HSBC informal overdraft Arrangement Fees?

Lewbz

Hello, please could someone help today i got a letter from HSBC telling me that i have been charged £29 for informal overdraft Arrangement fees when this is the first i have heard about it i did take out £10 once or twice which i didnt have as i had no way of getting home at the time but did not know it would let me withdraw money i dont have when i dont have an overdraft ? but i put that money back in within several hours so should i still be getting charged? it does say on the back of the letter "Up to £10 no charge" Up to £25 £10 per item " so it this wrong is it worth phoning up an asking about this? Thanks for reading and any help would be appreciated.

Claree__x

If you knowingly took out money that you didn't have, I don't think you can have any complaints. A cash machine should have stopped you taking the cash but if you paid by card, it may not have checked your account as it is ultimately your responsibility to know what's in your account.

I don't really understand the last part of your post so if I'm reading it wrong I apologise - if it's "up to £10" it's most likely £0.01 to £9.99 as it doesn't state inclusive of the £10.

As for not hearing anything about it - have you checked your most recent statement? I don't know about other banks but Santander definately notify of charges on the first page of your statement.

Sorry I can't help further.

smartiedriver_2

It may be worth calling to clarify the amount of the charge - £29 is an odd amount, unless it's 2 x £10 plus debit interest.

As you say, there is no charge from £0.01p to £9.99, then £10 fee for amounts from £10 to £24.99. This is PER EVENT, by the way, not in total. So if you are overdrawn, then make another transaction to worsen the balance, you will be charged twice.

david39

You knowingly took the money from the machine and are now feeling miffed that you are being charged for it. I can understand that and probably would feel the same myself - after all, none of us would willingly volunteer to pay the charges.

However, you would have been even more upset if the machine had not given you the money you asked for - you were in an emergency situation (unable to get home) so the bank did you a favour.

Had the money not been forthcoming you would have been complaining that the bank had left you stranded, unable to get home, all for a measerly £10 over your limit.

Lewbz

Thanks for the replies was a little confused as to why the cash machine let me do this and when it says "Arrangement" when i have not made an arrangement when i phoned up they said i would have to go into the bank you think its worth doing that or is that not really going to change anything? Thanks.

noh

Lewbz wrote: »

Thanks for the replies was a little confused as to why the cash machine let me do this and when it says "Arrangement" when i have not made an arrangement when i phoned up they said i would have to go into the bank you think its worth doing that or is that not really going to change anything? Thanks.

When you made the request to withdraw money that took you into debit an informal overdraft arrangement was made.

See

www.hsbc.co.uk/1/2/personal/current-accounts/overdraft-service

Specifically "But do you always know"

Lewbz

Thanks for the reply but i did only take out £10 twice an both times put money back into my account within 12 hours an here it says you can be overdrawn for one day


hsbc.co.uk/1/2/overdraftexamples[/url]

miclc

I've been with HSBC for a long time now and have always found them to be very good and have exceptional customer service. However, I too have had issues with this "informal overdfart" carry-on.

When I initially opened my account in 1996 (roughly) I never wanted an overdraft and arranged not to have one nor be able to use my card if I had no coin in the account , the bank was very accommodating with my request.

Back in 2008 I was informed that I was being charged £30 for going overdrawn. I phoned and informed them that I should not have been able to go overdrawn, the fella looked over my account and politely credited my account £30.

June 2012 I received a letter stating I was being charged £50 for going overdrawn. I phoned HSBC to see what the craic was and was told that I went overdrawn, will be charged and try check my balance online more regurlarly ... I was a bit confused so went to the branch on a Friday to talk about the issue. I told them of the situation back in May 2008 when I was credited the money ... the chap I was speaking found this on record and told me "we will credit your account ... the manager isn't here right now to authorize this ... I'll put a "marker" on your account and notify her and she will phone you on Monday." By Wednesday I had heard nothing so tried the helpline again ... no luck but was told that there was no "marker" on my account. On the Friday I went back into the Branch and spoke with another fella about everything, only then was I informed of the "informal overdraft" and told that they would not credit my account. I asked if they would put a "safety net" on my account so I could not go below £0, his reply was "no, it will wreck your credit rating permanently" ... to be fair to the chap he was to the point and honest, so without argument I accepted the £50 charge.

20th July 2012, I received another letter stating I have gone overdrawn again with another charge of £50 ... after looking at my statements on-line I realized it was the initial charge of £50 that has caused me to go outside of my "informal overdraft agreement" that I can't once remember agreeing to. As annoying as it is I only have myself to blame.