Can Charges be taken from JSA allowance

sclancy1

I made a payment which I was charged for in June, my JSA allowance went in and the charges were taken from it leaving me with approx 20 to live on for 2 weeks. Then my elect and gas dd came out (would have been enough in account had they not charged me!) and not enough left to cover so again more charges of £25.00 each with elect and gas not paid. More charges are due to come out from this one missed payment.. Are banks allowed to take charges from JSA allowance?

machomanugget

Yes they are allowed to take money from charges from any benefit paid into the account.. ring them and explain the situation if there your first charges they may help..

If not start the claims process..

ALIBOBSY

I have seen discusions on other forums where it is suggested that the law protects means tested benefits and that charges shouldn't be taken from benefits, but things are far from clear cut and the bank is unlikely to agree with this position.
Worth a call to see if they will budge on a refund and defo look into claiming any charges going back 6 yrs (if you haven't already).

In the short term you should be able to get the benefit moved to another account (ie a savings account) to avoid the spiralling charges soaking up your benefits. You will then need to cancel the direct debits and pay the bills direct and the bank will be wanting the overdraft eventually, but short term you can get the cash to live and start reclaiming.

ali x

natweststaffmember

NO, definitely not a savings account with the same bank because they can use the right of offset against any amount owed on the main account. New account with another bank unconnected with the current ones for benefits.
However, I would use the Right of appropriation to get the benefits back. It might be worth ringing the banks collections department and ask for the money because it is essential funds to survive on. Claim back the charges to 27th July 2001