Abbey

castle21

[post deleted by author]

Tixy

If you haven't already i would move amazon and paypal to your new bank account.
Then as your account has been terminated I would start byt sending 1st credit the prove it letter. When they come back with proof you owe the money right to them and ask for a breakdown of the debt. That way you can find out whether you agree with all the transactions etc.

After that I would write again to 1st credit with a monthly repayment offer (whatever you can reasonably afford) and ask for their bank details etc so that you can set up a standing order for that amount (no point trying to pay it in to your abbey account now).

So first step -the prove it letter to 1st credit - http://forums.moneysavingexpert.com/showpost.php?p=11570893&postcount=2

Don't ever call 1st credit or give them your phone number.

DarkConvict

I agree, do not contact 1st credit.

Legally they can do this, you agreed to the charges, got into a mess and got into the interest/charge cycle. As with all overdrafts they can be removed given 30 days notice (also in terms and conditions) its a reason never to live in it.
It got to the point where it was defaulted so they terminated your agreement and have issued debt collectors to collect the debt, which is normal.

Reclaiming bank charges is a bit of a lost cause since the OFT just gave up in Nov 2009, i would get in touch with national debtline and see if they can help knock some sense into them, get the interest frozen and arrange a monthly repayment.