£500 Bank charges

richoooo

hi, a while back i stopped using my back account. everything was fine as far as i knew untill one day i got a letter of the bank saying that my account was overdrawn by a substantial amount. this amount was around £200 which i was unable to pay so the charges kept coming.

the charges now stand at £500 pound and the account is being past through debt collection companies. these charges are of a company that tryed to take around £2.50 out of my bank account.

if anyone has had the same problem or feels they would be able to help please comment.

thank you

Tixy

When you say you stopped using the account presumably you didn't actually close it?
Did you keep getting monthly statements and did these show your debt increasing?

How long is it since the debt started to build up? / or the company tried to get money from the account? was that transaction something you authorised?

richoooo

its been around a year and a half. they did not sent me monthly statements untill the amount got to around £200. they finally stoped charging me at £500 only because they had sold the debt.

downnotout

It wasn't LLoyds TSB by any chance? I was in exactly the same position a couple of years ago. Unfortunately it is the same as every other debt on these forums.

DarkConvict

Not all bank accounts send out statements, it depends on the account you picked and how you set it up.

It is likely you were told about it at £200 as you were due to exceed or had exceeded the authorised overdraft.
The bank is not your accountant, and the system will automatically be generating letters and charges according to the terms of the bank account.

It sounds like you left the bank account and someone took money out of it, you were not aware/did not check it and the charges had spiralled upwards (a good reason for closing unused accounts!)
You should have tackled this along time ago and it is to late to contest any of the charges, The best thing to probably do is to make a Full and Final Settlement offer to whoever they sold the debt to.