MBNA - Unfair Charges = HUGE Interest Rate Increase ?

newleaf

YorkshireBoy wrote:

Halifax charge £25 for CHAPS payments - BACS payments are free.

Thanks for the correction YorkshireBoy. Could you now please explain what is the difference between CHAPS and BACS, and why would I not have been offered the choice of making a free BACS payment? I had the sort code, account number and reference no of the destination for the payment.

YorkshireBoy

newleaf wrote:

Could you now please explain what is the difference between CHAPS and BACS,

CHAPS is a same day* transfer of funds, whereas BACS transfers are subject to a 2-4 day delay.

* I think there's a cut-off time.

...and why would I not have been offered the choice of making a free BACS payment? I had the sort code, account number and reference no of the destination for the payment.

I can't answer that one - I do all my banking online. However, I would have asked specifically for a BACS transfer had I gone into branch.

newleaf

Thanks. I asked 'to make a direct payment' as I didn't know the correct terminology, nor that there was more than one way to make such a payment. You'd think the teller might have investigated my request a little more thoroughly with me, and possibly explained a few things? Mind you, she did only appear to be about 14. (grumpy old woman speaking...)

Mikeyorks

newleaf wrote:

I recently tried to pay a loan off by BACS and was informed by the teller in my local (Halifax) branch it would incur a charge of £25 :eek: and would take about half an hour to complete. I changed my mind and sent a cheque by recorded delivery instead, total cost £1.

Yes ... when I said 'costs me less' .... I was referring to the cost of a stamp! As YorkshireBoy has correctly identified, BACS is free and it is CHAPS which carries the charge, owing to same day cleared funds etc.

CHAPS is a same day* transfer of funds, whereas BACS transfers are subject to a 2-4 day delay.

* I think there's a cut-off time.

Yes - its 1530hrs. But there may be a slightly earlier (Admin) closure time, in the Branch, in order to prep the transaction?

M_Thomson

newleaf wrote:

Thanks for the correction YorkshireBoy. Could you now please explain what is the difference between CHAPS and BACS, and why would I not have been offered the choice of making a free BACS payment? I had the sort code, account number and reference no of the destination for the payment.

You can set these up yourself, either using Halifax Online banking or telephone banking.

M_Thomson

Mikeyorks wrote:

Yes - its 1530hrs. But there may be a slightly earlier (Admin) closure time, in the Branch, in order to prep the transaction?

At Halifax it is 2:30pm.

Astaroth

It isnt exactly surprising what is happening is it? I am surprised that so many people have been so nieve to think that people would be able to threaten to sue their bank and then carry on a happy relationship with them getting all the introductory offers etc.

Complainer beware