Quote:
I don't think just anyone can pull funds out of your account, just the bank. I'm pretty sure they can do whatever they want (depsoit/withdraw) without telling you. Especially if they are correcting a mistake that they made, I doubt they would contact you first.

I read that this happens quite often - and yes when the bank finds the problem they will just pull the funds straight out again, almost certainly leaving a record though.

The legal implications are basically the same in the UK - you must make reasonable effort to inform the bank of the mistake, but you can withdraw the funds and place them elsewhere in the mean-time, and keep the interest. I don't know who is liable for charges should the account go overdrawn when the money is removed again.

Gareth