Can the funds from a customer's savings account be used to cover a charged-off checking account without the customer's permission? Thanks in advance!

In most cases yes, however you would need to look at your deposit agreement and see if there is a right of set-off notification. Sometimes the customers are not happy about it but if the bank has already incurred a loss, sometimes it's best for all parties if the customer moves on.

Thank you. We do have the right of set-off in our deposit agreement. Thanks again!