Overdraft regulations

timetosortout

Hi can anyone please help, finally got head out of sand so may be on here quite a bit, thousands of pounds in debt, partner self employed Im on incapacity benefit ( genuine claim). First bit of advice if anyone can help.

Barclays bank account with overdraft limit of £1450,with reserve limit of £250. Previously if a DD would take the balance over the OD limit the bank dont pay it. ON several occasions the bank have paid DD and SO that have taken us over my partners limit. can they still charge us for those occasions? and the additional interest? The current balance is £2727.82, there is £400 in tax credits going in each month but they are charging us over £110 a month in charges. We have now stopped all money going out of this account.

thank you for any help, sort this out then just 6 credit cards to go:(

bengalknights

If its within the reserve limit then generally barclays will pay the DD/SO and then charge the daily fee whilst in reserve plus the monthly od interest rate.You do have the option to disable the reserve which will stop barclays paying anything beyond the od limit.

timetosortout

They were still making SO or allowing DD when the account was well over the reserve, eg whent he account was over £2000 dr

onlypaddy

timetosortout wrote: »

..... can they still charge us for those occasions? and the additional interest?

Yes they can, and they will

timetosortout wrote: »

..... The current balance is £2727.82, there is £400 in tax credits going in each month but they are charging us over £110 a month in charges. We have now stopped all money going out of this account.

thank you for any help, sort this out then just 6 credit cards to go:(

You will need to open a basic current account (not with barclays or any of your other lenders) for your money to go into and start budgeting. Really you should head over to the Debt free wannabe board and fill in a statement of affairs (SOA) http://www.makesenseofcards.com/soacalc.html

they will point out areas where you can cut back and help you budget, as well as giving advice on which debts to tackle first. It may be that your credit cards need to be tackled first, depending on the interest rate.