bank admits blunder - advice needed

leavinglondon

a year ago i requested that my bank transfer £300 to my savings account from my current account. but they made an error and transfered this money to my credit card account on which I had no outstanding balance. Since then, they agreed to making the blunder and assured me that they would refund the money to its original location but until today that hasn't happened despite numerous calls.

I have written to them threatening legal action and today they rang to offer me £50 compensation. I am not particularly impressed because had I been the one to have owed them for a year without paying, they would have charged me at least £12 per month or so and my name would have been blacklisted. I think they should apply their own rule and pay me the same £12 per month for the length time they have had my money.

To make it worse, they told me that a £36 bank charges they had charged me on the credit card account earlier on was legitimate BUT my request for monthly charges is not.

What would you all consider a reasonable deal here?

YorkshireBoy

I'm not sure why it's taken a year to sort out, being as their complaints timescale is 8 weeks.

Why didn't you use that? and refer to the FOS if necessary? Much cheaper, and less stressful, than legal action.

If you do go the FOS route (and you can't until you exhaust the bank's complaints procedure first) I can't see them increasing what is a near 17% return on your money (less your communication costs).

I'd take the £50 and resolve to do things differently next time.

jonesMUFCforever

£300 at what rate of interest??? = pennies
£50 compo - means you are much better off.

Spend the money on the credit card if it is still there - and put the money you would have spent back to your savings.

Blimey what a drama queen!

opinions4u

I'd have said interest at 5% plus £25 compensation.

I make that £40 .... so the offer you've had is fine.

I have written to them threatening legal action

How ridiculous. How pointless. If you go down that route, which you are entitled to do, there is a reasonable chance that a small claims court will rule in your favour, order the bank to reimburse you £300, make a payment of £50 to compensate you for time wasted and make no order for any legal costs - meaning you have to pay your bill.

The banks have complaints structures that are well published, well regulated and probably work better than those in most other industries. They also subscribe to the Financial Ombudsman Service which is free to consumers. Why on earth would you litigate when you have this?

(Surely you could have found something costing £300 or more in the last year that would, if paid on your credit card, allowed you to access the balance in full at that time?)

Degenerate

Surely you bought more than £300 worth of goods in the last 12 months. Why didn't you just spend on the card?

noh

If you were not spending on the card why did you not simply close it? The credit balance would have then been refunded.

ironlady2022

No point of legal action
-Spend 300 pounds on goods and close account if you're not happy
-Accept 50 pounds compensation

Simple!