Lloyds Loan

ethiopia

Hello All.

New to this site, and looking for some people to advise what I am best to do.

A few years back, I had a bank account with Lloyds TSB. The only credit I had was an overdraft facility of 1,000. Which on occasions I dipped into. Also during the 3 year period, I managed a business that employed 50 foreign staff. I always opened new bank accounts for them with Lloyds, always taking out my own time to assist the staff and the bank in having the correct documentation, and always taking people who had no preference to Lloyds. This is irrelevant for my situation, but thought that with over 100 individuals introduced to the bank and having their monthly pay transferred into it. I thought (quite foolishly) that it may earn me a little assistance with the bank should I neeed it.

Without digressing further, one weekend I knew that I was close to my credit limit, but had a refund from a company about to be transferred to my bank account. I went to the cashpoint, to see that it said I had 200 available. The amount that I was expecting to be recieve plus the few pounds I still had as balance. I withdrew something like 150, leaving what I thought was a balance of 50 to the OD limit.

A couple of weeks later I got a letter claiming a charge for going over my OD facility. When I went to the bank they produced a statement, saying that on the day I withdrew the 150, I had not got sufficient funds in my account at the time. I told them that the company refund was in my account and available for spending. They showed me the clearance date of being 2 days AFTER the cash point withdrawal. Telling me that the cash may have been able to be withdrawn, but I shouldn't have until it was cleared.

Depite protestations (I couldn't go back in time and prove), I tried the "I've helped you out a lot, so you help me out and cancel the charge". Repsonse - we appreciate your assistance in opening of so many bank accounts but, tough luck, the 2 cases aren't linked.

Since then I refused to pay and salary or make any transfers from this account. Charge after charge have mounted up - 150 pounds a time, and now stands somewhere in the 3,000 mark. I accept I have a debt of circa 950 to repay. A couple of years back I assumed the consumer would win the OD charge case, and I'd get it all cleared anyway.

Due to work, I have moved abroad. My username gives away where I am right now. I have not even kept in touch with the bank since an offer of repaying the 950, and nothing more before I move abroad, which was refused. I would guess they have put the outstanding balance in the hands of some credit chasing agency. Who have no idea where I am.

The debt dates back to somewhere around 2007/8. My contract with work has me here until 2013, and then possibly another assignment in another country after. I believe in paying what I owe, but only what I owe.

Which of these options should I go for?

1. Do nothing for the next few years, do not make any contact, and as a friend advised wait for the debt to be statute barred in the next 2 years. If the bank or the agency, don't get in touch with me by then.
2. Visit the bank next time I am in the UK, and again make an offer of 950, telling them that I am still abroad, and it's their best chance of getting the actual debt repayed.
3. Another option?

Thanks in advance for any advice offered.

Bravehearted_2

I imagine by now you credit file has been given a hard smacking by this event.

Still, the smart thing should have been to pay it off and not let it build up. If you'd won the case, then they would have to refund you the difference.

My advice, pay it - unless you no longer plan to live in the UK, in which case a bad file means little.

jonesMUFCforever

Stay where you are I'm sure the banks there will operate in a way to satisfy your needs.

dealer_wins

jonesMUFCforever wrote: »

Stay where you are I'm sure the banks there will operate in a way to satisfy your needs.

Agree, OP stay abroad, we dont need any more shysters in the UK its already full up with them.

meer53

Pay what you owe. For an employer you don't sound very responsible to me.
If you'd printed a mini statement off before you withdrew the £150 from the ATM you would have known that the funds in your account weren't cleared to draw against. Some banks allow withdrawals against uncleared funds but do advise you that you will be charged for doing so.

ethiopia

But the funds appeared cleared, the day before a balance of something like a fiver, then the next day, possible withdrawal 205 available. Assuming that the reimbursement had gone through. In addition, surely putting somewhere around 700k of my then employers labour budget through their bank over 3 years, would earn a few kudos with the bank. Enough to waive a charge at the very least. Anyway, getting off the point, not discussing banking principals, would be here all day.

Thanks for the advice of one or two. Less so for a couple others. I still believe I'm in a good negotiating position. Surely with the debt getting ever closer to being statute barred, the offer of the OD balance will be taken. Which is the question I actually asked.

tell_it_how_it_is

If you hadn't been so bloody minded you'd have sorted this years ago at a fraction of the cost. Your option 2 sees like the best bet if coming back to the UK, but the longer you leave it, the more serious it could potentially get.

LovelyLeeds

ethiopia wrote: »

I believe in paying what I owe, but only what I owe.

In other words what you deem you owe not what is actually owed? It doesn't work like that, you can't invent your own T&Cs.

Which of these options should I go for?

1. Do nothing for the next few years, do not make any contact, and as a friend advised wait for the debt to be statute barred in the next 2 years. If the bank or the agency, don't get in touch with me by then.

Yeah why not, that's what people with no moral fibre would do.

2. Visit the bank next time I am in the UK, and again make an offer of 950, telling them that I am still abroad, and it's their best chance of getting the actual debt repayed.

How thoughtful of you.

3. Another option?

Why don't you just pay what you owe?

RichGold

Give me shout next time you come over to the UK, I'll put you up for free.

ethiopia

To those who offered sound advice, cheers.
To those who have nothing better to do than trawl the site to make judgements. Have a [EMAIL="w@nk"]w@nk[/EMAIL], it's a lot more fun.

ethiopia

LovelyLeeds wrote: »

In other words what you deem you owe not what is actually owed? It doesn't work like that, you can't invent your own T&Cs.

Yeah why not, that's what people with no moral fibre would do.


How thoughtful of you.

Why don't you just pay what you owe?

Leedsy, you are a man who likes your quotating I see. I'll refrain from quoting your quotations, for one I don't know how to do is as stylishly as you do. Would not want to show my amateur ability.

Moral fibre, in reference to the banking industry? Love it. You have a marvellous ironical humour. That on top of your superb quotation ability.

So from the irritation of some responses, I think it could be safely concluded that my circumstances, allow to me to avoid repayment of anything other than I decide. And to satisfy the arm folded judgementalists and moralists, that would be every penny I have taken from the bank to date transactions stopped. But the biggest negative impact is the credit scoring in a country I no longer require credit.

Thanks.