Please help me with dilemma of overdraft and fees on bank account

sarah.taylor72

I have an Alliance and Leicester account. I have a £100 overdraft on it.I was made redundant for the second time a few months ago and am currently living on JSA £64.30 per month.

I rearranged with creditors to pay them into there banks direct per month by paying cash.

Meanwhile on my Alliance and Leicester account which was £1.00 over my overdraft on beginning of May 09.Charges from Alliance and Leicester went out. Charges went out of my account in May for £3.00 for overdraft usage fee for the account charged at £0.50 per day and then charges on the account went out for £80.00 (£5.00 per day of exceeding overdraft 16 days) thus taking me further over my overdraft. So instead of the account being £101.00 overdrawn I now had £184.00 overdrawn due to charges.

Beacause I am on job seekers allowance and get paid fortnightly. Money went into the account for £128.60. But because I had 2 direct debits I had forgotten to cancel. It went out and was refused and they put a £25.00 payment review fee on twice i.e. £50.00for going more over limit.

So now I was well and truely overdrawn and had no money at all.

This month they have put on another £80.00 charges (£5.00 per day for being overdrawn) and also another £3.00 in charges.With another £83.00 in charges going on again at the end of the month.

So I am even further in debt and no way of having money for living at all.

I rang the bank and they wouldn't allow me to have my Job Seekers Allowance out at all and also the Job Centre said that it was not there problem.

£299.00 of charges in not very long amount of time.
I have applied for jobs as I hate being unemployed.

How on earth do I sort out having some money to live on?

I am at the end of my tether.Family won't help as they are selfish and I am in the position where I have no money for anything.

My major dilemma is how on earth do I sort all of this out.

glider3560

Open another account somewhere else (e.g. a basic bank account) to have your JSA paid into. Then at least you have access to that.

You will then need to come to some arrangement with A&L to repay the overdraft. Probably best posting on the Debt Free Wannabe board as they are more clued up on repayments etc.

td_007

Agree with above. It might be easier to go for a basic bank account i.e no overdraft etc.(e.g Halifax Easycash) as given the circumstances there is is high probability your could be refused for a current account.