Has your bank closed your account?

Emstarlily

Hey All

First of all I would like to say getting my finances in order feels a lot less daunting after reading all of these posts! Thank you, and good luck everyone!

Earlier this year I opened my parachute accounts with HSBC before I even decided to try to reclaim charges from my old bank Lloyds. However I still have a current account with an overdraft of £2000 on it and a loan of just under £5000 with them. After adding up charges I could be repaid they won't come anywhere near paying off even the overdraft, only about £300. I have to say I'm panicking a little (a lot) about what will happen if they decide to close my account. Do Lloyds generally do this? My overdraft review is coming up in June and I doubt I will be able to pay it by then either... I have barely any money coming in and although I have cut down my outgoings as much as I can, sold my car and I'm applying for every job I can reasonably do, I'm worried that they will demand the money back and take me to court in retaliation. They have been far less than sympathetic every time I have called them and tried to explain my situation, and they even admitted they wouldn't help me until my accounts had reached their collections department, which so far hasn't happened, but I only had the one car to sell! I'm doing everything I can, but running out of options... a bit of advice would be very much appreciated, please and thank you!

mrsyorkie

Hi

I want to claim my charges back from Natwest and alhough i haven't my statements yet, by my reckoning they owe approx 900 pound. However, I have a 2200 pound overdraft and a bad credit rating (CCJ). I am scared that if i claim they will a) shut my account and make me pay all my overdraft back straight away (haven't got the money to do this) and b) i won't be able to open another account because of my credit rating.

Has anyone claimed against natwest and can they tell me their experience and also, if they do close my account, do i have to pay the overdraft back straight away or will i be able to pay so much off it per month?

Please can someone help me? The bank charges put me in dire financial straits for ages, with direct debits bouncing because of the charges, and then charges on the charges and it was a nightmare. On one occasion i had 10 pound in my account to get me home from work, only to find when i went to withdraw they had taken it and i was over drawn again and charged for that. I had to borrow some money off a colleague to get home!

Elsie2_2

Dragonwings wrote: »

Hey All

First of all I would like to say getting my finances in order feels a lot less daunting after reading all of these posts! Thank you, and good luck everyone!

Earlier this year I opened my parachute accounts with HSBC before I even decided to try to reclaim charges from my old bank Lloyds. However I still have a current account with an overdraft of £2000 on it and a loan of just under £5000 with them. After adding up charges I could be repaid they won't come anywhere near paying off even the overdraft, only about £300. I have to say I'm panicking a little (a lot) about what will happen if they decide to close my account. Do Lloyds generally do this? My overdraft review is coming up in June and I doubt I will be able to pay it by then either... I have barely any money coming in and although I have cut down my outgoings as much as I can, sold my car and I'm applying for every job I can reasonably do, I'm worried that they will demand the money back and take me to court in retaliation. They have been far less than sympathetic every time I have called them and tried to explain my situation, and they even admitted they wouldn't help me until my accounts had reached their collections department, which so far hasn't happened, but I only had the one car to sell! I'm doing everything I can, but running out of options... a bit of advice would be very much appreciated, please and thank you!

I would organise, if you haven't done already, sending them an Income and Expenditure showing what you can and cannot afford and they then keep that on your file.
I presume you are having any wages/benefits etc paid into your parachute account, if not, i would organise this so they can't just take money for your overdraft straight out of your income leaving you with nothing for yourself. This way you can offer them a nominal amount dependant on your I&E and you pay this to them each month. Overdrafts are a bit different to loans/credit cards etc, as there is no length of time within which it has to be paid, so they cannot ask for any figure they like.
I don't know what Lloyds are like, but if they do close your current acct, you could just use your I&E to offer them a monthly amount that you can afford and this would be paid to them as any other debt. The only thing i would say with this, is the new bank you have opened the parachute acct with, would probably not offer you an overdraft on the new acct.
They would not normally just take you to court and demand the full outstanding balance if you have showed through an I&E that you are unable to afford what they are asking for. They would normally put you onto a repayment plan/special arrangement.
Hope this helps.

Elsie2_2

mrsyorkie wrote: »

Hi

I want to claim my charges back from Natwest and alhough i haven't my statements yet, by my reckoning they owe approx 900 pound. However, I have a 2200 pound overdraft and a bad credit rating (CCJ). I am scared that if i claim they will a) shut my account and make me pay all my overdraft back straight away (haven't got the money to do this) and b) i won't be able to open another account because of my credit rating.

Has anyone claimed against natwest and can they tell me their experience and also, if they do close my account, do i have to pay the overdraft back straight away or will i be able to pay so much off it per month?

