Moneyshop?

climbintheladderouttadebt

Cheeeky swines! MS took another £25 today! 'A' will incur goodness knows how much in charges! BUT Lloyds have committed to returning the money to 'A', they just don't know how yet, as they're saying it was tied to the closed account! Grrr stupid idiots!

Friend was told it wasn't a branch problem afterall, so she spent half an hour on the phone to them. I sincerely hope they honour their word! Friend will get money back and close the account asap. It will apparently take up to 3 working days for the money to be returned. When charges hit the account, 'A' will contest them, obviously. I am SO annoyed that this hassle has happened to her. She's just started coping better with debts and money and then this happens!

chuckley

my guess is Lloyds have made an error of some kind.... and it looks like the old card wasnt cancelled at all.

in branch?! how did MS get the money 'in branch'?! that makes no sense... how does it appear on statement (mini or online)?!

climbintheladderouttadebt

I'm certainly hoping its Lllyds error and that it will be corrected asap! Lloyds have said on the phone that the old card was 'destroyed' (their own words) on May 21st. No more statements from that account have come through since May. Well online it showed as an in branch transaction. When 'A' spoke to Lloyds yesterday they denied this and said it was nothing to do with the branch... They have said, however, they're not sure how they'll return the money as it came from or was linked to a closed account - they just don't seem to know what they're doing/want to admit their mistake/even put 'A' clearly in the picture! It's rather confusing!

My MIL reckons that as it was Lloyds funds, Lloyds can pay the money out of any account that 'A' holds with them! Her husband (only gone 4 months bless him) worked for Lloyds for approx 20 years so I assume she knew something from the days he worked there. If that's true, I'm very worried that 'A' won't get her money back, and if she doesn't, her mental state will continue to decline. She is now swinging from withdrawn to hyper. She really needs her car fixed (bumper hanging off), pay her rent, pay for travel, buy food etc. On just £200. It's impossible.

'A' will be checking her account daily for the money plus to check MS haven't set up a dd. Once the money is returned, according to Lloyds yesterday that'll be within 3 working days, 'A' plans to contest any charges Lloyds want to place for insufficient funds etc. She will close the account and use her HSBC one for everything. She cannot risk this happening again.

She wants me to go to the bank with her if they refuse to refund, she reckons I know all the law! But I don't know of any rules/guidelines etc that could be referred to here - I am not aware of Lloyds having broken any specific code/rule/guide/or any t&cs. I'm desperate to help more but I don't see what else I can do?

Fiddlestick

climbintheladderouttadebt wrote: »

My MIL reckons that as it was Lloyds funds, Lloyds can pay the money out of any account that 'A' holds with them! Her husband (only gone 4 months bless him) worked for Lloyds for approx 20 years so I assume she knew something from the days he worked there. If that's true, I'm very worried that 'A' won't get her money back, and if she doesn't, her mental state will continue to decline.

I believe your Mother in Law is correct here - it will be stated in the T&Cs of the account that they can do this.

climbintheladderouttadebt

Thanks Fiddlestick, though it's not the news I hoped to hear, I'd rather know the truth! The sooner she can stop using the Lloyds account the better, then. If only she could afford this £325, then it could be dropped - one debt would be paid (£325 does equal the amount owed on the MS account they've written to her thanking her for her payment on).

It's such a shame and a real mess, because it still begs the question - if fraud was cited as the reason for the account closure, why pass on any money? I think these issues need to be made a lot clearer within banks. Admittedly, they would not be read by most, but it would be there for people to be pointed to. Will see if 'A' can get hold of a copy of her t&cs from Lloyds so I can explain it to her, if Lloyds don't refund the money.

If they do refund, and then later decide that was a mistake, can they then demand the money back/re-open an closed account and cause more hassle that way? I'm not saying Lloyds don't have a right to any money that's theirs, just what do we do if this gets worse? 'A' just cannot cope and cannot afford anymore debt/charges etc.

climbintheladderouttadebt

Well, the bank has concluded that MS could keep the money. It's a decision which I am fine with, and 'A' is borrowing some money off a fantastic friend to see her through and which can be repaid in small amounts.

HOWEVER, MS are still attempting to take MORE money?! The bank have told 'A' to go to the police if more money is taken or approach MS - my instinct is to write a stern letter to MS, and I'd be inclined to ask for a breakdown of their charges - it appears she's been charged £125+ on a £200 loan.

I desperately want to help, she's now talking of making herself bankrupt, she's really scaring me please PLEASE can someone help?

RAS

climbintheladderouttadebt wrote: »

I desperately want to help, she's now talking of making herself bankrupt, she's really scaring me please PLEASE can someone help?

Hi going bankrupt may be a really good idea.

It is not the end of everythig; she gets out of her debt; gets a decent standard of living on her statement of Affairs and can tell her creditor were to go.

Ok, she will not get any consumer credit again for a long time but maybe that is OK.

She needs to speak to one of the debt charites and given her distress Christians Against Poverty might be good as they offer home visits.

climbintheladderouttadebt

Hi RAS,

Thank you. When put like that, it sounds a lot gentler than the stereotypical image portrayed previously. Given her problems, I'd say no more credit for awhile is a very good thing! Will follow advice and get her to the CAB asap.

I feel a little calmer now (damn hormones lol!)