My online savings account, Alliant credit union just sent me notice of their decision to help efficiently settle disagreements through arbitration. I’ve heard that this is a way to ensure that they, not me, get the upper hand in any dispute. It says i can call a number to opt out and only have 30 days to do so. Any thoughts on this from others is appreciated.
-Eric
Be aware of the following exception to the arbitration agreement:
"Neither party shall be entitled to demand the arbitration of an action filed in small claims court (or an equivalent court in the state in which the member resides), for any claim or dispute within the scope of the small claims court’s jurisdiction. But if a claim is brought, transferred, removed or appealed to a different court, such claim shall be subject to arbitration pursuant to this Arbitration Agreement. "
Some times the issue is with in the limits and jurisdiction of the small claims court of your jurisdiction.
Learning to use the small claims court is useful and I have made successful recoveries against both major corporations and local businesses.
Also, don’t be afraid of arbitration. When I was working in the insurance industry claims business we either filed or were the defendant in arbitration many times.
The American Arbitration Rules are here along with their fee.
Some times when you file in arbitration the defendant will just fold.
Additionally, filing a complaint about the issue with the Office of the Comptroller of the Currency-HelpWithMyBank is a useful tool.
Ok so it sounds like you’re saying this is standard practice?
Every financial institution that I have delt with has an arbitration agreement.