Benefits swallowed up by bank charges

BigDebtBoy

Well seem's there ain't much I can do anyway The charges have been covered by my vast fortnightly scrounger allowance, big nasty old me has paid the price and will have to put up with it, The poor old skint bank has got their justified charges and not lost out, only fair considering they are not even slightly to blame for having told me I had money I didn't and then making more interest than the local gangtsa's would charge on a loan.

I will go and hang my head in shame and sit in the corner for trying to steel the nice banks money

cheers :cool:

neverdespairgirl

Hammyman wrote: »

Sadly the government are wrong and the social security act specifically said that benefits payments cannot be used to pay bank charges. It was in very plain english as well. Because the govt said this, it makes getting your money back using the SSA 1992 extremely difficult.

Which section do you have in mind? The one I found quickly might be the wrong one:

187 Certain benefit to be inalienable

(1)Subject to the provisions of this Act, every assignment of or charge on—

(a)benefit as defined in section 122 of the Contributions and Benefits Act;

(b)any income-related benefit; or

(c)child benefit,

and every agreement to assign or charge such benefit shall be void; and, on the bankruptcy of a beneficiary, such benefit shall not pass to any trustee or other person acting on behalf of his creditors.

neverdespairgirl

If you do mean s.187, as above, that doesn't appear to me to have anything to do wtih bank charges at all. It means a "charge" in the sense of a secured loan, mortgage, that kind of thing. It means you can't assign your benefit to someone else, and "alienate" it.

neverdespairgirl

motherb wrote: »

Has,nt anyone onhere ever made mistakes with money, some people are horrible and no they cannot take charges from benefits just hope some of youpeople do not fall on hard times

I haven't yet seen anything quoted which stops them.

Bobl

So, the facts without the bile poured out by some people here:

OP made a mistake and took money he didn't have because he forgot a previous payment - hardly crime of the century.
OP penalised in line with Bank terms and conditions - charges may be high but not illegal.
Bank refused to reimburse based on previous history - maybe harsh but again not illegal.
Benefit payments can be used to pay debts by the bank - unless someone can post a link to the opposite.

Sorry about your circumstances OP, hope you have more luck soon.

Equaliser123

neverdespairgirl wrote: »

If you do mean s.187, as above, that doesn't appear to me to have anything to do wtih bank charges at all. It means a "charge" in the sense of a secured loan, mortgage, that kind of thing. It means you can't assign your benefit to someone else, and "alienate" it.

Totally agree. I said this in post 9 yet the nonsense that this section applies to prevent bank charges being taken continues to be trotted out.