Report Bank Charges successes and failures

[Deleted User]

The Banks won their court case about unfair bank charges and so the Financial Ombudsman has no ability to arbitrate in such cases. The MSE advice article (where you got your template) clearly states that you need to meet the Bank's criteria of Financial Hardship to have any hope of success.

Historical bank charges are not recoverable.

I recommend you read at least a few pages back through this thread.

oligopoly

Just to share my success story: I posted a letter mid-August asking for a breakdown of all charges on my HSBC current account to date. A response was prompt and showed £500 worth of charges over the last 6 years. The majority of these were for using my overdraft service.

I posted a follow up at the start of this month asking for these charges to be refunded, as I have struggled for some time to get out of my overdraft. I have allowed myself £25 pocket money per week and recently have been charged around £18 per month for the overdraft facility. I argued that when I set up the account and overdraft facility, it was free of charges – the charges were only introduced once my overdraft was maxed out.

A very friendly and helpful chap from HSBC called yesterday to say he understands my situation, and whilst all of the charges on my account are correct, normal and fair, he would refund £300 as a gesture of goodwill, which would halve the debt on my account and to serve as a thank you for my continued business. The money was in my account late last night.

I am over the moon with this refund – it really was a speculative letter and I wasn’t expecting anything. It’s helped a great deal and I aim to clear my overdraft completely very soon.
:beer:

OhReally_2

oligopoly wrote: »

Just to share my success story: I posted a letter mid-August asking for a breakdown of all charges on my HSBC current account to date. A response was prompt and showed £500 worth of charges over the last 6 years. The majority of these were for using my overdraft service.

I posted a follow up at the start of this month asking for these charges to be refunded, as I have struggled for some time to get out of my overdraft. I have allowed myself £25 pocket money per week and recently have been charged around £18 per month for the overdraft facility. I argued that when I set up the account and overdraft facility, it was free of charges – the charges were only introduced once my overdraft was maxed out.

A very friendly and helpful chap from HSBC called yesterday to say he understands my situation, and whilst all of the charges on my account are correct, normal and fair, he would refund £300 as a gesture of goodwill, which would halve the debt on my account and to serve as a thank you for my continued business. The money was in my account late last night.

I am over the moon with this refund – it really was a speculative letter and I wasn’t expecting anything. It’s helped a great deal and I aim to clear my overdraft completely very soon.
:beer:

Really? You had an account from HSBC that was originally free of all charges, no matter how much money of theirs you spent?

I would argue that you are mistaken.

Furthermore, one term would be that they can change any term whenever they like, probably after notice except in normal circumstances. So I would also argue that you were given advice of any change to the terms or tariff. In recent times, I see they even tell you what your option is if you do not agree to the changes. i.e. close the account.

All the same, congratulations on your refund

oligopoly

OhReally wrote: »

Really? You had an account from HSBC that was originally free of all charges, no matter how much money of theirs you spent?

I would argue that you are mistaken.

If memory serves correct, it was a student account that gave me a £1,500 overdraft facility with no fees for spending any of that £1,500. In the last few years, they moved the goalposts so that only the first £500 was charge-free. Like I said, this is from memory - my post is meant to be taken more anecdotally than anything else.

OhReally wrote: »

Furthermore, one term would be that they can change any term whenever they like, probably after notice except in normal circumstances. So I would also argue that you were given advice of any change to the terms or tariff. In recent times, I see they even tell you what your option is if you do not agree to the changes. i.e. close the account.

This is the whole point. I've struggled for some time to get out of my Overdraft - my salary clears it down temporarily before my usual direct debits fill it back up again. I didn't feel i had the option to move account and felt trapped. Anyway, I feel it was a nice gesture from the bank and hope my story helps someone else reading this.

OhReally_2

oligopoly wrote: »

If memory serves correct, it was a student account that gave me a £1,500 overdraft facility with no fees for spending any of that £1,500. ...

So are you still a student? :huh:

oligopoly wrote: »

...my salary...

Presumably not

oligopoly wrote: »

I didn't feel i had the option to move account and felt trapped.

I'm sure the original terms of the account said you could not keep the student account, and it's terms, once you were no longer a student.
The bank presumably moved you to an account you were entitled to then have, and would have told you the new terms.

You didn't have to agree. You could have closed the account (having paid back the money borrowed)
Most banks would have been more than willing to have given you a new account and a overdraft/loan to pay off the existing overdraft, especially if you had acted responsibily as a student by not exceeding the £1500 OD facility and not incurring fees.

rashismart2000

I used to have overdraft facilites with LLoyds TSb about two years ago. I started my overdarft from £250 and end up with £3000. I use them all. Every month my wages will clear half of the overdraft. I was paying about £50.00 per month as interest charges. Can I claim that money back, clearly I was in finacial hardship ?
thanks

[Deleted User]

OhReally wrote: »

So are you still a student? :huh:

The Bank awarded a "goodwill" payment, so they didn't actually accept any of the OP's arguments that he should be refunded. As such, debate about it is redundant. However, I agree that trying to argue that what was once free should remain free (despite no longer being a student) should have been futile.

OhReally_2

rashismart2000 wrote: »

I used to have overdraft facilites with LLoyds TSb about two years ago. I started my overdarft from £250 and end up with £3000. I use them all. Every month my wages will clear half of the overdraft. I was paying about £50.00 per month as interest charges. Can I claim that money back, clearly I was in finacial hardship ?
thanks

Please explain, because that's currently as clear as mud to me

OhReally_2

Moneyineptitude wrote: »

The Bank awarded a "goodwill" payment, so they didn't actually accept any of the OP's arguments that he should be refunded. ....

To be fair, banks always refer to a 'refund' of bank charges as a goodwill gesture (except where they have been incorrectly applied in the first place) as otherwise they are effectively admitting they have done something wrong and will open the floodgates to all those who have been similarly charged.

[Deleted User]

rashismart2000 wrote: »

clearly I was in finacial hardship ?

Can't see anything in your post that indicates "Financial Hardship". It's the Bank's criteria for that you have to meet, not your own!