Lloyds TSB returned item fee

bobster999

hi

O2 have recently tried to take money from my account for my phone bill but i was £16 short so Lloyds TSB have sent me a letter that says theyre treating this as an unplanned overdraft so because of this they will charge me a returned item fee for each returned item.

The bit i'm really worried about says 'There are also daily fees which are worked out at the end of each day on the balance of your unplanned overdraft as follows:

unplanned overdraft is:
up to £10 No fee to pay
£10.01 to £24.99 £5 a day
£25 or more £10 a day'


I paid my bill the day after after i got a text from O2 saying they wanted the money. Does this mean im going to get charged £10 a day until the returned item fee is paid? Do I pay it by going into the bank becuase there's no details on the letter to state how to pay it.

I dont want to have them taking it in maybe a month or 2 when I might not have any money again. I got made redundant at the end of march and this is the first time this has ever happened.

MME_2

Whoa, you've confused yourself.

Either the direct debit was returned or it was paid and you were given an unplanned overdraft. Which is it?

Either way, the charge will be debited 01/09/11 and a statement in August will confirm this.

IrishGypsy

How long were you overdrawn for? Daily fees are worked out on that basis (E.g. If you were in the red by, say, £16 for 5 days with LLoyds, you'd owe them £25 - 5days @ £5 per day).

So if we know how long you were at -£16 for, we can tell you how much you'll owe for that portion of the charge. You should be advised on your bank statement what date they plan on taking it in the future (I know Santander give 22 days on their statements, don't know how long Lloyds TSB give tbh).

bobster999

MME wrote: »

Whoa, you've confused yourself.

Either the direct debit was returned or it was paid and you were given an unplanned overdraft. Which is it?

Either way, the charge will be debited 01/09/11 and a statement in August will confirm this.

ive got the letter here. they tried to take a direct debit but there wasnt enough money in my account. money somebody owed me was in the process of transferring so the day it cleared the first thing i did was pay O2. i tried getting a planned overdraft 2 days before this but they wouldnt give me one as i'm unemployed.

on the bottom of the letter it says 'please note that an unplanned overdraft continues until it is repaid.'

bobster999

IrishGypsy wrote: »

How long were you overdrawn for? Daily fees are worked out on that basis (E.g. If you were in the red by, say, £16 for 5 days with LLoyds, you'd owe them £25 - 5days @ £5 per day).

So if we know how long you were at -£16 for, we can tell you how much you'll owe for that portion of the charge. You should be advised on your bank statement what date they plan on taking it in the future (I know Santander give 22 days on their statements, don't know how long Lloyds TSB give tbh).

it was about 4 days :-(

IrishGypsy

bobster999 wrote: »

it was about 4 days :-(

So you'll owe them £20 for those 4 days and whatever amount Lloyds charge for the money not being there. Now it's a case of keeping a very close eye on your bank statement!

Best of luck.

bobster999

ah right, cheers. im going to go to lloyds tomorrow and ask them to please take the payment now instead of later as i dont want things to snowball and up getting more charges.

thank you for the replies folks:)

IrishGypsy

If it's your first time being charged they might refund some (or all) of it if you ask them nicely. I'd be very surprised if they can take the charges sooner tbh. The only way for Santander to do that (for example), would be by closing the account and taking all future fees upfront that way (but obviously I can't speak on behalf of Lloyds TSB). Good luck!