Lloyds TSB Card plunders bank account

Brotybob

I have been unable to make payments on my credit card debt and have been in correspondence with LloydsTSB to explain the situation. They have asked me to provide an income statement which I have said I will provide when a determination is made about my benefit entitlement as I recently lost my job. I have made it very clear about the dire situation my family face at this time and I have sat down with my bank manager and agreed to deposit enough when required to meet utility bills etc. Yesterday I was discussing the situation with Lloyds TSB cards and looked up the current balance of my joint bank account (with my wife) and discovered that £199 had been debited from the account by the card company leaving me with just £9.99 to feed my family. No notification was made of this withdrawal and no agreement is in place. I have read that this action is entirely legal but I just want to check that this is still the case in 2009.

Have just spoken to Lloyds TSB in India (don't you just love those offshore call centres!) and they have agreed to refund the money taken from my account. I had to haggle though as initially they only wanted to refund 50%.

BenL

Is the bank account with Lloyds as well?

If so, yes they can take the money and will probably do so when they can and not really care about you and if you have other bills.

If you can, open a new bank account with another provider. Might be a bit tricky with the lack of employment though.

NickX

They are supposed to leave you with enough funds for your day to day living. £9.99 does not sound very fair.

I would complain to Lloyds TSB and request a refund of those funds because they are required for essential living expenses (food, heating, transport etc).

Also set up a new bank account NOT linked to Lloyds TSB (or any other bank to which you owe money) and ensure your wages are paid into this new account. This will keep those funds safe from being plundered by your creditors.

Good Luck.