There is a Major Misunderstanding Here

A free overdraft account does not mean you will not get overdraft charges; it means you don't have to pay extra for the service of having the protection, and you should have known that from the very first overdraft when you got nailed for a $35 fee. I also can't tell what you mean when you said, 'I have been charged over $400 in overdraft fees now, but... that $200 in overdraft protection should have covered the amount I was overdrawn and everything should have been okay.' You don't offset the overdraft protection against your outstanding negative balance. You're making it sound like the Overdraft money is free and clear money you get to spend without consequence. It isn't. That is not what Overdraft Protection is or the purpose of Overdraft Protection.

All that overdraft protection does is that if you happen to spend more than what is in your account, the bank will continue to allow you to spend money up to a negative $200 that you will eventually pay back. After you hit the limit, your checks bounce, your debit card is declined, and you're pretty much SOL. It doesn't stop you from incurring overdraft fees, which are calculated seperately, and won't stop being incurred until you hit your overdraft limit. Technically, you also stop incurring OD fees. The jist of it is that you have to pay the OD fees and the amount you went over on the account; if the combined amount is $400 - then you have to repay $400.

It's up to you if you want to leave BofA; lots of people do it all of the time, but at least most end up leaving for a valid reason. You're leaving because of your own misunderstanding of what overdraft protection is. Wherever you end up, at least you ought to get yourself up-to-speed on things like this because I can just about assure you the problems you're having now will follow you to the next bank.