Offer received from Bank

oldmodcon

Hi there

Just a question if I may.

I don't want to go into too many details at the moment but my bank has made me an offer in settlement of a hardship claim.

It only took 5 weeks from first letter to offer coming through.

My question is this. The offer is around £2500. I have arrears on a loan with the same bank of apprx £500. I was intending to use part of the refund to bring the loan upto date.

As it is in arrears can the take all of the refund and allocate it to the loan ( which has approx £4000 outstanding ).

I don;t have an issue with using part to bring the loan upto date but if they take it all I can't pay off my mortgage arrears and that is a No 1 priority.

Many thanks for any help

natweststaffmember

oldmodcon wrote: »

Hi there

Just a question if I may.

I don't want to go into too many details at the moment but my bank has made me an offer in settlement of a hardship claim.

It only took 5 weeks from first letter to offer coming through.

My question is this. The offer is around £2500. I have arrears on a loan with the same bank of apprx £500. I was intending to use part of the refund to bring the loan upto date.

As it is in arrears can the take all of the refund and allocate it to the loan ( which has approx £4000 outstanding ).

I don;t have an issue with using part to bring the loan upto date but if they take it all I can't pay off my mortgage arrears and that is a No 1 priority.

Many thanks for any help

With refunds on the basis of hardship, the bank does have the right to off set it against money owing however that would suggest only £500.00 of your claim should be offset against arrears the rest going into the account where the charges have come from. That should leave enough to pay off rent/mortgage, utilities, council tax arrears.

oldmodcon

Many thanks for the response.

I was hoping that was the case. I'll just have to wait and see what happens,

zigzagzen

oldmodcon wrote: »

Many thanks for the response.

I was hoping that was the case. I'll just have to wait and see what happens,

You can be more proactive. Contact your branch, usual contact or the department doing the refund. Explain that with this payment coming in you would like to use some of that money to bring the loan into order and ask what is the best way to do that.

The bank is less likely to make decisions on your behalf in any circumstances if you have been in touch and made it clear you are making responsible decisions yourself.

ZZZ

natweststaffmember

zigzagzen wrote: »

You can be more proactive. Contact your branch, usual contact or the department doing the refund. Explain that with this payment coming in you would like to use some of that money to bring the loan into order and ask what is the best way to do that.

The bank is less likely to make decisions on your behalf in any circumstances if you have been in touch and made it clear you are making responsible decisions yourself.

ZZZ

ZZZ, I would not contact the branch because I think where you have pointed out something ie FSA Waiver Annex 2 point 5. Perhaps asking the branch who to contact is something that they could do(contradicting myself again ). Usually banks have centralised departements who deal with Financial Hardship claims.

oldmodcon

I do have a contact number for the harsdship team so they would probably be the best bet

Thanks for the comments

esmerellda

could you give us the number (and which bank you are claiming against) we are collating an up to date list of hardship depts numbers and addresses to try and help people get letters to the right plce first time.