How will reclaiming bank charges impact banking discussion

Agent_C

Well, I thought I'd play devil's advocate and post an alternative view! Maybe it will make people think. I'm not in favour of the banks - I just think that they will try to recoup their losses somehow.

Steve1981

Agent_C wrote: »

Well, I thought I'd play devil's advocate and post an alternative view! Maybe it will make people think. I'm not in favour of the banks - I just think that they will try to recoup their losses somehow.

of course they are going to recoup those loses, how they are going to do it will be the big question.

being savvy and saving money is great but when millions of people start taking money back off organisations at a time when a number of banks aren't looking quite as solid as they were, will mean that something has to give.

Could it mean it will become harder for people to change mortgage as people wont want to lend? more people staying with the mortgage that they have despite the rate being increased, people being unable to meet mortgage payments (ok these might be honoured by the bank and hey there wont be a charge), eventually defaulting on mortgages and reposessions. so the people who reclaimed a few grand (maybe more) from a few years back are now without their home. A strange way of winning a battle against the bank!
ok so its a very extreme course of events, but on the otherhand is it totally out of the question? The timing of all this seems unfortunate when you look at the situation regarding banks at the minute

adeym

When I signed up for my bank i read the small print v carefully and kept with in their tight bounds to ensure I didn't incur any of their charges and to ensure I had free banking.

I am wondering now if people like me will incur charges.

In my opinion because theres a lot of people out there who have been penalised by exceeding the terms of a legally binding contract, I think most people do not have much sympathy for those who default especially will people like me have to suffer and incur charges for running my account.

I am expecting a lot of abuse for this posting but I would like to know what the general census is?

Bordoy

now we are all gonna have to pay for current accounts! Bloomin' great! Just because a load of people couldn't stay in credit and kicked up a fuss, now it's gonna kick everyone else where it hurts. The banks are gonna lose alot of money over this, so they need to get it back........how? Legal charging for using an account.

edit: just read Martin's email about it. I can see where he's coming from but he can't predict the future, so I guess we'll all wait and see.

Riq

Yeah, you probably will get abuse. I have tried to make this point, but no one will listen, best just to keep quiet. Keep the peace.

I think people just object to the fact the charges are so extremely high. Which I agree £35 or whatever is rather excessive.

But like you I knew the charges and therefore run my account so I do not incur them.

LilacPixie

Sorry I am of the opposite opinion tosomeof the more recent posters. This decision will only spell an end to 'free' banking if that banks choose to re-coup any losses in that way.

The banks are allowed by law to cover any costs they are caused by people running their account badly, but they are not doing this. They are using this opportunity to charge a dispropportionate amount of what amounts to pure profit. It is this extra charge that is not allowed under contract and common law. Does anyone seriously think it costs £39 to issue a computer generated letter telling someone they are 12p overdrawn??

Surely anyone who is a law abiding citizen of this country should be happy that law breakers are being taken to task or is it a see no evil hear no evil senario where as it doesn't directly affect you then its nothing to do with you?

TighterThanTwoCoatsOfPain

i havent read any of the previous posts, but personally, the people making these claims against the banks are not being "savvy" blah blah blah. They make my blood boil.

You took out a bank account and you went overdrawn or spent money which wasnt yours. The charges / consequences of doing this were clearly set out to you before you did it. I dont care if £25 is a lot of money for sending you a letter. If they told you in advance that it was £100 then so be it.

Thanks a bunch for ultimately costing those who actually manage their accounts well more money. Lets face it, they will recover the income in some other Fees or be trimming a few points of interest rates. Bunch of ar5e imo

Smasher

TighterThanTwoCoatsOfPain wrote: »

i havent read any of the previous posts, but personally, the people making these claims against the banks are not being "savvy" blah blah blah. They make my blood boil.

Well that's cheered me up. You deserve it for your ignorance. :rolleyes:

roddydogs

Can u imagine the amount of people who will now go overdrawn, etc, if it only costs £2 or so, instead of the old amount.?

TighterThanTwoCoatsOfPain

Smasher wrote: »

Well that's cheered me up. You deserve it for your ignorance. :rolleyes:

I'm not trying to cheer you up. Ignorance? I'm fully aware of what has been happening, i have a mate who reclaimed 4.5k before this all kicked off, still had a 10k loan, 12k credit cards then decided it was too much and went bankrupt because he didnt fancy paying it all.

Have mentioned in another post that i can accept the culmulative charges are a unfair, but bottom line is he charges of going over the limit are very clear to everyone.

Sry if you think it was a harsh comment, but this is moneySAVINGexpert, not moneyClaimBackChargesIncurredWhichIKnewAboutexpert.

I think it was yourself who mentioned Northern Rock... I have feelings on that too but wont take this OT..