First let me say I am not an attorney, I am not a law firm and I do not give legal advice. I am simply telling you how I handle these things myself. This works.
Any time a bank or a company you are doing business with wants to change the terms and or conditions of the agreement, they can. You must understand how contract law works. BOTH parties can amend a contract if the other party agrees. The party that moves first is actually the weaker party. Here is what I do:
You have to learn to do a "conditional acceptance" to their offer. This can be done with anyone. Your bank, your utilities or anyone. Once they give you the "new terms" you accept them on the conditions you set forth. You accept their changes and they must accept yours.
Some rules I follow:
Never do automatic drafts for payments or online statements (always paper) make them work at it.
Once you start doing business with them send them a letter telling them you expect to be notified on any changes to the terms and conditions of your agreement in writing at your address they have on file. Changes to any terms and conditions on their website etc are not proper notice in commerce be sure to tell them that.
Respond to any offer (the change of T/C) within 10 business days.
Always correspond via certified mail with return receipt
Sign your acceptance in blue ink and keep two copies for yourself.
Never negotiate or talk to them by phone or email. It is a trap.
If they call or email politely tell them to respond properly to you in writing at the address on your letter you sent to them and remind them of the time frame. That's it. Hang up. I would also follow that up with a short letter of the conversation. If a response comes in email same thing. Short to the point, remind them they have changes the agreement (contract) and you and they have now agreed to correspond on the matter via the mail and to please do so properly and tell them you are awaiting a proper response. If you can attach a PDF of your conditional acceptance. Tell them to act accordingly.
Notice they ask him to "call and discuss the changes"...don't call. It is much harder to take a phone call to court and make something stick. Besides you may not know the correct answer that is in your best interest or how to respond properly over the phone. Always in writing.
Keep in mind this is an "offer"...you don't have to accept. Typically they will cancel your agreement if you do not and this slime ball bank so much as tells this guy they will make his account useless if he does not agree. So always agree with some changes of your own. Make your changes reasonable but not something they would want to do.
In his case I would point out that I "conditionally" accept all of their changes in the terms and conditions. However the changes will place a hardship on myself and my family and I will need to be compensated in the amount of $250 per month to be deposited to my account each month or if the bank prefers a one time fee of $10,000 or something like that to terminate my account completely.
Offer to them an out. Tell them they may rescind their offer and make no further attempt to make the following changes (and list them) for as long as I have said account etc. (Grandfather you in) They hate this but they will do it. If you do this right you have them by the contractual balls.
Be sure in your letter to tell them they have 10 business days (that is all you have to give them in commercial law). I also send a follow up letter reminding them their 10 days has elapsed and give them 3 more days to respond.
They cannot move very quickly and they never respond properly. Whatever stupid response you eventually get can be used to enforce your claim (along with 3 times the amount in question in damages) in small claims court.
Remember YOU had an agreement with them. YOU I am assuming have paid your bill and lived up to YOUR responsibilities in the agreement. THEY wanted to change and you said you agree on some condition of your own.
Very important:
ONCE YOU AGREE YOU HAVE A NEW BINDING AGREEMENT. YOU AGREE TO THEIR CHANGES AND IF THEY DO NOT RESPOND WITHIN 10 DAYS OR RESPOND PROPERLY, THEY ARE BREACHING THE NEW CONTRACT NOT YOU.
Does this work? Yes. Here are two example where I have used this recently.
I stayed almost 7 months in an apartment for FREE using this tactic before I moved out. A rental agreement is a contract. I could have stayed longer but it was not the best of situations.
I am paying $11 per month for a landline phone and high speed internet service that my neighbors are paying $40-$50 per month for and got fiber to my house out of the deal. In neither instance did I have to go to court. There was an attorney involved both times and it basically got down to "what do you want to do to resolve this"...
People break contracts all the time and get away with it. Don't let them. Once you get a reputation you get left alone.
Have fun!
