Barclays - Reserve/Had Enough

rlfan82

Banked with Barclays for good few years, paid plenty in interest all way through uni years. However...

Just been charged reserve fee of £22 on 2 accounts for being £6 and £7 over overdraft limit on each. I know many on here will lambast me for going over but been very busy weekend and normal tight rain and account swapping has messed up. So despite having £250 sitting in another barclays account, we've now lost nearly £50

Rang barclays to negotiate, and try to swap money to balance accounts. No suh luck, it is now barclay policy to refund NO FEES. 'Fees' is the new name, for charges apparently, although charges are illegal, so that how they get round it.

Most annoying thing is that we just sold an inherited house, and so have £165k on the way, which I know is a good thing, but makes me even more infuriated that we ended up chucking £50 away.

Anyway, long story short, I'm done with barclays - they decided to refund no fee's, so they can still pay their bosses bonuses, not with my money no more :mad:

On the plus, this rant made me feel better:T

ShelfStacker_3

rlfan82 wrote: »

Rang barclays to negotiate, and try to swap money to balance accounts. No suh luck, it is now barclay policy to refund NO FEES. 'Fees' is the new name, for charges apparently, although charges are illegal, so that how they get round it.

They're not illegal. Barclays probably aren't refunding any fees because they've lost lots of money off people being careless and then expecting no consequences for it.

Anyway, long story short, I'm done with barclays - they decided to refund no fee's, so they can still pay their bosses bonuses, not with my money no more :mad:

Put it another way; why should you get your fees back, when you used a service which they are the stated charges for?

Redemption

ShelfStacker wrote: »

They're not illegal. Barclays probably aren't refunding any fees because they've lost lots of money off people being careless and then expecting no consequences for it.



Put it another way; why should you get your fees back, when you used a service which they are the stated charges for?

Because the so called "fee" is way in excess of the true cost of providing so called "service" and is therefore a penalty which IS illegal. If the credit card companies have been restricted by the OFT to £12 or less for a very similar issue why should the banks not be? I find it hard to believe that, with automated systems, the real cost is more like 12 pence.

akashi

The "Reserve" is just a clever thing Barclays came up with to charge its customers without worrying about if it is illegal or doesn't reflect to their true cost etc.

They are calling it a service, so they can charge whatever amount they please.

I am therefore in the process of closing my Barclay account this week. I suggest you do the same when it is convenient.

Extant

Redemption wrote: »

Because the so called "fee" is way in excess of the true cost of providing so called "service" and is therefore a penalty which IS illegal. If the credit card companies have been restricted by the OFT to £12 or less for a very similar issue why should the banks not be? I find it hard to believe that, with automated systems, the real cost is more like 12 pence.

These are two different issues. The ability to spend beyond any agreed limit with Barclays is now formalized as the Personal Reserve product, and is a service offered by us.

Earlier this year, customers were sent at least two detailed mailings covering the subject and telling them how to opt out if they would prefer not to use this service. Customer acceptance of the new system has been significant and initial feedback indicates an appreciation of the new, clearer charging system.

We no longer allow customers to spend significantly over their agreed limit. A set "reserve" exists for them, for which they will be charged £22 for every five day period this is used.

This is not a penalty fee, it is a fee for the service outlined and, as such, cannot be classed as an unfair penalty.

The only remaining penalty fees are for transactions outside of the Reserve system, which are set at £8 each - so yes, you're right, we are restricting ourselves in line with the OFT.

akashi wrote: »

The "Reserve" is just a clever thing Barclays came up with to charge its customers without worrying about if it is illegal or doesn't reflect to their true cost etc.

It is a service, and as said above, you have the right to opt out at any time - you also had the right to opt out in the three months running up to its introduction, using the forms in the letters sent, or through the option given on online banking. A message also played on telephone banking. All direct channels contained information on the service.

As for the whole situation, perhaps you people don't realize how much of a catch 22 it is. We don't let you spend over your limits, you whine. We let you spend over, you whine as well.

You can't have the best of both worlds, and I'm sorry, but "consumer revenge" means very little. You have to settle on the middle ground somewhere.

ShelfStacker_3

<gets on soap box>

Personally, I'm just in favour of the Co-Op's system for all its current accounts (and HSBC's for its basic accounts). You go over your limit three times in a set period of time? Notice given of accounts closed. Basically the bank saying "You can't manage your account with us properly, you broke a contract you made with us, so go away." Obviously subject to a little bit of leeway in cases of fraud and smaller overdrafts, but the p*sstakers might actually learn a lesson if there's actual consequences to their actions, rather than "OMG I want my money back".

I mean, yeah, the fees are swingeing right now, but at this point they aren't actually illegal and it isn't like they're hidden away. This doesn't even mention Barclays' approach, which is actually rather decent as fee structures go - clearly stating "in a pinch, we'll authorise £x of payments at £y flat rate".

And, before someone comes along and says I'm just a brainwashed bank employee, note that I have no vested interest in Barclays saving money and that HSBC waives a lot of overdraft fees already. I'm just working from the assumption that you're not entitled to anything, especially not to break a contract you signed or to take money you have no right to.

rlfan82

My point is, in the past Barlcays looked at my account, and said, 'we see your a fair customer who has gone over the odd pound and obviously keep it under most of the time, so we'll waive the £30'. Now its no ifs or buts.

Now Barclays dont give a toss about any reasons, or to look at your account. therefore I feel I am no longer a customer of Barclays, just a stat. So I might aswell go to FirstDirect, pick up me £100 bonus and start afresh.

ShelfStacker_3

rlfan82 wrote: »

My point is, in the past Barlcays looked at my account, and said, 'we see your a fair customer who has gone over the odd pound and obviously keep it under most of the time, so we'll waive the £30'. Now its no ifs or buts.

Because many thousands of people decided to take the p*ss and ask for all their money back after they acted irresponsibly.

akashi

BarclaysManager wrote: »

Earlier this year, customers were sent at least two detailed mailings covering the subject and telling them how to opt out if they would prefer not to use this service.

I admit, I did not read the details on the Reserve and therefore did not know about the ability to opt out of the service.

My question, why should Barclays automatically give this service when it is not asked by the customer? Surely if a customer is interested in "purchasing" this service they can opt in?

YorkshireBoy

rlfan82 wrote: »

My point is, in the past Barlcays looked at my account, and said, 'we see your a fair customer who has gone over the odd pound and obviously keep it under most of the time, so we'll waive the £30'. Now its no ifs or buts.

First Direct adopt the same policy...

http://www.firstdirect.com/1st-account/overdraft-charges.shtml

So I might aswell go to FirstDirect...

It'll cost you £25 each time at First Direct. That's £3 more than you're paying now...

http://www.firstdirect.com/rates/charges.shtml

Better to address the root cause than to change banks each time you fall foul of the T&C's?

ShelfStacker_3

Strictly, First Direct (in common with HSBC) wouldn't charge £25 if you only went a couple of quid overdrawn. You don't get charged if the OD is under £10, and monthly fees are capped at the total amount you've gone over your limit (which, incidentally, is how many many "wronged" people have got charges like £150 in fees - because their total informal overdrafts were well over £150 over multiple transactions - as far as I'm concerned, that's inexcusable).