Wells Fargo shuts down reader for depositing bad money order

Introduction

A reader emailed me a couple of weeks ago about how he had deposited some money orders into his Wells Fargo checking account and then received a notice saying his money orders had been returned unpaid.

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Bad money orders

He had also deposited some money orders into a credit union as well that also had the same issue.  We assumed that maybe there was an issue with Western Union or where he had bought the money orders.  Eventually he got a copy of the returned money orders and realized he had done a remote deposit on them already.  It was a mistake that could happen to anyone.  This is why the remote deposit apps will tell you to write the date of the deposit on them so that this doesn’t happen.

 

Wells Fargo shut down

He tried to plead with Wells Fargo, but they still shut down his account.  He didn’t have a cc with them, so not sure if they would have shut that down as well.  During the heyday of the 5% card, it was due to money order deposit issues that would lead to the cc shutdown and not technically abuse of the 5% card.

The local credit union only banned his remote deposit abilities, and said they would lift his ban if he provided proof from Western Union saying the MO’s weren’t fictitious or altered.

 

Lessons Learned

  1. I can’t say this enough – don’t shit where you eat!  DO NOT DEPOSIT MONEY ORDERS INTO BANKS THAT ISSUE CREDIT CARDS!  Just not worth the risk
  2. When you are doing remote deposits with money orders, write the date and bank of when you make the deposit so this doesn’t happen to you.
  • MV

    I had a WU money order returned “altered/fictitious” and I had not previously deposited it at another bank. My bank did not shut me down, but it took two months to get my money back from WU. I did never find out why WU (or their bank, Wells Fargo) returned the MO.

  • Some things are better in pers

    I’d advise not depositing ANY checks at WF. I battled a full bank shutdown over a single self written bounced check (travel block by other bank). This after more than 20 years banking history at WF. Not worth the risk. Stick with AFT and Other banks/credit unions.

    • Miles per Day

      I believe WF is the #1 hated bank.

      • Ken Adams

        Not even close. Year after year BofA ranks as the worst. Citi usually close behind.

  • pdxuser

    Another way to keep your mobile deposits straight: fold them afterward.

  • atxtravel

    General advice would be don’t use remote deposit for MOs. The limits per month are so tiny it’s not worth it. Just drive up to the teller, dump the stack, and drive off. Works flawlessly with WF.