Late Payment Charges

SonniC55

Folks
I recall reading an article in the Guardian Money matters a few months back relating the to practice of credit card companies charging late payment fees of £20-£25.

It advised customers who had incurred these charges to challange the card company who will usually refund the charge on the first offence.
It went on to challange the legallity of such charges as on the grounds that the charge itself was excessive in relation to the actual cost involved in processing late payments. In essence credit card companys were charging customers an interest rate on the amount borrowed then charging a second charge with late payment fees.

The article ended stating that this had been reffered to the ombidsman who would be investigating further. I was wondering if anyone had heard anything more on this as it must be 6 months or so since I saw the article ? and if anyone had any joy when challenging thier banks past the first charge?

Bossyboots

There are several threads on this subject which include a number of posts by dchurch24 who has successfuly issued proceedings against three banks and recovered his money. I don't have time to find them now but if no-one else has pointed you in the right direction by the time I get home I will link to them for you.

Magentasue

This has happened to me twice. On one card the payment came out of my bank but didn't get to the card in time because of a bank error, the second was my fault paying the minimum amount from the wrong statement and underpaying by a pound or so.

The bank error one was this year, the other a couple of years ago and in both cases, full refunds were made and it was made clear that this was a goodwill gesture for a 'first offence'.

SonniC55

Thx Bossybots
Ive had a look around the boards ut cant seem to track the posts you reffered to. If you get that chance I would really appreciate a link

daveboy

There is THIS thread that relates to bank charges, not sure if this is what is being referred to though.

dchurch24

Hi,

Yes indeed. These charges are not legally enforcable, and if you want them back just PM me and I'll tell you how to go about doing it.

So far I have got charges back from HFC, Abbey and Smile (Credit Card).

dchurch24.

Stonk

So far I have got charges back from HFC, Abbey and Smile (Credit Card).

Why don't you divert your time from fighting charges, to spend more time looking after your finances so that you don't incur the charges in the first place?

SonniC55

A good Point Stonk, and one im well aware of...pity the world aint perfect

dchurch24

Oh, I'm so bored with that argument. Wait until your employer doesn't pay up on time or the right amount. Or wait until you are unable to work for some reason, etc.... then I think your tune will change and you'll probably be on here trying to find help getting your unfair charges back too.

Secondly, I'll fight these charges until I can get one of them into a court and prove once and for all that they are punitive and affect those least likely to afford it. Then they will stop for good and I will be able to feel good about the fact that I've been instumental in stopping thousands of people with money worries having even more money worries to consider at a time when I believe they could do without it.

Why should people on low-incomes (as these charges affect those people in more instances than anyone else) subsidise so-called 'free banking'?

Our rights are being eroded faster than a fast thing on a fast day; I for one, intend to stand up for at least a few of them while I can.

Why can't we have 'fair banking' like most other EU countries?

Also, with record levels of personal debt in this country, I think an end to these charges would stop a lot of people from spiraling into debt and as a by-product help the ecomomy.

from the bbc:
The ONS (Office of National Statistics) said a fall in banking charges had the largest downward effect on CPI (Consumer Price Index) inflation, while a fall in fuel prices also helped as the cost of a barrel of crude oil fell from record highs.

So to people with that attitude: I respect your right to an opinion, although it is my feeling that you have not embraced the larger picture. It is not just those that are penalised directly that are affected. Many small businesses collapse because of these charges (directly and indirectly). Have that in mind when you attempt to buy something from a local village shop and find that it has had to close down and ask yourself that if maybe they hadn't had these types of charges imposed, would that service still have been available to you?
Instead, at present, places like that close every day just to line the banks, with already obscene profits, pockets. All at the expense of ordinary people, those that do not incur these charges directly included.

I also believe that banks should not be above the law - these charges are illegal - why should they be exempt?

So, to answer your question, that is why I fight.

dchurch24

Incidently SonicC55, did the article you saw have a large picture of a bloke looking sternly down at the camera next to it?

donnomuch

I was interested in how you actually went about getting a refund on any charges incurred. My husband made a payment 2 days late, and has been with the same company for 10 years, same credit card. I made a claim back on a late payment last year as he was ill at the time, but feel that they wont wear it again. Any options on my approach. Thanks