legal standpoint

drib0704

could anyone tell me if it is legal for a bank that i have an account with ,to approach another bank to remove money from that account to pay off an unauthorised overdraft i have with the first bank,without my knowledge or permission

samjef11_2

drib0704 wrote: »

could anyone tell me if it is legal for a bank that i have an account with ,to approach another bank to remove money from that account to pay off an unauthorised overdraft i have with the first bank,without my knowledge or permission

No they cannot do that unless like halifax is owned by lloyds banking group and you own halifax money and you have money in a lloydstsb account then they can do it at their whish.

Paul_Herring

"Approach"? No. Data protection act and stuff kicks in.

As Samjef pointed out however, if the banks are owned by the same company, they may have the right of "setting off", but this wouldn't result in 'an approach' - they'd normally just take the money then tell you about it afterwards.

You may find http://www.moneysavingexpert.com/news/banking/2010/07/fsa-tightens-screw-on-banks-raiding-savings-to-pay-debts and https://forums.moneysavingexpert.com/discussion/2577567 interesting reading.