6 replies to this topic

[junkhuolin]

when you use the interbank transfer, if the bank uses the cashedge system, you will get two small deposits into the account you linked. actually, you can delete the link after 4-5 days and re-link the account. then, you can earn the two small deposits again and again. If you have a lot of bank accounts, you can earn big money.

I am wondering whether this is legal. I cannot find any terms and conditions for the use of cashedge system.


Thank you very much for your reply!

[Bankgeek]

when you use the interbank transfer, if the bank uses the cashedge system, you will get two small deposits into the account you linked. actually, you can delete the link after 4-5 days and re-link the account. then, you can earn the two small deposits again and again.  If you have a lot of bank accounts, you can earn big money.

I am wondering whether this is legal. I cannot find any terms and conditions for the use of cashedge system.


Thank you very much for your reply!

Just recently I linked an external checking account to my NetBank checking account using account consolidation but there was no small deposits made by NetBank into the other account. To the best of my knowledge NetBank is using Cash Edge.When it comes to money transfers services like Paypal there are limits to how many account you can have and how many accounts you can link regardless of how many accounts you might have. Banks & money transfer services monitor your activities. If they notice you are churning funds they will stop it.

[mnl8844]

i did the same thing with wilmingtontrust. i think i made a total of $50, at least. but i got scared of the same thing so i closed the account to resist temptation. my guess is that you wont get in legal trouble for doing that, but the bank might report it to chexsystems saying its abuse or fraud. so be careful. maybe do it a few times, make a few bucks and then stop.

[GHERRON]

when you use the interbank transfer, if the bank uses the cashedge system, you will get two small deposits into the account you linked. actually, you can delete the link after 4-5 days and re-link the account. then, you can earn the two small deposits again and again.  If you have a lot of bank accounts, you can earn big money.

I am wondering whether this is legal. I cannot find any terms and conditions for the use of cashedge system.


Thank you very much for your reply!

I have done this for about 7-8 months and it's all come to a screeching halt in the past month. Eventually the bank just closes your acct saying you're needs are not being met by the services they offer (polite way to do it). I don't care about ChexSystems, but it's not illegal, and I made well over $1000 doing it each week.

[markber]

I don't care about ChexSystems, but it's not illegal, and I made well over $1000 doing it each week.

ChexSystems is important. There are many banks in U.S. that can close your account just because another bank made a bad record in your ChexSystems file. I wonder if the bank that closed your account made a negative record in your ChexSystems file. If it did not, then one can assume that it may be safe to do this.


Another issue is Cashedge itself. It most likely has your SSN. If your SSN is flagged now in Cashedge internal records, they may detect this activity faster next time. I think the question is who pays for these transfers. If the bank pays, then Cashedge may not care. If Cashedge pays, it likely will not let you do these numerous transfers again.

[outsidetollfreearea]

I don't care about ChexSystems, but it's not illegal, and I made well over $1000 doing it each week.

However, ChexSystems is important. There are many banks in U.S. that can close your account just because another bank made a bad record in your ChexSystems file. I wonder if the bank that closed your account made a negative record in your ChexSystems file. If it did not, then one can assume that it may be safe to do this.

You can request your free ChexSystems report once each year and whenever you get declined for a bank account.

[Bankgeek]

ChexSystems will give you a free report month after month indefinitely if you tell them you are unemployed, just thought I would mention it.

Churning bank accounts a few dozen times is no big deal but if you're doing it hundreds or thousands of times you are in effect running a scam and the bank or money transfer service will close the account and might go after you. ChexSystems has a category called account abuse which comes under the heading Reported Information. If they nail you that way you might soon find most of your other accounts either closed or restricted and you will find it difficult to open any new accounts at least under your own name.