Can my bank garnish funds without any notification in order to pay on a credit card account that is past due?

Reg Z 226.12(d) prohibits a credit card issurer from setting off against a cardholders deposits to cover indebtedness arising from a credit card transaction.

Thank you SO much, I am grateful for the help! Unfortunately my bank has already taken my money ... what should I do next? They claim to be within their legal parameters. In fact they have quite nasty about this since I contacted their auditing firm! Should I pursue this??

You might try contacting the Kansas Banking Commission in Topeka.

Does Indiana have the same law? I'm in the same boat. They looked in my checking account, saw there was money, and took it!