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  • FIRST POST
    • mrviner
    • By mrviner 20th Jan 11, 8:17 PM
    • 18Posts
    • 1Thanks
    mrviner
    Santander "DAILY ARRANGED OVERDRAFT FEE"
    • #1
    • 20th Jan 11, 8:17 PM
    Santander "DAILY ARRANGED OVERDRAFT FEE" 20th Jan 11 at 8:17 PM
    Hi,

    My Santander (previously A&L IIRC) Premier Direct Account has been recieving some "DAILY ARRANGED OVERDRAFT FEE"s recently.

    As you can see below, I removed the entire balance, not anticipating any fees, as the high interest rate was at an end. My automatic monthly churning of £510, to keep within funding rules, then accidentally kicks in and the account was in the red for 4 days.

    Some 37 days later an overdraft fee is taken, unnoticed by me. Then again in January they take even more due to continued negative balance.

    Obviously it's my fault and I'm not really complaining for such a small amount so my question is, how much should I fund the account today to end this mess. Ideally I'd be left with a zero balance. I know I could close the account but that must be done in person with all paperwork etc.

    So what is the logic of £2.22 & £6.72 and what will the next charge be?



    Thanks,
    mrviner
Page 1
    • jen245
    • By jen245 20th Jan 11, 8:33 PM
    • 1,573 Posts
    • 683 Thanks
    jen245
    • #2
    • 20th Jan 11, 8:33 PM
    • #2
    • 20th Jan 11, 8:33 PM
    You can close old A&L accounts over the phone. The arranged over draft fees are 50p per day capped at £5 per month so there will probably be another £5 deducted
    Debt free and staying that way!
    • YorkshireBoy
    • By YorkshireBoy 20th Jan 11, 8:37 PM
    • 27,585 Posts
    • 15,539 Thanks
    YorkshireBoy
    • #3
    • 20th Jan 11, 8:37 PM
    • #3
    • 20th Jan 11, 8:37 PM
    So what is the logic of £2.22 & £6.72
    Originally posted by mrviner
    The logic? Well they're your running balances, ie...

    28p less £2.50 is -£2.22

    and -£2.22 less £4.50 is -£6.72
    and what will the next charge be?
    The charges to be applied are 50p per day, capped at 10 days per statement period...NOT per calendar month.

    So the credit required is £6.72 plus charges to be applied (once you've worked them out from the above).
    • YorkshireBoy
    • By YorkshireBoy 20th Jan 11, 8:39 PM
    • 27,585 Posts
    • 15,539 Thanks
    YorkshireBoy
    • #4
    • 20th Jan 11, 8:39 PM
    • #4
    • 20th Jan 11, 8:39 PM
    capped at £5 per month
    Originally posted by jen245
    I believe it's per statement period, so could be £10 per calendar month in a worst case scenario depending on statement date.
    • jen245
    • By jen245 20th Jan 11, 8:49 PM
    • 1,573 Posts
    • 683 Thanks
    jen245
    • #5
    • 20th Jan 11, 8:49 PM
    • #5
    • 20th Jan 11, 8:49 PM
    Yes, it is per statement period, but with A&L, statements are generated and fees taken on the same day each month, so you'd never pay more than £5 per month. My statement used to be generated on the 14th of every month, and fees taken on the 6th of the following month after the statement date (just checked my old statements)
    Last edited by jen245; 20-01-2011 at 9:02 PM.
    Debt free and staying that way!
    • YorkshireBoy
    • By YorkshireBoy 20th Jan 11, 8:56 PM
    • 27,585 Posts
    • 15,539 Thanks
    YorkshireBoy
    • #6
    • 20th Jan 11, 8:56 PM
    • #6
    • 20th Jan 11, 8:56 PM
    you'd never pay more than £5 per month.
    Originally posted by jen245
    I understand that, but the OP may have to settle charges for 2 'monthly charging periods' (as they call them) in order to close the account this month...and that could be a tenner in their case.
    • jen245
    • By jen245 20th Jan 11, 9:08 PM
    • 1,573 Posts
    • 683 Thanks
    jen245
    • #7
    • 20th Jan 11, 9:08 PM
    • #7
    • 20th Jan 11, 9:08 PM
    Yeah I see what you mean, if he has stayed overdrawn, after his statement is generated, then he'd have the £5 (if he's been o/d for more that the 10 days in the past month), plus however many days o/d since his statement.
    Debt free and staying that way!
    • mrviner
    • By mrviner 20th Jan 11, 10:13 PM
    • 18 Posts
    • 1 Thanks
    mrviner
    • #8
    • 20th Jan 11, 10:13 PM
    • #8
    • 20th Jan 11, 10:13 PM
    The logic? Well they're your running balances, ie...
    Originally posted by YorkshireBoy
    Fair enough, I actually meant to paste in the fee amounts not the balances.

    It seems like it's hard to predict the next fee. So I've transferred in 20 squid, will wait a month or two to be on the safe side then transfer everything out.

    May even close it if I can go through my mountains of paperwork to find original docs...
    • jen245
    • By jen245 21st Jan 11, 7:09 AM
    • 1,573 Posts
    • 683 Thanks
    jen245
    • #9
    • 21st Jan 11, 7:09 AM
    • #9
    • 21st Jan 11, 7:09 AM
    Why do you need the original docs? Just phone them when the last fee comes out tell them you want to close the account. They'll ask you to send you card and cheque book back. Job done. That's how I closed mine
    Debt free and staying that way!
    • tellmeitsfriday
    • By tellmeitsfriday 21st Jan 11, 9:10 AM
    • 2,315 Posts
    • 14,729 Thanks
    tellmeitsfriday
    They refused to close my old A&L account over the phone. I tried a few times aswell just to check I didn't get a newbie.

