Overdraft charge (debit card use)

justonemorequestion

dunstonh wrote: »

How much are you earning for this thread?

About £25, i'm at work, yes and before you ask, i am the boss.

dunstonh wrote: »

Don't worry. i wont be targeting you. I don't deal with the bottom end of the market.

Talk about touching a nerve. Like it. At least you are truthful and admitting that you do use a social forum to target members of the public for business.

Anyways all sorted now. So chill go back to confusing yourself.

justonemorequestion

jambosans wrote: »

Asking questions like this and plastering your distrust of the world all over your signature does not discredit other posters. I've sourced my information, and given constructive advice, yet all you want to do is resort to rhetoric.

So that's a YES then. No what I asked is for advice not for IFA, FA and bank employees to try a defend an all ready ruined banking system. Anyone who uses information from Wiki as a form of defense or explanation is not sourcing information.

emmerrrrr

which bank are you with?? i'm here because i've just recieved a letter from lloyds stating that because i was over drawn by £0.86 for less than 24 hours, i will recieve an 'unplanned overdraft monthly fee of £15, plus a daily fee of £6'

i think £21 for 86p is utterly ridiculous. i'm obviously not in a position to pay that, and the letter goes on to further state that if i cannot pay it, then i will be charged further for a 'returned item fee' so i will be getting charged even more money that i cannot pay!

and before i get slated by the person who is telling people to watch their spending habits, i have no money in my account due to being paid by cheque for my job, and the cheque not clearing in time because of the bank holiday. i was 86p overdrawn due to a very small food shop that i needed to do.

jambosans

justonemorequestion wrote: »

So that's a YES then. No what I asked is for advice not for IFA, FA and bank employees to try a defend an all ready ruined banking system.

jambosans wrote:

No system can be 100% fool proof, so you still need to keep an eye on your account. If there's a smaller difference between your balance and available yet nothing reflected on your recent transactions, then this suggests an authorisation has dropped off. As I've said, it doesn't happen very often, but a lesson learned that you do need to micro-manage your accounts or start leaving a small "cushion" of money in your account to cover such eventualities.

I gave advice, just not what you wanted to hear.

Perhaps in your first post you asked for advice, but the second made assumptions about how debit card transactions work (some correct, some not). I was not defending the system, I was explaining it.

justonemorequestion wrote: »

Anyone who uses information from Wiki as a form of defense or explanation is not sourcing information.

Fair point about Wiki, from the FSA's Moneymadeclear website:-

Moneymadeclear wrote:

Depending on the type of bank account you may get one of four types of debit card: Maestro, Visa Electron, Solo or Visa Debit. The services provided are very much the same; however, there are some differences. The main difference is that with a Solo or Electron debit card, the balance in your account is checked before each transaction, so if there’s not enough money you won’t be able pay or withdraw cash with the debit card without prior agreement. If you have a Maestro or Visa Debit card, your account balance won’t necessarily be checked and the payment may still go through.

Further sources:-
http://www.theukcardsassociation.org.uk/advice_and_links/general_resources/overview_of_the_card_transaction_process/ (trade association for UK cards industry, this page shows the card transaction cycle).
http://www.retailersandcards.org.uk/accept_cards/transaction_processing.html#authorisations (explains terminology I've used, e.g. authorisation, floor limit, etc.)

jambosans

emmerrrrr wrote: »

which bank are you with?? i'm here because i've just recieved a letter from lloyds stating that because i was over drawn by £0.86 for less than 24 hours, i will recieve an 'unplanned overdraft monthly fee of £15, plus a daily fee of £6'

Contact Lloyds TSB PhoneBank (01733 347 007) and ask for the charges to be waived due to the small amount which took you over. Most banks have a goodwill policy, so it's possible LTSB will agree to waive/ refund the charges.

Toe-Jam

Santander hold payments for 4 days, then releases them back into the account so if the retailer takes longer than that to claim them they are available funds again, potentially putting you overdrawn if you spend the money , even with visa electron.

Halifax keep it for 10 days.