Newbie intro - I have a few questions :)

amandarose1963

Hi, I'm Amanda and I've been receiving Martin's newsletters for a few years but haven't posted on the forums before...
...until today, when my bank have charged me £28 for going 85 pence overdrawn! I have been juggling with the idea of taking the bank to court for the thousands of pounds they've taken from me in the past few years, but my dilemma is this: My partner and I are in receipt of incapacity benefits, therefore, we have had trouble finding a bank that is prepared to take us on. We wanted to get a new bank account, before tackling our current bank, incase they close our account. We'll also lose our debit card, cheque books etc. which will mean we can't buy anything, get cash, use Paypal and Ebay etc, etc...
Is anybody here, in a similar situation able to give me some advice, and can they recommend a bank that will take on the likes of us lesser mortals on benefits! ;o) We also have a £2000 arranged overdraft, which will, no doubt have to be paid back too!
Many thanks to anyone that can help.
Amanda

Red_Panda_2

Hi Amanda, Welcome to the boards .

What bank are you with at the moment, as not all banks close your accounts down - but it is advisable to get another open just incase.

I opened up a Natwest account telling them I was only going to be crediting it with only £500 per month, no problems, I opened up the step account which gives you a Solo card (you can use it on EBay!!) and all direct debit functions.
I did this as with HSBC who I claimed against I have a Switch, cheque book and an overdraft facility and was not fussed about keeping them (and my credit is not wonderful!). They seem to be good for basic accounts as are CO-OP and I do believe Halifax have been recommended all of those offer a debit card so you wont lose out on purchasing things without cash.

amandarose1963

HI there and thanks for the advice! Sorry to say that it's Natwest that we're with and wishing to claim against! We got into a spiral of debt with them a few years ago, when we went overdrawn, got charged, couldn't pay it back and hence more charges ensued... They made us take out a loan to pay back the charges and we've been paying them for 4 years now. It's due to end next year. On top of that, they've taken hundreds of pounds from us, even though we've pleaded and said the charges are disproportionate, blah blah blah!! Just be careful with NW, they're pretty unco-operative and very expensive! I'll give the banks you mentioned a try and I'll let you know how I get on. Thanks so much for your help!
Amanda

Edinburghlass_2

There are a couple of threads on Budgeting and Current Accounts that discuss basic bank accounts, this is one and I'll add any others when I find them.

http://forums.moneysavingexpert.com/showthread.html?t=301117

http://forums.moneysavingexpert.com/showthread.html?t=251998

amandarose1963

Thanks for the links - I'll go and have a look.
I just applied to Halifax for their basic account for people who will only be paying in less than £1000, but it declined us. Maybe it's because we didn't want to transfer our present account to them???
Gosh, we feel like social outcasts!
Thanks again for the help.
Amanda

Lizzy

Hi Amanda,

The banks are all the same with their charges.

I am sure you will be able to open a card cash account with Barclays (even though I'm claiming from them). It is just a cash account though, its pays DDs but does not have a switch debit facility you have to draw the cash out. Not such a bad thing really. It is unlikely that your account will be closed anyway but you must be prepared. It is a bank account so don't see why it cant be used on paypal.

Go for the bank charges now and don't forget the charges they made you take out the loan for either !!!!!!!!! if it adds up to more then 5k over 6years you can split the claim into 2 (slightly different times so they dont twig and put them together). Get those statements and go get em ...........

PS get underway now while you are trying for a bank account you wont need a new one for ages yet. Then again once you get it you could get to keep some money have your benefits paid into it and cancel all you dds and pay by cash over the counter or transfer them over to the new account. Once you have started this with your first letter you are not really supposed to be persued for the debt as it is in dispute although that wont always stop them.
But you could threaten them with legal action if they do.

Lizzy

amandarose1963

Lizzy, thanks for all that info! :T And I can honestly say, that my mind is made up now! I've been dithering and fretting for months, fearing the worst, but now that I've seen your post, and all the great advice on this site, I am feeling more confident! I'm going to look at those letter templates and get the wheels in motion! That £28 charge that was on my statement this morning was the last straw and all for just 85 pence! I know, you've heard rants like mine before, so forgive me for venting my spleen!
Thanks again, Lizzy and everyone else!
Amanda

Red_Panda_2

Good luck Amanda - not that you will need it

I started my claim with HSBC back in June after they took £25 for going £6 overdrawn, I had not been over my over draft in 4 years, that really annoyed me, but with all my charges from back then it worked out a nice sum!

dlb

Good luck amanda.
I too have decided to give this a go, i have been reading and thinking about it for a while, but i am going to draft the first letter up tonight.
Keep us informed of how you are doing!!
And good luck

amandarose1963

Thanks everybody for the good luck wishes! I'll definitely let you know how I get on. I too am printing out the first letter tonight!
This is such a great forum; I wish I had come here sooner!
Best wishes
Amanda