hsbc have left me with no money

jewels47

i have loan with hsbc bank also a current account which the loan repayments go out of, last week there was not enough money in to pay the loan payment so they took all the money that was in the account leaving me with a balance of zero, my weekly pay went in today and they took that straight away also leaving me with zero again, can they do this is it legal without my permission???:o

ShelfStacker_3

It is legal. It's called the right of set-off, and most banks have it in their terms and conditions. They can use any credit balance in any of your accounts to settle any delinquent debts you have with them.

noh

You have already given permission.
Read the T+Cs of both your loan and current account.
Paragraph 16.3 of your current account conditions:-
http://www.hsbc.co.uk/1/PA_1_5_S5/content/uk/pdfs/en/personalbankingterms_conditions.pdf;jsessionid=0000f06RTxpRFpPyb0xsZC4u4lb:12ntf0lqs

Francesanne

Think they can because you've signed an agreement with them to pay back a certain sum each month. We have a friend who had a loan with another bank and never put enough money in her account to cover the loan coming out and she got clobbered with charges virtually every single month. You think she would have learnt a lesson after the 1st time but she did the same every month and wondered why she paid a fortune in charges.

jewels47

Thanks for your comments
Just had a phone call from someone in foreign climes demanding the loan payment in full immediately or i will be requested to pay the full outstanding balance of the loan!!!
I only owe the £15.20 from last weeks monthly payment and they already emptied my bank account twice.

sutton111

Bloody hell.

How many payments did you miss?

jewels47

Only last week the 26th January

milfordmadness

seems a little harsh to demand after one missed payment? Thought there were laws on loans, they have to give you reasonable notice to replay? clarity would be nice....

sutton111

jewels47 wrote: »

Only last week the 26th January

Christ!

I think that is extremely harsh. One missed repayment and you have too repay the whole loan back.

Have you telephoned the loan department and asked for any help?