Bank Charges on account i thoght was closed..credit rating affected..

cdawg

pprox 3 years ago i was paying of a small overdraft by making regular payments over about 12months (the o/draft was about 1200). i believe this to have been turned into a credit agreement where i paid money into my acocunt and they lifted it on a certain date.

however, on paying my last payment i left the account for exmaple 0.60 pence up and the clear took my card to destroy as i wanted to close the account. However the account was not closed and i moved house shortly after and did not think i needed to update my address....Due to (i think) interest being debited i eventually went overdrawn and this natuarally brought charged which eventually went to about 800pds!

Eventually i got a nasty letter from a debt collection agency who managed to find me at my new address...i immediately offered payment and she said that making a token payment would settle the account..i offered 100pds ans she said that was too much so i offered 20pds - she accepted that and that was ok.

Now i am worried the whole saga will kill me when i go for a mortgage - i would like to speak to the bank and appeal on the genuine grounds above that i did ask for the account to be closed and as soon as i realised what was up i acted to rememdy.

is there any advice you can give me? how much of an impact will this have? it happened approx 3years ago and i got the letter about 2months ago.

thanks

seanparkin

Yes, visit the bankactiongroup for information on claiming back all the bank charges within the last six years, and removing the negative credit history!

moongarden

it sounds like perhaps they did not close your account because you had 0.60 pence in there and they could see that you had whatever charges pending to come out still.

they should have explained this to you when you went in to close the account and you could have paid i the money for the interest straight away and then closed it.

definately follow sean parkins advice - i have already had £152 back in bank charges and another £690 to come.

write to the bank (send it recorded delivery) and ask them what attempts they made to contact you. they probably had your mobile number on file and could have contacted you straight away rather than letting it build up and up.

incidentally they are not allowed to charge you because charges make you go overdrawn either.

you can have a note of correction (an explanation) added to your credit file to explain to potential lenders.