My main credit union (Credit Union A) recently upgraded their ACH software. I have a car loan with Credit Union B.
Every month for over a year, the car loan payment has debited from my savings account, which is exactly what I've requested.
Yesterday my loan payment was debited from my checking account. Prior to the payment being finalized, the pending transaction for this payment was showing in my saving account as desired.
I contacted Credit Union A who provided a screenshot that confirms the ACH request contains the savings account number. Credit Union A claims that Credit Union B is using the incorrect ACH label, they state it should be labeled a "savings payment" (it was labeled a "demand payment") and have stated they will continue to pull the funds from the account the label specifies (vs the account number). Credit Union A suggested I contact Credit Union B to make them use the proper label, credit union B confirmed the account number and said its listed as a savings payment.
Is it legal for Credit Union A to debit my checking account, when I've specified I want this payment to come from my savings account?