MSE News: RBS punishes basic account holders in ATM crackdown

opinions4u

jasonwatkins wrote: »

Just wanted to share that I went into Barclays today to close my Basic account as i've been accepted for a current account with Santander.

That's exciting on an RBS thread.

Made zero effort to keep me as a customer after having the account for over 6 years without ever being overdrawn.

Were you meant to go overdrawn on a basic account?

I got the cursory "Why do you want to close it?" twice though. I should have said "Does it really matter ?"

Perhaps, by asking you why, they were trying to identify reasons you should stay.

Depending on the answer, they may have made the judgement call that they weren't that bothered with your little account.

Or it may just be that they really don't want basic accounts anyway. Don't think the banks really want these accounts, they offer them to keep the politicians off their case.

tagq2

opinions4u wrote: »

Or it may just be that they really don't want basic accounts anyway. Don't think the banks really want these accounts, they offer them to keep the politicians off their case.

Looking at the other extreme, I wonder what banks think about people who keep a fee-paying joint account open with little deposit but the monthly charge just so two people can enjoy the perks. If the Select Silver in particular is still profitable when operated as a joint account...

ALIBOBSY

jalexa wrote: »

Well done, the benefit of positive mental attitude over carping....

You will know this as you undoubtedly read the charges (or at least ticked the box;)), but for the benefit of anyone who isn't aware, unplanned overdrafts on Select are charged at £6 a day. I am not aware this is capped though I stand to be corrected.

On a step/key/basic account unplanned overdraft daily charges are not charged. (not "impossible" to overdraw but the account cannot be operated in overdraft).

Keep alert. You don't want to end up subsidising the "loss making" Basic acccounts.:D

My understanding is that Natwest and rbs charge £6 per day on unauthorsied overdrafts OVER £6. You can also set up an "act now alert" where if you go over they email and or text you and you get till 12 THAT day to pay funds in to cover. They also allow you to set up alerts so you can have it let you know when your balance reaches a certain level-you choose the level.

Personally i like the new charges as I believe it stops that unfairness in the charges system, it was never fair for say going over by £1 cost you £50 or more. This system at least means genuine mistakes can be sorted with either no charge or a small charge and the alerts i find useful. Some people will no matter what have issues with finance but I can't see many paying more under this system than the old where any bounced payments cost £35 plus an end of month £28 on top, plus interest.

Re those who blame this on the reclaims, you really have fallen for the banks lies eh. The reclaims are a drop in the ocean compared to the losses and buisness contraction due to the recession and the current financial situation.

The reality is most countries DO NOT have free banking and I would think most of us would prefer a transparent fair banking system where we all pay a small amount for the services raher than a chunk of the worst off being ripped off by banks abusing their position and ignoring the law and the ombudsman.

This effects one of our accounts with natwest, but our main account is just a normal "free" current account with rbs, so we can do FP accross if we need to. Seems fair enough that if you only have a basic account they limit your withdrawels so it doesn't cost them alot to administrate. As long as they don't stop the account altogether-people on low incomes or benefits that get turned down for main accounts need to have some kind of account.

We used our basic account to transfer money to knowing it had no DD's or regular payments on and could not go over with the card. This meant we could control our spending on day to day stuff whilst clearing the overdraft on the main account-now gone hurrah. So they can have their uses. But I reckon this story is a storm in a teacup really.

Ali x

tagq2

ALIBOBSY wrote: »

My understanding is that Natwest and rbs charge £6 per day on unauthorsied overdrafts OVER £6. You can also set up an "act now alert" where if you go over they email and or text you and you get till 12 THAT day to pay funds in to cover.

Is it that early? I've never had one but I thought it would be ~3pm or later. The T&C require an unarranged overdraft of £6 or less "at close of business", and you get a grace period if that overdraft begins on non-banking days. For people who make mistakes but take advantage of the technology to keep up-to-date, as you say, it's much better than it used to be.

The reality is most countries DO NOT have free banking and I would think most of us would prefer a transparent fair banking system where we all pay a small amount for the services.

Yes. Furthermore I don't care if my fee subsidises more basic accounts - to have those in financial trouble subsidising the more wealthy account holders is unsustainable and sadistic. It's better for everyone if people aren't financially excluded.

spingoblin

ALIBOBSY wrote: »

My understanding is that Natwest and rbs charge £6 per day on unauthorsied overdrafts OVER £6. You can also set up an "act now alert" where if you go over they email and or text you and you get till 12 THAT day to pay funds in to cover.

it's by 3.30pm on the day, it happened to me the other week - only found out i was overdrawn at 3.10pm because i had my phone switched off until then - so a quick log-in to online banking to transfer funds over from first reserve account at 3.15pm and i survived the imposition of any charges.:)

seeya23

got a letter off natwest today saying im getting a new debit card due to technical change any one else got this letter

spingoblin

seeya23 wrote: »

got a letter off natwest today saying im getting a new debit card due to technical change any one else got this letter

no not recieved this - are you being migrated from the step account to the new basic account? maybe it's something to do with the new atm restricted debit card.

seeya23

spingoblin wrote: »

no not recieved this - are you being migrated from the step account to the new basic account? maybe it's something to do with the new atm restricted debit card.

i have 2 step account but this card is for the account that i pay £7 fee for

dchurch24

It's clearly time that the amendment to the Wages Act in 1984 was reverted.

Let employees choose how they are paid by their employer and not the other way around - it is, after all, the employees money.

Do that, and then we'll see just how many people continue to use the high-street banking industries' "services".

ALIBOBSY

spingoblin wrote: »

it's by 3.30pm on the day, it happened to me the other week - only found out i was overdrawn at 3.10pm because i had my phone switched off until then - so a quick log-in to online banking to transfer funds over from first reserve account at 3.15pm and i survived the imposition of any charges.:)

Good to know thanks, the emailI got last time said by 12 to guarantee any payments go through, but I have in the past paid over the phone later in the day and they sorted it. Either way seems flexible to me
and the alerts are a good idea to help you keep an eye on the finances.

RBS/Natwest aren't the bees knees, but I am not sure they are much worse than any of the others.

ali x