Barclays Saving Bond Problem

poorgirl-54 · 10 November 2009 at 3:37AM

Hi Everyone

I opened a 9MONTH Saving Bond at a Barclays branch 31st Jan 2009, when i opened it i was told it would expire on 31st Oct 2009.

Yesterday i went into branch to get access to my money from the bond, and i was refused and told the bond had been rolled over and and i will only be able to access the cash in 2011.

a) i recieved no letter from Barclays stating the bond was due to expire, which i explained to the manager, who stated the letter of expiry of the bond is on the system and its not Barclays responsibilty or problem if i didnt receive the letter.

b) i stated i never wanted the bond to roll over. They commented it was in the terms and conditions when you opened the bond, but i was never told this, if i did i would done everything to prevent this.

c) the bond was rolled over on 24th October 2009, but as i I opened a 9MONTH Bond on 31st Jan 2009, the expiry i was told was 31st Oct 2009. The manager at Barclays stated there was nothing they could do about it, except for logging a complaint, which i did.

Im a student, i really need the cash and the sole reason i opened this bond was because it was a short term bond, and i didnt want to be in financial difficulty. But now its turned into exactly that, im very worried.

so the bond rolled over 7 days before it should have been, 7 days short of the ''9 month period'', from when i opened it, can Barclays do this?

can i claim loss of interest on the 7 days?

more importantly can i get access to my money and get it out of the new bond its rolled into and not have to wait to 2011?

I really dont know how to tackle this issue, please could you help me to resolve this.

thanks- your replies will be appreciated.

anna42hmr · 10 November 2009 at 9:02AM

this looks like it could be a problem potentially for many people.

i have just looked at barclays t&c's for the bonds and it appears that unless otherwise stated the money is automatically funded elsewhere (as they are apparently meant to issue a letter prior to the account maturing advising that if you want the money out of the account you need to notify them if not they will automatically reinvest!)

6. Bond maturity and repayment
6.1 Bonds will mature at the end of the Bond term on the specified maturity date. If this is a non-business day, the Bond will mature on the next business day (“delayed maturity date”).
6.2 You will be contacted by us prior to maturity of your Bond. At this time you will be offered a replacement for your existing Bond from our Maturity Bond range or, if not available, an alternative Bond which is available at that time. To accept the offer made, you need take no further action. Your Maturity Bond will be automatically opened on your behalf on the next day after the specified maturity date of your current Bond. Confirmation of the details of your Maturity Bond will be sent to you shortly after the account has been opened. Details of the options available to you will be included in the Offer Letter. For any action other than reinvestment in a Maturity Bond, complete and return the instructions form included in the Offer Letter ensuring it is received by us before the specified maturity date. The instructions form must include the Bond Holder’s original signature. Alternatively you can provide instructions in person by visiting a branch, or by telephone, subject to us being satisfied that you are who you say you are, but again instructions must be received by us before the specified maturity date.
6.3 In the case of Bonds held in the joint names of two or more personal investors, you authorise us to accept instructions from any one of you alone or from a surviving Bond Holder. We will require instructions from all trustees or from their successors, in which case further documentation may be required.
6.4 These Terms and Conditions will apply for this and any subsequent Bonds that are opened on your behalf, unless and until you are notified of other Terms and Conditions.
6.5 Funds requirement, payment will be by a cheque payable to the Bond Holder(s). Cheques will usually be issued on the same day as funds would be credited to a Barclays account and sent via second class mail (or similarpayable on maturity will be credited to a Barclays account in the name(s) of the Bond Holder(s) (or any one of them) on the next business day after the specified maturity date (or the next business day after the delayed maturity date, as appropriate). If you do not have a Barclays account which satisfies this

http://www.personal.barclays.co.uk/BRC1/jsp/brccontrol?task=popup1group&value=16538&target=_blank&site=pfs

however i am sure at the time when mum took out her fixed bond in december, they told her that it would go to a lower rate account! and not into another bond! looks like several people may be caught out on this one, they should imo do an opt into another bond rather than an opt out of a bond

if they dont allow you to withdraw your money as you did not receive any letter from them, i would register a formal complaint if i was you (though dont hold your breath for a fast resolution as thir complaints process leaves a lot to be desired, if you search on this forum for "barclays mothly savings" the customer relations dept details are on there.

