What would be a fair amout to charge?

melorablack

Just out of interest, I have been reading the threads on this board and I'm just wondering what would people think would be a reasonable charge from the banks when you try and use money you don't have in the bank.

simon_templar_2

Good question! Could the answer be the £12 that credit card companys charge? Thing is when people claim back charges they try to claim ALL the money back which in the end means they have gone overdrawn, bounced cheques and direct debits all for FREE.

arunadasi

melorablack wrote: »

Just out of interest, I have been reading the threads on this board and I'm just wondering what would people think would be a reasonable charge from the banks when you try and use money you don't have in the bank.

You make it sound as if there is some conspiracy among us customers to take money from the banks. If there is no money the banks should simply refuse; decline DDs, bounce cheqes, etc, and any costs to the bank in that refusal should be paid by the customer.

melorablack

arunadasi wrote: »

You make it sound as if there is some conspiracy among us customers to take money from the banks. If there is no money the banks should simply refuse; decline DDs, bounce cheqes, etc, and any costs to the bank in that refusal should be paid by the customer.

Ok then, if the bank always declined anything that you try to take out that you haven't got, then charge you the cost to them for doing this, how much should that charge be?

arunadasi

Whatever it actually costs them.

melorablack

arunadasi wrote: »

Whatever it actually costs them.

How much do you think it costs to pay for the systems, labour, paper and ink, computers and equipment needed to process the charge?

karajane

Well certainly not £35 a go, the actual cost would be very limited labour as the computers automatically generate the letter, these computers are already installed and doing plenty of other functions too, the ink, paper and second class stamp and envelope, hmmmm maybe £1 - £2 maximum

AverageJoe_4

melorablack wrote: »

Just out of interest, I have been reading the threads on this board and I'm just wondering what would people think would be a reasonable charge from the banks when you try and use money you don't have in the bank.

There is no fair amount - if a bank sets up an account WITHOUT and overdraft facility at your agreement and sometimes in my case, my request, then allowing transactions to dip into an "unauthorised" lending is unfair.

It is not always possible to caclulate the exact pence left in an account with lots of DD coming out at different days and times, so the facility should be knocked back. They allow the account to go overdrawn and charges you, then some banks do not allow it, and charge for a DD that never got paid anyway!

it is not up to US to decide the "fair" amount, dont start suggesting it to banks cos you'll set a precident which will no doubt be irreversible..!!

AJ

simon_templar_2

How long before someone complains i got charged £2 for being 1p overdrawn?

melorablack

AverageJoe wrote: »

There is no fair amount - if a bank sets up an account WITHOUT and overdraft facility at your agreement and sometimes in my case, my request, then allowing transactions to dip into an "unauthorised" lending is unfair.

It is not always possible to caclulate the exact pence left in an account with lots of DD coming out at different days and times, so the facility should be knocked back. They allow the account to go overdrawn and charges you, then some banks do not allow it, and charge for a DD that never got paid anyway!

it is not up to US to decide the "fair" amount, dont start suggesting it to banks cos you'll set a precident which will no doubt be irreversible..!!

AJ

But these charges are in the agreement you sign when you open the bank account. It seems that its ok as long as it suits you but once you have to pay for something then its the banks fault. They do tell you you will be charged this much if this happens when you open the account.

AverageJoe_4

melorablack wrote: »

But these charges are in the agreement you sign when you open the bank account. It seems that its ok as long as it suits you but once you have to pay for something then its the banks fault. They do tell you you will be charged this much if this happens when you open the account.

But their terms are fine, but I stand by my point of saying if you open an account with no OD facility, they should not honour payments that go beyond it - its their choice and they trap you.. this is why there is a case in the courts and this is why ppl are getting refunded...

same fo CC limits - they set a limit but with the interest and time scales, if you are close to your limit you are not going to know at any given point what the balance is EXACTLY to the penny - they give you a limit, then allow you to unwittingly break it so they can justify £35 charge for nothing more than a rule break.