silly rule about removed bank accounts

[Fred93]

When you remove a bank account, Prosper gives you this warning:

Removed bank accounts cannot be recovered
Once you have removed a bank account, you will be prohibited from adding another bank account with the same routing and account numbers again.

Isn't that a silly rule?

[traveler505]

Maybe yes, maybe no.

I suspect the intent is to prevent borrowers from re-scheduling their payments by removing and then reinstating their bank accounts.

If a payment is scheduled to be pulled on the 15th, and the borrower would rather pay on the 25th, all they would have to do is remove the bank account for ten days, then reinstate it.  Otherwise, they'd either have to have the money on the 15th or be hit with an NSF fee.

[Fred93]

I suspect the intent is to prevent borrowers from re-scheduling their payments by removing and then reinstating their bank accounts.

If a payment is scheduled to be pulled on the 15th, and the borrower would rather pay on the 25th, all they would have to do ...

Nope.  They won't let you remove the "primary" account at all, so you can't do that.

This silly penalty applies to accounts other than the primary account. 

[112233]

When you remove a bank account, Prosper gives you this warning:

Removed bank accounts cannot be recovered
Once you have removed a bank account, you will be prohibited from adding another bank account with the same routing and account numbers again.

Isn't that a silly rule?

maybe they dont want to use resources to verify a bank account more than once?

[ira01]

Otherwise, they'd either have to have the money on the 15th or be hit with an NSF fee.

No -- all they would have to do is tell Prosper to cease making pulls (and then tell Prosper on the 25th to resume again).  Prosper is legally obligated to cease ACH pulls upon borrower request.

[Mtnchick]

When you remove a bank account, Prosper gives you this warning:

Removed bank accounts cannot be recovered
Once you have removed a bank account, you will be prohibited from adding another bank account with the same routing and account numbers again.

Isn't that a silly rule?

maybe they dont want to use resources to verify a bank account more than once?

Which would be different than using the resources to verify a new account?

[HollowOak]

When you remove a bank account, Prosper gives you this warning:

Removed bank accounts cannot be recovered
Once you have removed a bank account, you will be prohibited from adding another bank account with the same routing and account numbers again.

Isn't that a silly rule?

maybe they dont want to use resources to verify a bank account more than once?

Which would be different than using the resources to verify a new account?

*If* (big if) that's the reason, it is because verifying a bank account (used to - does it still?) consists of a two-step procedure to make a small deposit and a smaller withdrawal.  In the time when the code was originally written, Prosper used to make two small deposits. That was later changed to the deposit/withdrawal method as a better test of the two-way capability of the information supplied.

Someone with a twisted mindset could do endless account verifications of the same account, making a general nuisance of themselves and making a tiny (very tiny) profit while costing Prosper some money to perform all those deposit/withdrawal ACHs.

This way they only get to verify a bank account once.  If you want to tie up a lot of Prosper resources in account verification, you'll have to make a substantial effort that's not worth the trouble.