Transferring funds question

[Thb0307]

The Bottom-line: How do I transfer funds from my Dad's checking account at a different bank (Guarenty) to my checking account (USAA) without fees?

Hey guys, I'm newly registered to the forum, but I have been engrossed in the discussion here over the last week since stumbling upon the forum. I'll lay out my situation below.

I'm 22 years old I just graduated in May and I'm starting Graduate school this Fall. I now have a part-time job in my field (accounting) so I am getting pay checks for the first time ($10 per hour, work 20-25 hrs per week).

However, for now my Dad still pays for my expenses like rent, utilities, and cable. I opened up a credit card which I plan to use solely for building up my credit score. I thought it would be a good idea to pay for monthly utility and cable bills with my credit card and have my dad re-imburse me rather than just using his credit card to pay them like I have been (btw he has plenty of cash he just uses his card for everything and pays off the balance in full). If this is an idea worth doing is there a way I can simply transfer funds from his account to mine so he doesn't have to hassle with writing checks to me (we live in different cities)? I know there are options like Pay Pal and Western Union but they all seem to take off like ~2% for fees.

[creditcardfree]

We have USAA. If your Dad has access to a scanner, he could write the check, log on to your account (with your permission) and deposit the check online. Only do this is if you trust your dad with access.

I've used this bank in the past. I believe it is free to transfer money. You each may need an account with them.

[kork13]

Most banks with online access provide free money transfers (via ACH) between banks. Typically, you "link" the accounts by providing the bank name, routing number, and account number of the receiving bank account. You can then send money to the receiving account at will. I have various accounts at 5 different banks, and all of them offer this sort of transfer for free.

[disneysteve]

Could your dad use his online banking to make payments to you?

[creditcardfree]

Most banks with online access provide free money transfers (via ACH) between banks. Typically, you "link" the accounts by providing the bank name, routing number, and account number of the receiving bank account. You can then send money to the receiving account at will. I have various accounts at 5 different banks, and all of them offer this sort of transfer for free.

Often, it is easy to transfer money between accounts that are owned by the same person. If the ownership of the accounts is different, it sometimes is not possible, without other legal forms and documents. It is best to check with the banks involved.

[Seeker]

Often, it is easy to transfer money between accounts that are owned by the same person. If the ownership of the accounts is different, it sometimes is not possible, without other legal forms and documents. It is best to check with the banks involved.

Actually kork13 is pretty much correct.

Banks, while technically not allowing a "deposit" to another person's named account, have no problems with making a "payment" into another person's account.

This can be done rather easily as kork13 stated. You just need name, bank name, routing number and account number. Give those to your Dad, and he should be able to set you up in his bank's Online Bill Pay rather easily. You just need to coordinate the first time the payment happens to make sure that it's successful.... then there should be no issues.

[creditcardfree]

I agree with Bill Pay this should be no problem....but as a true transfer it is.

Unfortunately, my background working for a mutual fund company may be getting in the way here. Sorry, if I was unclear.

[Seeker]

No, I understand. The context of the wording is what screws up the process.

You cannot call it a "transfer" or a "deposit"... but if it's a "payment" then it's fine. It does not need to be a regular payment... it just needs to be setup as a regular payee with all the supporting account number, etc.

Also, OP, your Dad will need your bank's complete address as well. The local bank address where your account resides.

[Seeker]

The Bottom-line: How do I transfer funds from my Dad's checking account at a different bank (Guarenty) to my checking account (USAA) without fees?

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If this is an idea worth doing is there a way I can simply transfer funds from his account to mine so he doesn't have to hassle with writing checks to me (we live in different cities)? I know there are options like Pay Pal and Western Union but they all seem to take off like ~2% for fees.

Also, if his bank ("Guarenty"?) does not have Online Bill Pay, then he should fine another bank and open an account with a bank with free Online Bill Pay (if he has a computer that is).

If those are "no" -- then writing a check is the only "free" way.

I'm not sure if my Dad paid any fees to get money to my younger brother when he was in college. I remember that he physically went to the local bank to have money "sent to" my brother's other account. That was a long while ago, and my folks do not have a computer in their home today either.

[Thb0307]

Looks like having him establish his online banking and using their web bill pay feature is the best solution. Thanks for the help.

I actually have a 2nd question now on how I can pay my utility and cable bills online with a credit card without having to pay transaction fees. The payees have payment services through phone and online but charge a fee. My bank's (USAA) web pay will only allow payments out of my checking account and not credit. Any way to get around these transaction fees while paying credit?

Since this is a total change of subject I'm going to start a new thread for it.