Aegis · 10 November 2009 at 8:49PM

anna42hmr wrote: »

this looks like it could be a problem potentially for many people.

i have just looked at barclays t&c's for the bonds and it appears that unless otherwise stated the money is automatically funded elsewhere (as they are apparently meant to issue a letter prior to the account maturing advising that if you want the money out of the account you need to notify them if not they will automatically reinvest!)

6. Bond maturity and repayment
6.1 Bonds will mature at the end of the Bond term on the specified maturity date. If this is a non-business day, the Bond will mature on the next business day (“delayed maturity date”).
6.2 You will be contacted by us prior to maturity of your Bond. At this time you will be offered a replacement for your existing Bond from our Maturity Bond range or, if not available, an alternative Bond which is available at that time. To accept the offer made, you need take no further action. Your Maturity Bond will be automatically opened on your behalf on the next day after the specified maturity date of your current Bond. Confirmation of the details of your Maturity Bond will be sent to you shortly after the account has been opened. Details of the options available to you will be included in the Offer Letter. For any action other than reinvestment in a Maturity Bond, complete and return the instructions form included in the Offer Letter ensuring it is received by us before the specified maturity date. The instructions form must include the Bond Holder’s original signature. Alternatively you can provide instructions in person by visiting a branch, or by telephone, subject to us being satisfied that you are who you say you are, but again instructions must be received by us before the specified maturity date.
6.3 In the case of Bonds held in the joint names of two or more personal investors, you authorise us to accept instructions from any one of you alone or from a surviving Bond Holder. We will require instructions from all trustees or from their successors, in which case further documentation may be required.
6.4 These Terms and Conditions will apply for this and any subsequent Bonds that are opened on your behalf, unless and until you are notified of other Terms and Conditions.
6.5 Funds requirement, payment will be by a cheque payable to the Bond Holder(s). Cheques will usually be issued on the same day as funds would be credited to a Barclays account and sent via second class mail (or similarpayable on maturity will be credited to a Barclays account in the name(s) of the Bond Holder(s) (or any one of them) on the next business day after the specified maturity date (or the next business day after the delayed maturity date, as appropriate). If you do not have a Barclays account which satisfies this

http://www.personal.barclays.co.uk/BRC1/jsp/brccontrol?task=popup1group&value=16538&target=_blank&site=pfs

however i am sure at the time when mum took out her fixed bond in december, they told her that it would go to a lower rate account! and not into another bond! looks like several people may be caught out on this one, they should imo do an opt into another bond rather than an opt out of a bond

if they dont allow you to withdraw your money as you did not receive any letter from them, i would register a formal complaint if i was you (though dont hold your breath for a fast resolution as thir complaints process leaves a lot to be desired, if you search on this forum for "barclays mothly savings" the customer relations dept details are on there.

That highlighted term reads like an unfair term/condition according to consumer law. It effectively means that if they can't contact you within a certain timescale, they'll choose how long to lock up your money for. However, there doesn't seem to be any onus on them to continue trying to get hold of you, indeed this term would be satisfied by a single letter sent to a potentially out of date address, nor is there any mention of a cancellation period, etc.

Maybe try arguing it from that perspective, and also make sure that all terms and conditions are well understood next time, avoiding the product if you see stuff like this.

anna42hmr · 11 November 2009 at 9:10AM

Aegis wrote: »

That highlighted term reads like an unfair term/condition according to consumer law. It effectively means that if they can't contact you within a certain timescale, they'll choose how long to lock up your money for. However, there doesn't seem to be any onus on them to continue trying to get hold of you, indeed this term would be satisfied by a single letter sent to a potentially out of date address, nor is there any mention of a cancellation period, etc.

Maybe try arguing it from that perspective, and also make sure that all terms and conditions are well understood next time, avoiding the product if you see stuff like this.

i agree, especially with the postal strikes causing post backlogs, they may well have issued the letter but if its stuck in the the sorting offices for too long, you may not get the letter in time to be able to do anything about it

anna42hmr · 21 November 2009 at 9:30PM

we checked mums confirmation letter from the time, and it definatly said then that they will transfer to another bond unless told otherwise so they havent changed their t&C's in the meantime like i thought they may hvae

any one know how long before account maturity barclays are meant to send the letter. the t&c's dont say, and mums bond matures in about 3 weeks time and no letter yet

Barclays Saving Bond Problem

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