I closed my checking account, but the bank continued to accept the recurring charges from my insurance company. Why doesn't the bank reject these charges?
It is your responsibility to cancel all recurring charges with third parties before closing the bank account you authorized for payment.
Generally, a recurring charge is based on an agreement between you, as the account holder, and the merchant. Because the bank was not a party to that agreement, the bank cannot cancel it for you. You need to instruct the merchant to stop debiting your account before you close the account.
Last Reviewed: October 2020
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