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Barclays adding interest after redemption

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Several years ago I took out a mortgage with the Woolwich that included a mortgage reserve account. Essentially, this allowed me to have an overdraft equal to the portion of the mortgage I had repaid. A year ago it was taken over by Barclays who renamed the reserve account to Barclays Mortgage Current Account. A month ago the mortgage was redeemed in full and I moved house. Today I get a statement for a Barclays current account that I didn't know existed. It turns out it has been converted from the paid-off Mortgage current account that was included in the redemption figure.

This new account has a balance of -£149 which Barclays are saying is unpaid interest and was deducted from this account twelve days after the mortgage was redeemed. Prior to that point this account had a zero balance. The statement shows another £66 will be deducted in October. They are charging me fees and interest on this money. As far as I am aware, once a mortgage is redeemed, it's over with. I didn't ask for this current account and they set it up without contacting me first. Now they refuse to close it and insist I owe them the overdraft.

Is any of this legal or can I just tell them to get lost?

Steve
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