    However, the lady in the branch who finally closed my account was lovely. Quick, apologetic... She even checked whether there were charges due (50p in my case) and adjusted the balance accordingly. She gave me my closing balance in cash, and printed out a little slip to prove it was closed.

    It might be more simple if you are prepared to sacrifice a lunch hour
    • Milarky
    • By Milarky 21st Jan 11, 9:51 AM
    • 6,256 Posts
    • 2,202 Thanks
    Milarky
    This is an annoying aspect of how bank account fees (if you run the account empty and simply check to balance daily to top up) work - they notify you of a charge from the previous period but them take that later from the same account rather than allowing the customer to settle up directly. Thus the customer loses track unless they take pains to deposit the amount of charge and make a note to 'ignore' that amount in the account until the bank 'relieves' them of it.

    If bank charges are 'legal' then they ought to offer all customers this option (of immediate payment from a third party account)
    .....under construction....
    • jen245
    • By jen245 21st Jan 11, 10:58 AM
    • 1,573 Posts
    • 683 Thanks
    jen245
    They refused to close my old A&L account over the phone. I tried a few times aswell just to check I didn't get a newbie.

    However, the lady in the branch who finally closed my account was lovely. Quick, apologetic... She even checked whether there were charges due (50p in my case) and adjusted the balance accordingly. She gave me my closing balance in cash, and printed out a little slip to prove it was closed.

    It might be more simple if you are prepared to sacrifice a lunch hour
    Originally posted by tellmeitsfriday
    I think it depends which number you ring. I rang through on the A&L telephone banking number, and at the time, didnt ring to close the account, I was querying some fees, and mentioned that I intended to close it. The guy I spoke to said I'd have to wait until the fees came out, then call back. I did that, and when I called I expected to be told no I couldnt do it, and nearly fell off my chair when the lady said thats it your account closure request has been actioned. Within 24 hours my accounts were unavailable on online banking, and 10 days later I got my closing balance cheques for the Premier Direct and the Plussaver accounts.

    I was quite disappointed it went so smoothly, was prepared for a fight with them LOL!
    Debt free and staying that way!
  • Wasteofspace
    The only accounts Santander will close over the phone are esavers and remote (postal) savings accounts. Anything else, including all current accounts must be closed in branch.

    Not sure who you got through to but bonus if they managed to close the account for you!
    • noh
    • By noh 21st Jan 11, 10:06 PM
    • 5,025 Posts
    • 3,341 Thanks
    noh
    The only accounts Santander will close over the phone are esavers and remote (postal) savings accounts. Anything else, including all current accounts must be closed in branch.

    Not sure who you got through to but bonus if they managed to close the account for you!
    Originally posted by Wasteofspace
    I closed my ex A+L Premier current account recently by phone. No problem whatsoever.
    • Loughton Monkey
    • By Loughton Monkey 22nd Jan 11, 12:17 AM
    • 8,707 Posts
    • 12,428 Thanks
    Loughton Monkey
    My wife had roughly the same problem with an A&L account.

    It was only when looking at it to reduce small balance to zero that a £5 underfunding fee had been added by their mistake. Of this there was no dispute. Account had been funded impeccably. They refunded £5 fee without delay or question.

    However, we then went into about 3 months of limbo - involving 3 compulsory visits to the branch - one to stand at the counter for 1½ hours watching the poor girl try (without success) to close it.

    The culmination of this was a very 'strong' visit (the third) to the Branch Manager who grovelled, and promised on her life it would be closed that day. Over the next few days, further grovelling apologies stating that the Head Office Auditor has had to crack the computer with a sledgehammer and feed so much money into and out of the account to try and make it 'settle down' and close.

    Frustrating, but we received £105.05 compensation. That was £100 deliberately. Plus £5 they had left in by mistake (they obviously can't count) and 5 pence interest earned (at 0.5% I think) on all the money they had piled in and out over the period.
  • LozzaJones
    My account was originally with Abbey National.... and I have had an arranged overdraft for years. They used to charge me a small interest payment but now I am suddenly being hit with charges like this one:
    12 Aug 11 DAILY ARRANGED OVERDRAFT FEE 7.50
    I am unaware of why/when this changed but it isn't just a change for A&L customers.
  • LozzaJones
    Actually further to my prior post, the amount was always called an arranged overdraft fee but it was only between £2 and £3 until May this year. Seems like quite a jump to me!!
    • frugalmacdugal
    • By frugalmacdugal 18th Aug 11, 9:27 AM
    • 5,360 Posts
    • 4,632 Thanks
    frugalmacdugal
    Hi,

    have a read here.

    You should've had a leaflet with an earlier statement detailing changes.
    Y'all take care now.
  • IrishGypsy
    My account was originally with Abbey National.... and I have had an arranged overdraft for years. They used to charge me a small interest payment but now I am suddenly being hit with charges like this one:
    12 Aug 11 DAILY ARRANGED OVERDRAFT FEE 7.50
    I am unaware of why/when this changed but it isn't just a change for A&L customers.
    Originally posted by LozzaJones
    The changes to charges took place on March the 16th (if memory serves me correctly). I personally found out from a leaflet in my statement sent as early as January. But hardly anyone reads their statements these days, never mind the bumf that comes with it!
    • bengal-stripe
    • By bengal-stripe 18th Aug 11, 3:18 PM
    • 3,043 Posts
    • 1,925 Thanks
    bengal-stripe
    But hardly anyone reads their statements these days,.......
    Originally posted by IrishGypsy
    It also states on every Santander statement (since April):

    Your overdraft limit is £xxx.
    The fee for using an Arranged Overdraft is £00.50 per day.
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