Barlcay Bank Dispute Need Some Help!!

jaime_strathy

Hey guys

Im going into Barclays tomorrow to try and sort out a problem with my account and I was wanting to find out if any of use know were I stand so I know what to say when I go in.

I've got a student account with them with an overdraft of £500 (well i had) back last year i went into the branch and asked if my overdraft could be increased I sat with a man who went throught the whole procedure and told me that it had been succesfull and would increase to £700. About two days later I went into the branch to withdraw mony I didnt have a card at the time and I withdrew £180 over the counter.

I turns out that the overdraft increase did not go through despite what I was told and when I lifted the £180 over the counter there was no funds in my account I was at 1£500 my limit but they still gave me the money.

Since then the account has been closed by Barclays and I've recieved numerous letters from debt collection agencies who its been passed onto looking for the £680 and Im told that this is the final demand.

I called Barclays yesterday and they said that I should go into the branch but they also said that I should have been aware of the procedures and that overdrafts can go over the limit, but surly they should not have authorised £180 to come out over the counter and also tell me that an overdraft increase has went through when infact it hasn't.
So i'm going in tomorrow to try and get this sorted any of you guys know were i'll stand, their is proof in my statements that they gave me £180 out over the counter which has put me in this situation, but the only problem is their is no proof that the overdraft increase went through or of my meeting and it is quite a while back.

any help would be appreciated !:)

LeeSouthEast

Barclays (and almost any other bank) will let you draw over your limit. This is how they make (lots more) money.

However, I think you have half a case with the overdraft increase that didn't. Barclays overdraft increases are 'instant', as far as I am aware, so you were within your rights to try and use it. The difficulty appears now that Barclays have actually sold the debt on.

the_insider

From the sounds of it they haven't applied any interest or charges to the balance so it's unlikely that they'll be able to do anything to reduce it. You have had financial benefit from the overdraft amount, whether it was authorised or not. And bear in mind that even if the increase had been approved they could have withdrawn the facility at any time without giving you notice and you would then have had to repay the full balance. If you weren't able to do this the debt might have ended up being sold anyway.

What is it that you're hoping they'll be able to do for you? Buy back the debt or amend your credit file or something like that?

samy888

the_insider wrote: »

From the sounds of it they haven't applied any interest or charges to the balance so it's unlikely that they'll be able to do anything to reduce it. QUOTE]

Hi,

Could you explain a bit more, can you claim back interest? I went over my overdraft twice last month, and was charged £22 x2 plus an extra £19 interest on the same day. That's early £64 in interest.

I want to phone them, but i don't know what to say.

krisskross

samy888 wrote: »

Hi,

Could you explain a bit more, can you claim back interest? I went over my overdraft twice last month, and was charged £22 x2 plus an extra £19 interest on the same day. That's early £64 in interest.

I want to phone them, but i don't know what to say.

Do you still have the reserve on your account? This could explain the £22 x 2.

the_insider

If they had made the error they might look at clearing any interest or charges that were caused as a result of it. Have you been given or shown a printout to confirm that the overdraft was not approved but that you were allowed to withdraw the funds anyway? Are you 100% sure that it didn't get approved? It's possible that it's been reduced or removed if you've gone over your limit.

natweststaffmember

To add to the_insider's post, did you get confirmation that it was increased?
Are you sure that the account is a student account because I am surprised that a reserve account is even on Student accounts?
I wonder whether the amount that you took out was the reason for the reserve charge being applied. I do think from your initial post that there is a bank error involved and that they should recall the account from the debt collection agency and agree a payment plan with you to allow you to repay the amount back, imho.