Can my bank really do that?

Zofo

Hi there,

Its a long story but my business closed in June this year and so my bank called in the 8,100 overdraft.
Ive not spoken to my bank, ignored phone calls and letters.
I have transfered money into the business account from my personal account where my partners 254.00 per wk income gets payed into.
2 weeks ago i used a cashpoint and it took my debit card from my personal account which had available funds, it told me to contact my bank, i didnt.
Now my internet banking has refused me access, it tells me to contact my bank!!
Im anoid but obviously they can do what they damn well like when you try and hide.
I cant offer anything at the moment as i dont earn any money and we cannot live on my partners income, im waiting for dissability allowance as my dissability has worsened over the last two years and stops me working. No money, so i cant offer anyone anything at the mo.
Living in private rent and my partner has two children living with his ex wife.


What a mess! Where do i start! Ive turned into coward! Im running scared!

CLAPTON

open a new account with a different bank immediately and get any income paid into it. it may have to be a basic account depending upon your credit rating.

Richard_S

Hi Zofo,

The banks have a right of "offset" that means they can take money from one account to settle a debt in another account - that is of course only within the same banking group. Eg Nat west and RBS are part of the same group so if your business account was with Nat west and your personal with RBS they could take funds from your RBS a/c to pay the Nat west one.

You need to very quickly open an account with a bank that is not financially linked. If you post who your bank accounts are with then you'll very soon find out who not to open an account with.

Kind regards

Rich

yung

welcome to the forum Zofo, don't know if ignoring the bank is the right thing to do because I don't know the situation, however there is plenty of helps and advice here, but can you post an S.O.A so that we can help you

Zofo

Richard_S wrote:

Hi Zofo,

The banks have a right of "offset" that means they can take money from one account to settle a debt in another account - that is of course only within the same banking group. Eg Nat west and RBS are part of the same group so if your business account was with Nat west and your personal with RBS they could take funds from your RBS a/c to pay the Nat west one.

You need to very quickly open an account with a bank that is not financially linked. If you post who your bank accounts are with then you'll very soon find out who not to open an account with.

Kind regards

Rich

Hi Clapton (hope that coz your a fan of "slow hand") and Richard_s

If i try to open a bank account with another bank ( both my accounts are with lloyds tsb) will they not deni me bacause of whats happening with lloyds?

Richard_S

Hi Zofo,

You might need to shop around but you won't have any problem, my OH and I are both bankrupt and we were able to open an account with Barclays and Nationawide. It's only a basic account for us but you should be able to open a normal bank account.

Have a nice weekend and relax, you'll get your problems sorted out on here.

Rich

Zofo

Thankyou yung for your kind welcome,

please escuse my ignorance but what is a S.O.A.?

CLAPTON

you will be able to open an ordinary account if your credit record is still OK. if it isn't then you will need to open a basic a/c which doesn't require a credit check and will not allow an overdraft or a cheque book but will allow DDs and standing orders and a cash card or sorts.

Mrs_Optimist

Why don't you just contact your Bank? Running away from the problem will only make it escalate. You have no money spare at the moment, so you can't give what you don't have. However hiding behind that fact will not make the Bank back off, just more difficult as you have found out. I agree with the other Posts who have advised you to open a separate Bank account too.

Good luck.

lynzpower

An SOA is a Statement of Affairs, have a look at scouthern scousers sticky "first time posters"

:wave: welcome

pania

Zofo wrote:

Thankyou yung for your kind welcome,

please escuse my ignorance but what is a S.O.A.?

Hi Zofo so sorry to hear about your problems. With regards the above an SOA is a statement of affairs, currently placed to show every single monthly incoming and outgoing that you can think of, right down to dividing your christmas expenditure by twelve!Have a look at the sticky by southernscouser showing how to complete one. We can all then offer ways to save some money and believe me, i thought i was back to the bare bones when i tried it and you'll be amazed the money saving measures that come up.
With regards the bank account, apparently anyone has to have the right to a basic bank account. it will then safeguard your income and stop them nicking any more of it!!
Sadly in this case ignoring the situation really didn't help but the thing now is to look forward.
If you speak to CCCS (consumer credit counciling service) they can provide you with a list of which banks may accept you for a basic account and what facilities they provide.
hope this helps and keep us posted
Big hugs
p
xx