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Lloyds tsb - overdraft!!

If you notice my signature, you will have noticed that I won £1001 recently! Anyway I paid the cheque into my account to help me clear some of my overdraft, which was standing at £1500. I went to check that the cheque had cleared and what the balance was. To my surprise I noticed that Lloyds have indeed taken back some of their money £1k and have now reduced my authorised limit to £500 at the same time. I don't mind but they could have asked me first:cool:.

Banks are so short-sighted! Wait until times are good, they'll be begging for our business.

AMD
Debt Free!!!

Comments

  • Lokolo
    Lokolo Posts: 20,861 Forumite
    Part of the Furniture 10,000 Posts
    I suspect due to the amount of debt you are in you have had this overdraft for a while without paying it off. Overdrafts are meant for shorterm lending, so I suspect when the bank saw this deposit they went at the opportunity at the thought you might not pay it back otherwise.
  • jonesMUFCforever
    jonesMUFCforever Posts: 28,898 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    What about overdrafts being repayable on demand? They could ask for the £500 now so my advice is get off your high horse.
    The reason notice is not given is that it could lead to a customer maxing out their O/D before the limit is slashed.
  • AMILLIONDOLLARS
    AMILLIONDOLLARS Posts: 2,299 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    edited 7 June 2010 at 11:23AM
    What about overdrafts being repayable on demand? They could ask for the £500 now so my advice is get off your high horse.
    The reason notice is not given is that it could lead to a customer maxing out their O/D before the limit is slashed.


    You may not have notice that I had a huge grin next to my title, so I was certainly not on my 'high horse' as you put it, the mad symbol would have been in place if I were, I found the whole thing funny. It would have been polite for the bank to give me a call to let me know what was happening, instead of cutting is as soon as the funds had cleared. I was lucky, I was fortunate that I had the funds, so did not mind, which I pointed out in my original message!

    But a lot of people out there do not have this luxury and could have ended up in allsorts of problems because a lack of notice!!

    Now who's on their high horse?

    AMD
    Debt Free!!!
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