Increasing overdraft limit without permission

dannidoo

Has anyone else had this problem with their bank? It has happened to me twice now - once with Barclays and once with Natwest.

As I have gone slightly over my overdraft my bank has increased my limit without obtaining my permission and actually without my knowledge! My limit has increased over time with me not thinking much of it until I am £1700 overdrawn!]

Surely this cant be legal? And certainly not 'responsible lending'. When I questioned Barclays about it they advised me in writing that I had requested increases to my limit via online banking which was a blatant lie but I could not prove it! They were saying that I had made something like 6 requests over a two month period for an increase.

Anyone know what I can do about this? Although it seems at first like a good thing as I am not paying bank charges I am now a few thousand in debt because of this whereas if it had been brought to my attention at the time i may have been able to pay the small bit extra!

Thanx x x

Burlesque_Babe

the best thing is to work to decrease the amount of your overdraft bit by bit and each month ask for them to decrease the limit.

Didn't you realise your limit had been increased when you got your statements ?

MrsTinks

You're not going to like this but...

It's your responcibility to look after your finances - they more than likely sent you letters saying they had upped your limit, I know I've always had letters if they have upped them although I dare say many others will not have had. Still it's at the top of your monthly statement...
As for proving you have or haven't requested increases online... toughie - you could ask them to prove it and provide dates and times these requests have been logged.
You can argue for and against it being responcible lending... after all they could have kept applying hundreds if not thousands in charges.

I think the thing to do is to do an SOA and put together your own repayment plan and then gradually ask them to reduce your overdraft limit.

Burlesque_Babe

http://forums.moneysavingexpert.com/showthread.html?p=10626541#post10626541

are these the same 2 O/D's you had in May? Where you found out about the Barclays one your husband had run up without you knowing?