Reclaim Bank Charges if you cease trading

edited 30 November -1 at 1:00AM in Reclaim Bank & Credit Card Charges
5 replies 1.1K views
sylhetsylhet Forumite
16 Posts
I want to know is it possible to reclaim bank charges if your company cease trading? My business cease trading on 2009 while it was trading for almost 7 years. The bank charges total more then £20,000 (it was 2 man company - not self employed) and turn over never exceeded £100,000 p.a.

I was thinking of using the standard template to reclaim the bank charges - but i am not sure whether the bank will refund the charges since they view the company as an independent person with limited liability.

The whole reasons of cease trading is because of over charges made by Barclays Bank.

I have statement and annual account for the last 7 years.

Can someone advice me on this.

Replies

  • dunstonhdunstonh Forumite
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    You say it was not self employed. So, that would suggest it was a limited company. If so, then if it ceased trading and has since been closed down and no longer exists then the legal entity that can make the complaint (and receive any money) no longer exists.

    Even if we ignore that, most bank charge complaints fail nowadays anyway. So, what grounds would you give to combat that?
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • Thank you for your comments, even the legal entity no longer exist in order to receive the money. As a primary shareholder it should mean something to bring the complain about over charges that cause the company to cease trading etc?

    I have seen the template about bank charge produce by Martin and the success story by others. But these story relate to continuing businesses who move account or self employed that cease trading.

    I hope someone can clear the air for me before I SEND out the letter to the bank.
  • Can a cease limited company shareholder who own 50 or 100% shares bring action againt the bank about bank charges refund?
  • I have come across an article by an accountant that read "Can a shareholder claim against the company's bank?"

    For example if you have shares in your own small company and that company suffers loss of value or worse because of a bank, can you as a shareholder claim for your loss or more against the bank?

    According to him you can bring a claim against the bank even if the business cease trading and also inform the bank you will complain to the Ombudsman to investigate as 'maladministration' - such issue is very rare.
  • tifotifo Forumite
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    dunstonh wrote: »
    Even if we ignore that, most bank charge complaints fail nowadays anyway. So, what grounds would you give to combat that?

    The test case had nothing to do with business accounts ....

    But it will be almost impossible claiming on a dissolved limited company. If it is still open at CH but has ceased trading or is dormant you may be able to claim.

    If the bank account is closed you may need to reinstate the company [if dissolved] and open a business bank account to 'bank' any cheque.
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