A&L Bank Extortionate Bank Charges

SkintFlint73

My Partner has an online Alliance & Leicester bank account which he opened probably about a year ago. He started to have his wage paid into my account after a few months instead of his so he was suddenly charged £5 for not having, I think it was £500 in his account. This took his account £3.50 overdrawn. His account doesn't have an overdraft. When this first happened he didn't realise it had because he had stopped using the account. Suddenly he started getting letters saying he owed £60, then it quickly went up to £175. He complained but the person on the phone said it was his fault for not checking his account. Fair enough, it probably was but he now owes them over £500. He has been getting letters saying they are dealing with his complaint and apologise for it taking so long. Then he gets other letters as if from another department asking for the money back and threatening him with legal action & asking him to put in a claim for financial hardship.

We aren't sure where to go from here. He initially complained because they amounts they are charging him seem very random. The wording in the terms and conditions says, 'they might add charges'. It says might and does not state how much the charges will be. It also feels like they are bullying him into putting in a financial hardship claim and ignoring the fact he wants to complain about the terms and conditions and charges being applied. They have now suspended his account but we don't know if this means charges will stop, or just that he can't use the account.

The £3.50 overdraft is now a £500+ one and we haven't spent a penny of it, its all charges. What can we do??

Urgent Advice needed - please help!! :mad:

natweststaffmember

He needs to write to the legal department explaining that Alliance and Leicester are currently looking into a complaint which he hopes can be resolved amicably. Any proposed action should be suspended while the complaint is investigated.

I certainly DO NOT agree with you that they are bullying him into a financial hardship claim because he wouldn't get one that would pay out on the information you have supplied above

SkintFlint73

Thanks for your advice. Not sure what you meant though by you certainly do not think he is being bullied into a financial hardship claim. I'll try explain further, they acknowledged he had complained about the terms and conditions being rather vague. They stated that they may apply charges. They are still writing saying they are looking into the complaint and now apologising for it taking so long (its now over 8 weeks) but also writing demanding he claims financial hardship and pays the money back. Its so confusing, its like one letter from them contridicts the next. I have typed out a letter today so hopefully they will sort it.

SkintFlint73

natweststaffmember

SkintFlint73 wrote: »

Thanks for your advice. Not sure what you meant though by you certainly do not think he is being bullied into a financial hardship claim. I'll try explain further, they acknowledged he had complained about the terms and conditions being rather vague. They stated that they may apply charges. They are still writing saying they are looking into the complaint and now apologising for it taking so long (its now over 8 weeks) but also writing demanding he claims financial hardship and pays the money back. Its so confusing, its like one letter from them contridicts the next. I have typed out a letter today so hopefully they will sort it.

SkintFlint73

You need to go to the Financial Ombudsman Service because of the timescale and frurthermore, if they have demanded he claims financial hardship, that is wrong.