A new approach (advice please)

moosetime

I would like to know what you make of this (I don't know if anyone else has brought it up before -

So, on my Barclays account, I'm now about #500 overdrawn, which is about #300 more than my overdraft limit. However, most of this is in overdraft charges. My actual transgression was only to the tune of #100 or so.

So here's my thought, what about refusing to pay on the grounds of the test case? The banks certainly love that old response "During the test case, we can not reveiw your clain etc etc..." Would it work for me? A response like, "I can not in good conscience pay your charges until their legallity has been verified".

Its not my main account or anything so I can live with it being non-functional. And my credit score is already a mess.

Thanks,

Moosetime

moosetime

In addition, I thought of suggesting that I'll repay the #100 or so once they've returned my money, to see if this speeds things up.

esmerellda

the part of the overdraft that is made up of charges (value of charges built up since 2001) you can, if you no longer use the account, put into dispute with the bank. Add a part in your letter asking to reclaim the charges about how the OD is made up of these and whilst the dispute is being sorted you wish them to half interest and further charges and you will no longer use the account.

if you are worried about them getting heavy with DCA's or even offsetting savings/other accounts with that bank against the debt then possibly offer a repayment proposal each month.

For example: (this is for if you have already entered your initial complaint asking for a refund of charges)

Dear Sir or Madam,

ACCOUNT NUMBER: xxxxxxxxxxx

I am writing with regards to the alleged outstanding debt owing on my account. You will be aware that I consider the debt to be in dispute as the majority/whole of this sum is made up of disputed charges and interest charged thereon.

This dispute was notified to you in a letter dated xx/xx/xxxx (copy attached) (add any other action you have taken thus far with regards your claim for charges)

In your letter dated xx/xx/xxxx you have informed me the amount outstanding on the account is £xxxx.xx . The amount I calculate you have taken in unlawful charges and interest on those charges is £xxxx.xx. In addition I am claiming from you a sum of compensatory interest equal to 8% per annum which brings the total disputed amount to £xxxx.xx .

I have no intention of reneging on any part of this account which may be legitimately incurred debt and as I understand the issues surrounding the dispute are currently pending determination in the House of Lords and with the Office of Fair Trading, as a gesture of goodwill I would like to arrange with you to keep this debt on hold until the outcome of that case. Therefore I propose that you place a hold on further charges and interest being added to the account and that you accept an interim repayment plan.

I propose I make payments to you of £xx per calendar month, the first payment is enclosed, until such time as the dispute is resolved. Once this dispute has been resolved, if in my favour, you will continue processing my complaint, and if in your favour we will review repayment arrangements for the alleged debt. To be clear I currently dispute whether this sum or any is actually owed to your company and I am simply offering a reasonable solution in the interim whilst the dispute is considered.

I would like to make you aware of The Office of Fair Trading Code of Guidance in which it states: putting pressure on debtors or third parties is considered to be oppressive This includes: Ignoring disputes about whether money is owed and refusing to freeze action if the debt is in dispute.

I therefore hope to receive your full co-operation in this matter and would like to request a written response to that effect.

Yours Sincerely



Your Name

esmerellda

Oh and its unlikely to speed anything up.

moosetime

Thanks alot. I'm going to take this approach when I get back to England.