Closed account all off a sudden open with charges & natwest have transfered money it?

pretzelnut

I have been a natwest customer for 10+ years.

I had a current account which i recently changed to a student account.

3 yeras ago I opened a business account, as I was self employed, I never actually used the account, so 3 months later I went in and filled out a form to close the account, seemed pointless having it when i didnt use it.

This morning I have logged onto online banking to find this ''old & closed'' account appear on the list of accounts I hold at my bank.

I then notice that my student account has had a transfer of £120 taken from it and paid into the old business account, so i checked the details of the business account and there are small charges every month going back for like 2 years.

Can the bank do this.

If this account was still active - why have i never recieved any letters / statements etc and why has it never shown up before now when i have been in for a review.

I massively annoyed, as I know for definate that i went into the bank and closed the account down. I specificially remember filling in the form and handing it over to the customer services person.

olly300

The bank has a right to offset your debts held with one account with money from another without specifically asking you first all banks have this in their terms and conditions. As you specifically closed the business account they have no right to do this.

Banks and Building societies often refuse to close accounts when asked, and make it very difficult to do so.

If you know when you closed the business account (month and year is all that is needed and it doesn't need to be exactly the correct month) then:
1. Write a letter to Natwest to the address I have put at the end of the post with the title "Formal Complaint"* outline what has happened with the account numbers and sort codes. Ask for them to refund the £120 they have taken out of your student account. State if they refuse to you will take the matter to the Financial Ombudsman or to court, as you actively went to close the business account.
3. Wait 8 weeks if they refused to give you the £120 back in full, or don't answer your letter refer your complaint it to the Financial ombudsman service. This is free but will take a while.

Natwest complaints address:
NatWest Customer Relations
FREEPOST NAT12685
BOREHAMWOOD
WD6 1BR

Natwest state that you should sort this out with the branch first but it's always quicker to write a letter to the customer service address as branch staff have limited things they can do.

*If your letter doesn't have the title "Formal Complaint" on it, the bank will pretend it isn't a complaint letter. When you send the letter take it to the post office and get a proof of posting. This is free and is to prove that you posted the letter to them. Even if the letter is freepost use a first class stamp as it will get their quicker.

pretzelnut

Thank you for your advice im fuming.

Unfortunatley I cant remember the exact date, but i can narrow it down to month.

Natwest are taking me on a right roller coaster at the minute, they refused me an upgrade to a student account, so I went to another bank and got accepted, to go into natwest yesterday and ask to withdraw some money out of my current account to be told i dont have one, I have a student account???

Talk about puzzled, I havent recieved any information stating I now have a student account.

Im gonna go into the branch this afternoon and see what the hell is going on.

YorkshireBoy

Be sure to include a request for the necessary amendments to your credit files in any complaint you make, and don't close the complaint off until you've verified there's no adverse data on there by ordering and checking your reports from all 3 agencies. Obviously NatWest need to pick up the (£6) tab for this.

pretzelnut

This account doesnt show on any of my credit history with experian or equifax.

pqrdef

They'll probably say they "couldn't" close the business account because it was already overdrawn with the monthly fees for the first couple of months. At the time, they'd probably have let that lie, but now the trying-it-on department sees an opportunity to revisit history and change policy retrospectively.

olly300

pqrdef wrote: »

They'll probably say they "couldn't" close the business account because it was already overdrawn with the monthly fees for the first couple of months. At the time, they'd probably have let that lie, but now the trying-it-on department sees an opportunity to revisit history and change policy retrospectively.

They can say what they like.

However with the OP willing to take them to the FOS or to court for their oversight in " forgetting " to inform her of the charges in writing, then they will very likely offer after a few months to refund the money in full as a good will gesture.

And to prevent you telling all and sundry in the media about your case - there are posters on here whose cases have been written up in the press.

OP if you the FOS is too slow you can take them to the small claims court but it will cost you, and you have to send Natwest a "Letter Before Action" by recorded delivery before you do stating they are liable for all costs, charges and interest on the amount claimed.

On the other hand the FOS will cost them approx £500 if the dispute goes that far...........

BTW even if you change banks which you are advised to do, at sometime in the future you will have a similar problem.