Bank Charges

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Thu, 2007-01-25 11:19

Bank Charges

I've taken the plunge today to recover 'unlawful' bank charges made over the past 6 years (going over overdraft limit etc.). There are a number of websites that explain how to go about this yourself but it seems that the banks' strategy is offer a small amount as a gesture of good will and if you don't accept this, send nasty letters saying 'you'll have to go to court' and threatening to close your account. If you do go to court they usually settle a few days beforehand - it's just a tactic to put people off.

So, I couldn't face this kind of stress and have instructed a company to recover it for me - their fee is 25% which I feel is worth it for an easier time and have opened a new bank account in case they close my existing one.

I'll let you know the outcome - apparently it takes about 3 months.

Thu, 2007-01-25 12:06

alan_benefit

Slightly similar thing. I once had a mortgage with a certain well-known building society/estate agency chain. I changed my job, which changed my payday, so I asked them if they'd change the day of the mortgage payment from 28th of the month to 1st of the month so I wouldn't get overdrawn. No prob, they said. All fixed up. Thanks. And sure enough, February 28th's payment went out on March 1st instead. Then I received a letter from them telling me my mortgage payment was one month in arrears, and I had a charge for being in default. Upon investigation, I was told 'But you didn't make a payment in February'. Well... you can work out the rest. By shifting the payment a few days, I'd 'skipped' a month - and got a Â£30 quid charge! I told them I was going to refer the matter to the banking ombudsman for misleading or deceptive practice. They refunded the charge and no more was said! I shifted to another broker soon afterwards! Good luck, Jude.

Thu, 2007-01-25 12:26

poetjude

In my case it was my fault (usually an end-of-the-month beer shortage) but even so, the OFT have ruled that the charges are unlawful. "The law is plain: any charges banks levy on their customers must be proportional to the actual costs they incur. The simple question is, â€˜does it really cost Â£35 to send an automated letter when someoneâ€™s gone 1p over the limit?â€™ The banks do not want to go to court and that means theyâ€™re settling because they don't ever want to go to a high court (they are currently settled in small claims or county courts) because if a High Court ruled bank charges are unlawful, the floodgates will open to millions". And I estimate my claim for charges plust interest on them over the past 6 years will be about Â£2,000, so I should be reimbursed about Â£1500...fingers crossed. jude "Cacoethes scribendi" http://www.judesworld.net

Thu, 2007-01-25 13:16

Yan2

Make sure you organise another bank account because they'll close you down anyway, and fuck-up all your direct debits, etc. Don't say I didn't warn you! ;) I'm gonna have to sort mine when I get round to it. Got the form, and the standard letter, etc..just finding the time. Daddy, take the banana! Tomorrow it's Sunday! - Faust

~It's a maze for rats to try, it's a race for rats to die.~

Thu, 2007-01-25 13:39

poetjude

I already have another bank account in anticipation of this. I am thinking of Switching over all my direct debits beforehand anyway! jude "Cacoethes scribendi" http://www.judesworld.net

Thu, 2007-01-25 20:32

Yan2

No you haven't Daddy, take the banana! Tomorrow it's Sunday! - Faust

~It's a maze for rats to try, it's a race for rats to die.~

Fri, 2007-01-26 13:43

poetjude

Yes I have. jude "Cacoethes scribendi" http://www.judesworld.net

Fri, 2007-01-26 14:08

pepsoid

Oh-h-h-h-h-h no you-... ...oh, I can't be bothered. pe ps oid ... What is "The Art of Tea"? ... (www.pepsoid.wordpress.com)

The All New Pepsoid the Second!

Fri, 2007-01-26 17:26

Yan2

That's what Jude said when she realised she might have re-arrange her bank account. Daddy, take the banana! Tomorrow it's Sunday! - Faust

~It's a maze for rats to try, it's a race for rats to die.~

Fri, 2007-01-26 17:49

#10

poetjude

I only have 3 direct debits to change: TV Licence, Sky TV, Mobile phone - I arranged for my salary to be paid into the new account today. Everything else I pay the old fashioned way so it isn't much of a bother. jude

Fri, 2007-01-26 18:05

#11

Radio Denver

Jude>Everything else I pay the old fashioned way so it isn't much of a bother. That don't sound right. Visit me http://www.radiodenver.org/

Share your state secrets at...
http://www.amerileaks.org

Fri, 2007-01-26 21:26

#12

Yan2

You ought to be thankful you don't live in surrey. Just checking. You know I care about you, Jude. Daddy, take the banana! Tomorrow it's Sunday! - Faust

~It's a maze for rats to try, it's a race for rats to die.~

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