'Reserve Usage Fee' can I claim it back

smileycaz2005

Hi wondering if anyone has a quick answer for me...

Husband has been found to be hiding debt from me in his personal current accound and credit card. He is now very overdrawn, and has been frequently for 18 months+. He has no authorised overdraft, but his bank (Barcleys) 'allow' him to access a reserve of upto £500. However kindly charge £22 (re-charging every 5 days until his balance falls back to £0) for the privilidge.

It seems this is a new facility that the bank has introduced in reaction to overdraft charge claims. Does this mean it's above board and 'fair' or can I submit a claim to reclaim some of these charges. I appriciate it'll be a while - but maybe it can buy ME a holiday once it comes through (I can't see us having one together for a while :mad:)

Someone please tell me this counts and I can claim???

Cx

LeeSouthEast

I can't answer your specific question, but the 'Reserve' usage fees are cheaper than using an unauthorised overdraft facility. Be careful opening that can.

delain

i am currently trying i will let you know how i get on!

LeeSouthEast

Good luck! Let us know how you get on. I'm sure a lot of people will be interested in the result.

smileycaz2005

Thanks for your quick replies!

LeeSouthEast (plese forgive my ignorance) do you mean that they could calculate 'alternative' charge structures and tell me that I'm better off (or worst case - charge me extra?)??? As it's not my account - I'm a little in the dark... essentially Husband must have had the letter allowing him to opt-out, and he's had numerous letter (found today unopened :mad:) telling him each occasion he has used ther reserve, and listing each returned DD. So essentially he's completely in the worng! But we're talking about £100's (probably £1000) and it does seem an 'unfair' charge as it's compounded the problem... ARGH - I feel I'll be ranting about this for a while before I calm down (if I can concentrate on this issue - it protects Husband from excessive physical harm :rolleyes:)

Delain - good luck! how does it work - is it just a case of send your claim off to the bank or ombudsman and wait until the test case (and hope)? There seems to be some whisperings that as this is a 'product' it won't be governed by the same overdraft charge rules...Ironically - I'm pretty good with money - but I'm struggling to get my head around this

Thanks guys!
Cx

natweststaffmember

I would remove the reserve from the account which saves you £88.00 a month from the sounds of it. You can claim the charges back since no court has deemed that the charges are fair.

LeeSouthEast

C - the short answer is I really don't know. My philosophy on life is if something has the potential to bite you in the backside, it very probably will. There is nothing that I know of stopping Barclays removing and recrediting his account with the Reserve Fees, only to tell him that he now owes 3x the amount you originally reclaimed because they've recalculated them. You could probably claim those back as well, but is it worth the headache?

I don't work for Barclays (although I guess some of my posts sound like I may!). I just like a simple life and sometimes it's worth leaving a chapter closed.

Others who have done it will be along soon I suspect; blow my theory out of the water, and tell you to go for it.

smileycaz2005

Natwestmember - thank you! Husband is going in to the bank today to see what they can do to help. I suspect they'll not be too helpful, but we're working on plans of action now to do the MSE thing and get these expensive debts sorted - I just wish so much money hadn't been wasted already on fees and interest Definately going to collate the total charges and see about putting that claim in!

Lee - I too share a lot of your cynicism I'm hoping and praying that my good karma will outweigh husbands though . Think I'll have to sort myself out some goals in my signature too - looks like I'll be on this site a lot over the next couple of years!

Thanks!

delain

the staff in branch have to say they cannot remove the reserve whilst it is in use, however if your OH calls telephone banking they will remove it there and then and only charge interest on the balance and £8 per returned transaction. However, they take out the charges a long while after you acrrue them. i cancelled my reserve 2 weeks ago, and i'm due to be charged £96 in august and 22 in september. but the thing is, there wll be no new ones

natweststaffmember

delain wrote: »

the staff in branch have to say they cannot remove the reserve whilst it is in use, however if your OH calls telephone banking they will remove it there and then and only charge interest on the balance and £8 per returned transaction. However, they take out the charges a long while after you acrrue them. i cancelled my reserve 2 weeks ago, and i'm due to be charged £96 in august and 22 in september. but the thing is, there wll be no new ones

Delain, thanks for your post but can I ask you whether they take the fees out the month after they have been incurred?

delain

natweststaffmember wrote: »

Delain, thanks for your post but can I ask you whether they take the fees out the month after they have been incurred?

Yes, they come out '14 days from your next statement' (ie when you're almost back in credit, and they can't have that :rolleyes:)