MSE News: Bank charges: banks win test case appeal

mambury

very interesting about the FSA..... Any advice on what to do next??
I have claims (with NW and A&L) on hold in county court at the mo. Am I right in thinking that this still stands???

technodup

jamespir wrote: »

i think those who are smug and think its great should be charged a lot more than those who struggle ie if you pay in more than 5000 pounds a month you should be charged for it for using the bank

People with more money in the bank should be charged MORE? In what way does that encourage personal responsibility and saving?

The more money you have the more interest you should receive i.e. the bank pays YOU- not the other way round.

Some folk on here are unbelieveable.

blahblahdoh

"Fairness (what we have now got again), is those that go against bank rules paying out"

No-one has suggested otherwise. How much should they pay? Should this be a fair amount or not?

gordothegopher

I do have sympathy for those who find themselves in financial hardship caused by extortionate charges from banks and it is right that they are given assistance to come out the other side with a fighting chance.

However, some people seem to have a warped version of the definition of 'fair'. Banks charge if you go over your authorised overdraft limit. I'm sure this isn't news to anyone. So how people manage to rack up £1000's in bank charges and then plead 'but it ain't fair, guv' is beyond the pale. After all, it is US the consumers who have a responsibility to manage our financial affairs and ensure we don't live outwith our means.

As one commentator already pointed out, overdrafts are there to be used for unforseen circumstances and emergencies, it's not extra 'free' money from the banks for you to spend. So if you take home £1000 a month and also have an authorised overdraft of £1000, this does NOT mean you have £2000 to play with! You live within your means (i.e. £1000 a month) and you have a bit of wiggle room in case you are hit with a big bill one month.

I think there are many people who need to learn to manage their money better, and take responsibility for their own overspending. That's certainly the lesson I've learned from it all ... to take responsibility for my irresponsible spending and put it right, rather than blaming it on the banks not playing fair, who at the end of the day are looking to make money!

balatro2005

I have to admit that I have not had bank charge in almost 6 years but all that changed when I decided to go to college and get an education to get a better paying job. This has so far ended in disaster as due to saas not getting my payment to me for 3 months course started in September (I started the saas way back in may a good 3 months before I started the course) I have endured horrendous bank charges I have had almost £455 worth in 3 months that is only 13 bank charges. This situation is beyond my control and I can’t be expected to cancel direct debits for a loan, credit card, electricity council tax and rent. Due to always being reassured by saas that payment would be made by x date I didn’t cancel direct debits and so I was always going slightly over my limit. I did approach the bank for an over draft but was told I was not aloud due to my student status. I then tried to get a student account which I was turned down for. So I got zero help form my bank even though I was the perfect customer before this.

It would have been nice to have gotten the money back but for all those people who say it’s your own fault sometimes it isn’t and it’s unbelievable for you people to say other wise. Unless you experience something for yourself then you can’t have an unbiased opinion about it and I have experienced both and can say that it is incredible unfair and wrong for banks to charge what they do.

I would also say that the judgment is another unbelievable farce and just goes to show what type of country we live in where the poor will continue to become poor and the rich even richer. If mps were told to survive on minimum wage for the time they were in office the laws would become far more beneficial for the majority of people rather than the minority.

Namechanger

Namechanger wrote: »

Can we still continue to claim under hardship as this is not a final ruling on the case?

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technodup

oowson wrote: »

I don't understand what all the fuss is about - this is EXCELLENT NEWS.

If the banks had lost they would have to make money other ways - for example by charging us all to have an account, use a cash machine, etc.

As it stands, people who are stupid enough to borrow money from their bank without first setting up the rights to borrow the money are paying all these fees for us.

I can't think of a better out come. Long live free banking for those who are sensible and have some common sense.

This.

I'm certainly a gloater today.:rotfl:

mach_3

I_know_my_ABC_and_my_CMYK wrote: »

I wonder how many people now will take all their money out of the bank and use cash only.

Also how many will now look at accounts off shore

I have started already. I will leave in enough to pay the bills. The rest goes in my pocket as cash, and offshore. No longer will they be investing my hard earned money to make themselves rich.

Miguel1979

Damn!

I so knew this would be the outcome. I was currently going for a financial hardship reclaim of around £600 (not massive amounts compared to others, but money I desperately need). Does anyone know what this means for the financial hardship claims? Is it just a case of tough t*tties?!

Am loving all the smug responses, saying how pleased they are and that they have never had a charge, and it is all our own stupid fault for getting into this mess.

If you hadn't noticed there has been a recession on, in the last year I have had to take a £2000 pay cut, after Christmas I will be put on a 4 day week, another 20% pay cut (another cut of over £4500pa). So in just over a year my earnings have gone down by over £6500.

My husband was due to be made redundant, and whilst he was luckily enough to find a new job, it is in the same salary as his current position, but involves daily train commute at a cost of £4000pa.

So as a couple we will have lost over £10500pa from our income, our outgoings are still the same as they ever were (probably higher due to inflation, increased fuel bills etc).

I don't think I can be help responsible for that, I rarely go out, can no longer afford holidays, do not buy myself new clothes or luxeries etc, my wages are purely going on paying bills. I'm having to use credit cards to get by every month. Yet you think it is my fault I have incurred these charges?!!

For what it's worth I have been with my bank (Barclays) for over 15years, and up until this year I think I had incurred maybe 1 or 2 charges max, all the others have been as a result of my current situation.

I just hope those of you holding us all responsible for getting ourselves in this 'mess' don't have to experience redundancy, pay cuts etc. Then again maybe it would be a good thing, then you can see that living in the real world is not as easy and wonderful as you perceive it to be through your rose tinted spectacles!

Anyway rant over!

Back to my original point, does anyone know how this affects financial hardship cases?

Thank you.

monks28

If you dont have it - dont spend it! Unauthorised ovedraft is just that "UNAUTHORISED", if you get fined tough you should have got an overdraft arranged through the normal ways. If this action had won everybody including the majority of us who either dont use overdrafts or have a limit in place to stop us being charged would get penalised as banks would raise there charges across the board the recover the losses from paying out.

I know this wont be popular but its just the way it is.