Please can someone help me? The bank charges put me in dire financial straits for ages, with direct debits bouncing because of the charges, and then charges on the charges and it was a nightmare. On one occasion i had 10 pound in my account to get me home from work, only to find when i went to withdraw they had taken it and i was over drawn again and charged for that. I had to borrow some money off a colleague to get home!

I am currently taking Natwest to Court. They haven't mentioned closure of the acct as yet, but thats not to say that if i eventually win, they wont try it then (thats what the Alliance and Leicester have done).
I would try and open an acct prior to doing anything claim wise. There are accts named within the forum for people like us with bad credit ratings. I opened mine with the co-operative bank and they have been fine. Its only a basic bank acct, no overdraft or cheque book etc, but thats all i need currently.
I would send an Income and Expenditure to your creditors if you haven't already, and this way they it shows what you can and cannot afford each month.
They would not normally demand the money back straight away if you can prove you cannot afford to do this. They would probably then put you on a reduced payment arrangement. If you then pay your income into your new parachute acct, you can then pay Natwest a payment each month that you know you can afford without them taking out whatever amount they like, leaving you with nothing.
Hope this helps.

Emstarlily

Elsie2 wrote: »

I would organise, if you haven't done already, sending them an Income and Expenditure showing what you can and cannot afford and they then keep that on your file.
I presume you are having any wages/benefits etc paid into your parachute account, if not, i would organise this so they can't just take money for your overdraft straight out of your income leaving you with nothing for yourself. This way you can offer them a nominal amount dependant on your I&E and you pay this to them each month. Overdrafts are a bit different to loans/credit cards etc, as there is no length of time within which it has to be paid, so they cannot ask for any figure they like.
I don't know what Lloyds are like, but if they do close your current acct, you could just use your I&E to offer them a monthly amount that you can afford and this would be paid to them as any other debt. The only thing i would say with this, is the new bank you have opened the parachute acct with, would probably not offer you an overdraft on the new acct.
They would not normally just take you to court and demand the full outstanding balance if you have showed through an I&E that you are unable to afford what they are asking for. They would normally put you onto a repayment plan/special arrangement.
Hope this helps.

Thanks very much Elsie2, I will do that and let you know how I get on

mollycat29

Im just in the process of sending my second letter, but in the first Nationwide letter i recieved it said about me possibly having to find alternative banking arrangements. so i have opened a parachute account with the halifax!! and am currently in the process of transferring all my dd's and so's and payments to the halifax.

hansophson03

I claimed and successfully received 1590.96 from Alliance and Leicester which I placed in an parachute account as we have 1500 o/d with A&L, have since received a letter stating they will be closing all accounts within 28 days. Letter stated if we are unable to make full and immediate payment of o/d they will accept repayment proposals. I should just pay this off with my reimbursement from them but am not going to, they can wait!

New account opened at Halifax, A&L loss as we had 2 current accounts, 3 savings accounts and my husband was about to move his business account to them, now all being shifted to Halifax.

Dukiesue

Just received my letter today from the Alliance & Leicester

I'm out as of the 1st of May

Becks_in_Debt

hansophson03 wrote: »

I claimed and successfully received 1590.96 from Alliance and Leicester which I placed in an parachute account as we have 1500 o/d with A&L, have since received a letter stating they will be closing all accounts within 28 days. Letter stated if we are unable to make full and immediate payment of o/d they will accept repayment proposals. I should just pay this off with my reimbursement from them but am not going to, they can wait!

New account opened at Halifax, A&L loss as we had 2 current accounts, 3 savings accounts and my husband was about to move his business account to them, now all being shifted to Halifax.

A bit of advice, A&L closed my account in march 06 as they kept taking out about £500 p/m in charges :eek: and I had huge argument with them disagreeing with the charges as charge me for going O/D, making me more O/D to then bang on a few more charges next day and so on so on, (i am only just claiming back for them now as I only heard about it on 01/03/07), I was overdrawn when they closed my account (they charged me £15 admin fee to close it) and I set up an arrangement with them through CAB (Citizens Advice Bureau) as me and OH got into debt with all the charges coming out each mth, anyway for every payment we make to them they are adding on 50% interest per month, a year on and I am still paying the t**ts back. Pay off your O/D ASAP else they will do the same to you.

mrowen

Hi, there is some really great advice in this thread!

I am currently with Barclays and have two accounts, one current with a £500 overdraft and one Student with a £1500 overdraft. I am about to begin claiming charges on the current account and have two questions.

1) If as a result of this Barclays decide to close my acount is it likely to be justthis account, or the student one as well?

2)Are there any banks that may give me a new account and match my overdraft with Barclays, allowing me to quit my banking with them? Obviously this means being overdrawn with another bank but hopefully my reclaimed charges would allow me to take a big chunk out of this.

Any advice appreciated, thanks!