I have a friend that is considering going though the program. He has a signature loan with a small credit union that he also keeps his personal funds in. He is wondering if there would be any blowback from sending the letter to eliminate the loan. Have you heard of any repercussions as far as personal funds being confiscated or frozen by an institution as receiving the letters?
We have never heard of any institution confiscating the checking account of a customer who is cancelling their credit card debt with the same institution. And at the same time, to prevent any possibility of it happening, we have recommended that they consider removing their checking account . . . or at least most of the money in it . . . from that institution and moving it to another institution. That is just simple wisdom to be prudent and cautious. “Better safe than sorry.”