawals, deposits and payments, and conduct other transactions. This means that if the As a joint account is overdrawnholder, the bank can demand repayment of the full amount from anyone who has signed the signature card. If you end up paying more than your share of the overdraft, then it’s up to you, not the bank, access to get the difference from the other account holders.
==Prevent problems== ===Check your bank account statements carefully===In your account agreement with the bank, you likely agreed to review all entries on your '''account statement''' and advise the bank of any errors. Reviewing your statements can also alert you to important information — the first you may learn of a cheque returned NSF (non-sufficient funds) may be from your bank statement. ===Point out if the bank makes a mistake===You have a certain window of time to point out a mistake made by the bank — typically 30 days from the date of the account statement. If you don't point out a mistake, you’re considered to have agreed the information shown in your statement is correct. (There are some exceptions to this rule. For example, if someone forges your signature on your cheque. If this happens, you should immediately notify the bank and make a complaint against claim for the lost money.) ===Keep your receipts===If a mistake is made by the bank, you must prove it. For this reason, always get a receipt for any deposit you make, and keep your cancelled cheques and bank account statements for a reasonable time. If you use an automated teller machine (ATM), keep the receipts from the machine to compare them with your account statements. This way, you’ll have a record of all the transactions in your account. (Note that any deposits and transactions made at an ATM on a weekend or holiday are processed on the bank’s next business day.) ATM receipts aren’t considered proof of actual deposits to your account. But they are a starting point. Only a bank teller receipt or a copy of the actual deposited cheque is accepted as evidence of a deposit. ==Common questions== ===What happens if I don’t use my account?===Under the federal ''[https://www.canlii.org/en/ca/laws/stat/sc-1991-c-46/latest/sc-1991-c-46.html#sec438_smooth Bank Act]'', if a bank account has been inactive for 10 years and the owner can’t be contacted, any amount in the account is considered an “unclaimed balance”. Under the law, the bank must transfer the money to the [http://www.bankofcanada.ca/ Bank of Canada]. For more information on unclaimed balances, call 1-800-303-1282 or visit [http://www.bankofcanada.ca/unclaimed-balances/ bankofcanada.ca]. ===How do I complain about my bank?===First, discuss the problem with your bank’s branch manager. If you’re not satisfied with the response, contact the bank’s head office. You can get a contact name and telephone number by calling the [http://www.osfi-bsif.gc.ca/Eng/Pages/default.aspx Office of the Superintendent of Financial Institutions] (OSFI) at 1.-800.-385.-8647. OSFI This office is the federal government agency that supervises and regulates oversees Canadian banks. If you’re still dissatisfiednot satisfied, you can contact the [https://www.obsi.ca/ Ombudsman for Banking Services and Investments] at 1.-888.-451.-4519. Of course, if you have a legal problem, you may need to see a lawyer.
[updated July 2018]
'''The above was last reviewed for legal accuracy by [http://creaseharman.com/r-bruce-e-hallsor/ Bruce Hallsor and edited by John BloisQC], Crease Harman.'''
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