Credit Card (£3,900) & loan (£3,500) with HSBC implications

jpwatson

I have a £3,500 loan and £3,900 on my credit card. I have continually been charged for going over my overdraft limit of £250 on the current account and these charges range from £25 -£125 depending how much a go over. If I proceed with trying to claim my charges back (which must be in the thousands!!), I have read on the forum that sometimes the bank will close your account. Does this mean they will insist I pay back my credit card and loan back as well as the overdraft?? Although it would be nice to get the cash back, if they insist i pay these back I will be a lot worse off in the long run!!
p.s I have a poor credit rating due to going over my overdraft so often so would not be able to take out a new credit card or loan, however i do have a Halifax account which I don't use, so at least i would have somewhere to get wages paid in.

Any help would be much appreciated......Thanks.

nickmack

Very unlikely your claim will have an effect on your loan or credit card. They are covered under seperate legal agreements, so if you are up to date with payments, there should be no problem.

jpwatson

Thanks for the reply, i obviously dont wanna make a big mistake.

One more question which i forgot to post in my first question.... The HSBC seem to have usually paid my direct debits and S/O's even if i have been overdrawn. If they charge me 25 quid for being overdrawn by say 20 quid and 125 fine for being over about that much is this classed as a fair charge as i am using their cash after all?? or should it be like 12 quid for each fine, just dont quite understand the 'fair charge' part.

Cheers in advance.....

nickmack

The OFT have somehow come up with a 'fair' figure of £12 for credit cards. The banks can work out the actual cost incurred, but will not reveal this. Therefore at the moment, most people are claiming for and getting the entire charge back.