Natwest/RBS 2.85% esaver

Mary_Ta

Hi,

I have not posted on this thread before, but I am also pursuing Nat West over the mis-selling of the interest rate on this product. Although they have agreed to refund my interest we can’t agree on a level of compensation - it has however been negotiated upwards a little from their initial nominal offer. I am therefore putting my case forward to the FOS.

If you are not aware, the FOS offers some guidance over levels of compensation:
financial-ombudsman.org.uk/ publications/technical_notes/distress-and-inconvenience.htm (you will have to join the link up fro yourself, as I am not allowed to post links being a new user!) which may help if you are trying to determine or negotiate a reasonable figure with Nat West.

A word of warning, the FOS are taking at least 6 months to deal with cases, Nat West tried to use this as leverage in getting me to agree to their compensation offer. I have also asked the FOS if they are dealing with any other complaints about the Nat West E-savings 4 2.89% product and they couldn't find any in their database which surprised me given the volume of postings on this thread? Has anyone actually got as far as registering their complaint with the FOS? I am still awaiting a letter from Nat West.

Mary

Devonjem

I filed a complaint about 2 weeks ago and received an acknowledgment from FOS a couple of days ago. Natwest has refused to pay the bonus interest from account opening to mid November, and refused to pay the agreed 2.82% for the year. They have paid interest at 2.82% from account opening to February but refused to pay for the rest of the year.

What infuriates me is that from Sheehy downwards they simply cannot admit what was on their website on 29 September 2010. It is stupidity at its greatest given cached versions of the relevant pages exist, and given that Sheehy in his email (which was presumably prepared after a thorough investigation) still got it wrong.

SimonM_2

I've now received a Final Response from NatWest on this issue (not from their head office though as I was told was the case before) and from the CRU directly. I'll post further details this evening.

SimonM_2

SimonM wrote: »

I'll post further details this evening.

Slightly delayed, but here goes:

NatWest accept that there were "typographical errors" in the Important Information leaflet. They claim the incorrect information on the website was "corrected within one hour and the leaflet has also been corrected although a decision has been made not to re-send this leaflet to all customers immediately".

They have already paid me the higher rate (2.82%) on my existing balance of a few months ago and have promised to pay the higher rate on anything additional if I keep it in for the full 12 months (although as my disatisfaction with NW is growing I feel that they may not have me as a customer much longer, but that's another point all together). This seems completely different from what Devonjem is being advised.


I am to be sent a copy of the updated Important Information leaflet, as I have been requesting since first reporting the issue (and as I'm entitled to under the FSA regulations anyway!). So far however it hasn't arrived, I wonder if it will.

As for the "first 12 months" which I'd been told hadn't been advertised on the site by the team (the team who deal with the esavings accounts and were handling my complaint), apparently NatWest "only came aware of this fact in December which was after they were dealing with your complaint". Strange as I'd clearly pointed this out to them before December, and I'm fairly sure other people on here had alerted NatWest to the fact before then too - I'd strongly suggest that if you were told that they didn't advertise that, and were told that before sometime in December, then it would be worth getting this re-investigated as it'd seem you've been given a wrong answer.

NatWest have accepted that the website had incorrect information on the website "for one hour early in the morning on 29 September after which it was corrected". They also agree that the "first 12 months" was incorrect information on the website and have (previously) confirmed that the AER is not achievable during that period, they are however saying that it is achievable during the 12 month period of the bonus, and saying that "as this is for a fixed period of 12 months and not a fixed end date, the AER is correct". Because of that they are not upholding my complaint that the account was "mis-sold" despite agreeing that the headline figure AER isn't achievable within the first year which is what AER is meant to show, and despite all the other errors on the website and in the leaflet, so I'm really disappointed about that - it seems completely contradictory to pretty much say 'yes that was wrong, that was wrong, that was wrong, we accept what you are saying, but no'.

They are accepting/upholding parts of my complaint, namely the incorrect info on the website and in the leaflet, and have also paid a small sum in to my account in recognition of that fact, although I don't feel this resolves the issue simply as they aren't accepting all parts of the complaint. It is however a Final Response which is what I was after and next step is the FOS, not necessarily to get any further "gain" for myself but to ensure that they are aware of NatWest's own findings and in case it helps get to a satisafactory conclusion for others who have reported the issue.

SimonM_2

SimonM wrote: »

NatWest have accepted that the website had incorrect information on the website "for one hour early in the morning on 29 September after which it was corrected".

Forgot to highlight this point a bit more -- didn't the Head of Savings' email/letter I]received[/I] [I]late[/I] [I]Dec 2010[/I to customers say that the information "was quoted correctly on our website" (direct quote)?

And on the website linked to from his email/letter (http://www.natwest.com/esavingsdetails) "Unfortunately there was a printing error which meant the combined standard and bonus net interest rate was shown in the booklet as 2.82% rather than 2.28%. Our website has always shown the correct interest rate."

Totally contradicts what I've been told, and what we know was the case. How can they try to get away with it?

neilsedaka

SimonM wrote: »

They claim the incorrect information on the website was "corrected within one hour .......... NatWest have accepted that the website had incorrect information on the website "for one hour early in the morning on 29 September after which it was corrected".

I took a 7 page 'print to PDF' copy of the e-Savings website timed at "29 September 2010, 10:51:37". My copy of my online chat with NatWest when they said they would honour the 2.82% net that I had signed up to was timed at "29 September 2010, 12:14:12". I would therefore suggest that the incorrect information was up for longer than one hour.

Devonjem

In regard to the 2.82% net issue, they are clearly treating my case differently. I suppose the law allows them to settle cases as they wish, however this ignores their own highly publicised Customer Charter in which they say complaints will be dealt with "fairly consistently and promptly". They are breaching all 3 here.

As for the "bonus interest start date" issue, they are in a hole on this and there is no way out. They have to pay bonus interest from account opening. In my case they continue to refuse to uphold my complaint on this issue but have paid compensation for inconvenience suffered in having to raise the issue. (By the way they did not offer compensation which i accepted - they just paid it into my account without any discussion - another mistake). That is a ridiculous position to take - why pay compensation if they have done nothing wrong? They have a contractual liability and need to honour it.

SimonM_2

Devonjem wrote: »

however this ignores their own highly publicised Customer Charter in which they say complaints will be dealt with "fairly consistently and promptly". They are breaching all 3 here.

I was told on the phone the other day by one of the Customer Relations Managers, that the Customer Charter is a "five year plan" and what they aim to have achieved at the end of that five years.

The charter isn't worth the paper it is printed on, and the screen space on their website even less.

emeraldbugle

SimonM wrote: »

Slightly delayed, but here goes:

NatWest accept that there were "typographical errors" in the Important Information leaflet. They claim the incorrect information on the website was "corrected within one hour and the leaflet has also been corrected although a decision has been made not to re-send this leaflet to all customers immediately".

Poppycock, the screenshots I have are 2.82% net at 12.11pm and 2.28% net at 12.43pm.

They might mean within one hour of realising their error.

I knew of the 15th of the month following month of account opening, as they did something very similar on their previous product.

SimonM_2

I have now received the updated Important Information leaflet (Date on the back cover, 14 February 2011) from the product performance manager at their Bankside offices in London.

However, it is still wrong. The AER is still wrongly quoted as 2.88% as it was in the previously faulty document (P40, 22nd September 2010) which contained the other errors.



So as not to push the forum wide, click the small version above or see the larger version at http://i51.tinypic.com/vwtqoo.jpg

I simply can not trust NatWest to get anything right.