Bank Charges Reclaiming Guide discussion

yoda1177

Thanks blackanchorage

natweststaffmember

blackanchorage wrote: »

I've now read this report, and I'm not sure on your conclusions. Table C.27 shows that the average person who runs their account with a large credit balance is losing £102 in lost interest a year; yet it costs somebody who has an unauthorised overdraft between £200 and £300. So I tend to agree with the conclusion that they are robbing the poor to pay the rich... Of course I may be misunderstanding the report, or not interpreting it correctly.

I know this is more of a philosophical argument than a practical one, but I see a lot of posts defending the banks, on what I'd argue is an indefensible position.

Regards

EDIT: thinking about this a bit more, somebody losing £100 is also being robbed... I suppose the they're robbing the rich and the poor to pay those in the middle, who run a small credit balance, and don't incur charges. :think:

The rich are also likely to be paying for their account upwards of £200.00 which again factors into OFT1005c, with regards to packaged accounts. I don't think we can simply say that the banks are robbing the poor.
I would agree with your sentiments in the edit though

markdsmith_2

Update on my case. I received a rejection letter from Nationwide stating that although they are "sorry to hear about your current circumstances" they "have to be fair and consistant" in their approach. They claim ""we believe you have suffcient income to cover your essential monthly expenditure".

They now say I should deal with the debt collecting agency KKPR.

What's my next step? There is no way I can afford to pay back the money they are claiming.

The overdraft is £1800 and I'm claiming £2950 + interest in charges (going back to Jul 07). One of the criteria for hardship cases is if you incurr more than £500 a year in charges. Is this correct? Please help.

Update 2: re-approached Nationwide by phone and letter and they are sticking to their guns. Tried the route that the charges caused further DDs to bounce thus causing additional charges hence causing hardship, but they just said "you should've changed your DD dates then". :mad:

Now with the FOS to see what they can do. From my statements it clearly shows their charges coming out caused this vicious circle. Now banking with A&L with no problems as I'm out of the cycle. Problem is, the O/D with Nationwide still stands so I need to get this wiped out. Has ANYONE had any success against Nationwide via the hardship route? :think:

Update 3 - After sending letters to the FOS, they contacted me firstly by letter dated 11th March, then I had a very nice call from a lovely lady from the FOS by telephone to explain the procedure and that Nationwide have until 26th March to respond.

On Saturday 20th March I had a call from a debt collecting company saying the debt was now with them (£1,840.41 with intertest being added) but they would accept £1,000, like I have that sort of money hanging around! I had never heard of this debt collecting company so refused to give details and asked for the information in writing, which they were not happy about. I received this letter on Monday 22nd March so I called them immediately saying I would not pay anything until the FOS had made a final decision. They weren't happy, again, saying I should pay or it may go further. I refused to pay anything again stating that the FOS were involved so nothing would be paid. They didn't believe me so I said I would copy them the FOS letter and send them an explanation of my case. I will also be sending this to the FOS.

Funny that this was given to a new debt collecting agency just after the FOS got involved!

I will keep you updated.

the_insider

If they are still applying interest I would recommend that you make at least token payments. Saves the account from being passed for further recoveries action.

WNVAUGHAN

About 9 months ago I tried to switch to Abbey (now Santander) from Halifax. In so doing, I requested the switch to occur from 15 July. It started on 15 June and as a result, all of my DD from halifax transferred and were claimed before I could pay my salay in. Result = automatic charges totalling £200.

As I was out of the country, I missed many of the letters and got into difficulty with the creditors, having to make manual payments. I caught up by Christmas but by now the charges in the Santander account grew to over £500.

I complianed to Santander. They said it was my fault and needed to make sure I had cash in the bank. The compliants process was drawn out over 3 months (March 2010), by which time the charges grew to over £700.

I continued to complain. And complained about the complaint not being addressed properly. I complained again about them not being considerate to people who made genuine mistakes / errors. I said that I was always willing to pay a 'fair share' and wanted a banking relationship with them.

Today I recieved a letter saying that all charges were reveresed and the balance is now £0.00. My credit report is being updated to reflect a 0 activity account rather than a poorly managed one.

What a win !!!!

May be I did make a mistake when switching accounts. But the message is simple - be honest, be a pest and try and be a fair customer for them. It has certainly worked for me !

This was entirely independent of any of the 'claim your charges back' scheme run by these pop up legal companies.

Will

markdsmith_2

the_insider wrote: »

If they are still applying interest I would recommend that you make at least token payments. Saves the account from being passed for further recoveries action.

Why pay for something you don't feel you owe?

Bristolman_2

WNVAUGHAN wrote: »

About 9 months ago I tried to switch to Abbey (now Santander) from Halifax. In so doing, I requested the switch to occur from 15 July. It started on 15 June and as a result, all of my DD from halifax transferred and were claimed before I could pay my salay in. Result = automatic charges totalling £200.

As I was out of the country, I missed many of the letters and got into difficulty with the creditors, having to make manual payments. I caught up by Christmas but by now the charges in the Santander account grew to over £500.

I complianed to Santander. They said it was my fault and needed to make sure I had cash in the bank. The compliants process was drawn out over 3 months (March 2010), by which time the charges grew to over £700.

I continued to complain. And complained about the complaint not being addressed properly. I complained again about them not being considerate to people who made genuine mistakes / errors. I said that I was always willing to pay a 'fair share' and wanted a banking relationship with them.

Today I recieved a letter saying that all charges were reveresed and the balance is now £0.00. My credit report is being updated to reflect a 0 activity account rather than a poorly managed one.

What a win !!!!

May be I did make a mistake when switching accounts. But the message is simple - be honest, be a pest and try and be a fair customer for them. It has certainly worked for me !

This was entirely independent of any of the 'claim your charges back' scheme run by these pop up legal companies.

Will

********************************************************

Well done to Will, what a great result.. Its good to get some good news against these huge companys..

Stuart

the_insider

markdsmith wrote: »

Why pay for something you don't feel you owe?

Because otherwise it might affect your credit file, the balance will continue to increase and you will get continued calls and letters from collections agents. If the complaint is upheld you can apply for a refund of the payments you have made, but if it's not at least your stubborness has not made your situation worse!

markdsmith_2

the_insider wrote: »

Because otherwise it might affect your credit file, the balance will continue to increase and you will get continued calls and letters from collections agents. If the complaint is upheld you can apply for a refund of the payments you have made, but if it's not at least your stubborness has not made your situation worse!

So you suggest making small payments to the debt collecting agency to cover interest that you were not told about on a debt you do not agree with and was passed to them without any consultation or notification?

Bankingdoubter

At the beginning after a long slog claiming financial hardship the Nationwide gave me £420.00 of a possible £3,500 that was taken off me in charges. I am now in the process of fighting to keep my house as I got behind with my morgtage by £ 1,800 and the Nationwide wants to evict me. Please with all the best intentions don't tell me the financial system we have here in the UK is fair far from it. When you are down you get kicked, there is no help. What ever happened to that oddity called cash? I should have a right as a citizen how I wish to pay my bills not being dictated to by some New World Order. Absolutely Fed Up.:money: