finacial hardship rule with the FO

bigrobbyault

hi i was wondering if someone can help me? my partner was/is trying to claim back her bank charges we went down the normal route but we are now trying for the hardship. my partner has just got of the phone to the ombisman and they have told her that because she no longer has an active account with hsbc she can not claim her money back which is around £2000 of which 95% of it was taken out of her income support and child benifit money some years ago. she is also being chased by debt collection agencys for aound £400 because of bank charges that where put on after she closed the account.
hope someone can help
thanks ROB

Premier_2

The bank lending code does put an onus on customers in financial hardship to try and help themselves.

http://www.lendingstandardsboard.org.uk/docs/lendingcode.pdf (term 137)

However, if you think you have tried to help yourself despite getting an extra £400 collection charges added to the debt and the bank won't accept your claim and the FOS has already declared they won't help you, then court action is your only alternative if you wish to pursue the matter.

See Martins article on reclaiming, in particular the difficulties & costs he thinks you will face trying to make any court claim stick.
http://www.moneysavingexpert.com/reclaim/bank-charges

natweststaffmember

bigrobbyault wrote: »

hi i was wondering if someone can help me? my partner was/is trying to claim back her bank charges we went down the normal route but we are now trying for the hardship. my partner has just got of the phone to the ombisman and they have told her that because she no longer has an active account with hsbc she can not claim her money back which is around £2000 of which 95% of it was taken out of her income support and child benifit money some years ago. she is also being chased by debt collection agencys for aound £400 because of bank charges that where put on after she closed the account.
hope someone can help
thanks ROB

To be honest with you I would agree with Premier, and with the FOS because the issue on reclaiming under financial hardship is twofold, you contacting priority creditors to see what help they can give and furthermore on the bank account you are claiming from being active. There have been payouts on historical charges where an account is no longer active but it would be a rarity currently.

With regards to current county court litigation it will be more difficult since the newer arguments are yet to be tested within a court of law.

bigrobbyault

hi thanks for the replys i dont know if it helps but when she first put the claim in the account was active still and she was using it also the debt collectors that are after the money are working on behalf of hsbc when she contacted hsbc they told her that it was ok and not to worry about it and they will call them of but she did not get this in writing it was just over the phone. so do you think she can still claim.
thanks ROB

Premier_2

Of course she can claim.

A claim of £400 will cost to file £35 using mcol, or £45 direct with the county court; further costs may be involved as the case progresses. ( a claim for £2000 will cost £80/£85 respectively)

If she is really in financial hardship, she may be entitled to remission of those fees in full or in part.

Whether she ultimately wins no one will be able to say at present, that will all depend on the Judge on the day.

natweststaffmember

Premier wrote: »

Of course she can claim.

A claim of £400 will cost to file £35 using mcol, or £45 direct with the county court; further costs may be involved as the case progresses. ( a claim for £2000 will cost £80/£85 respectively)

If she is really in financial hardship, she may be entitled to remission of those fees in full or in part.

Whether she ultimately wins no one will be able to say at present, that will all depend on the Judge on the day.

Premier, I am surprised you haven't posted your usual cautionary words. I would have because I think if someone has not already filed a claim at court then they should wait for the time being. I know that there is a guide here to going to court but I am in the very cautious camp of not rushing into lightly since costs can be awarded against the claimant.

Premier_2

natweststaffmember wrote: »

Premier, I am surprised you haven't posted your usual cautionary words. I would have because I think if someone has not already filed a claim at court then they should wait for the time being. I know that there is a guide here to going to court but I am in the very cautious camp of not rushing into lightly since costs can be awarded against the claimant.

I already did that in my earlier post#2

It's not gone unnoticed that a few of the once staunch campaigners have started to come round to my way of thinking, at least in part, over the past 3 months

natweststaffmember

Premier wrote: »

I already did that in my earlier post#2

It's not gone unnoticed that a few of the once staunch campaigners have started to come round to my way of thinking, at least in part, over the past 3 months

I'll let Ian Paisley tick you off on that last point, Premier

http://www.youtube.com/watch?v=R8mJwXIaqNY

Premier, at the moment, I don't agree with starting newer claims until at least some of the claims in the system have been tested with newer arguments for the simple issue of "wasted costs" because whilst there maybe a defence against it, I would prefer to have a stronger defence against that in case they were to lose in spite of the cautious nature of what is being said.
Anyway, Ian Paisley told you my view and I am a loyalist to the Bank charges campaign