Can they charge me 90p per transaction !?!

John1507

Next month im going to London to meet with Duncan Lawrie Private Bank, to open my Current Account and switch my funds and close my Barclays Premier Account.

I meet their criteria and this week they are sending me informations books and such.

Then, upon reading on the website I seen this:

Current Account Charges

[FONT=GillSans Light,Gill Sans Light][FONT=GillSans Light,Gill Sans Light]Where: [/FONT][/FONT]
[FONT=GillSans Light,Gill Sans Light]
[FONT=GillSans Light,Gill Sans Light](a) a minimum average cleared balance of £5,000 (or such other minimum average balance we may notify to you from time to time) is maintained throughout a monthly charging period; and [/FONT]
[FONT=GillSans Light,Gill Sans Light]
(b) no overdrawn balance arises on the account at any time during the monthly charging period, no debit or credit entry charges will be levied.

Where an account falls below this minimum average balance in a monthly charging period or where an account has been overdrawn at any time during a monthly charging period, all debit and credit entries will be charged at 90p per entry, subject to a minimum charge of £25 per month. All such charges will be deducted from your account on the last business day of each calendar month.

Does this mean that if my current account drops to £4999, they will charge me 90p if I buy a 50p can of coke on my debit card ?

Or am I just being daft, and thats only for overdrawn accounts ?




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Derivative

John1507 wrote: »

Next month im going to London to meet with Duncan Lawrie Private Bank, to open my Current Account and switch my funds and close my Barclays Premier Account.

I meet their criteria and this week they are sending me informations books and such.

Then, upon reading on the website I seen this:

Current Account Charges

[FONT=GillSans Light,Gill Sans Light][FONT=GillSans Light,Gill Sans Light]Where: [/FONT][/FONT]
[FONT=GillSans Light,Gill Sans Light]
[FONT=GillSans Light,Gill Sans Light](a) a minimum average cleared balance of £5,000 (or such other minimum average balance we may notify to you from time to time) is maintained throughout a monthly charging period; and [/FONT]
[FONT=GillSans Light,Gill Sans Light]
(b) no overdrawn balance arises on the account at any time during the monthly charging period, no debit or credit entry charges will be levied.

Where an account falls below this minimum average balance in a monthly charging period or where an account has been overdrawn at any time during a monthly charging period, all debit and credit entries will be charged at 90p per entry, subject to a minimum charge of £25 per month. All such charges will be deducted from your account on the last business day of each calendar month.

Does this mean that if my current account drops to £4999, they will charge me 90p if I buy a 50p can of coke on my debit card ?

Or am I just being daft, and thats only for overdrawn accounts ?




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Should be fine as long as the average in a month stays above £5000.

So if you have £6000 in for most of the month and dip to £4000 for a day you'll be okay.

If you don't mind me asking, what's the bonus of having the account? £5000 seems steep to be leaving in there all the time.

oldvicar

John1507 wrote: »

[FONT=GillSans Light,Gill Sans Light][FONT=GillSans Light,Gill Sans Light]Does this mean that if my current account drops to £4999, they will charge me 90p if I buy a 50p can of coke on my debit card ?

Or am I just being daft, and thats only for overdrawn accounts ?[/FONT][/FONT]

No, they will charge up to £25.00 in circumstances where your average balance is £4999.

If you don't buy the coke, your average balance is quite likely to hit £5000 and all your other transactions will be free.

Where can you buy a single can of coke for 50p? They're 59p in Tesco.

John1507

Derivative wrote: »

Should be fine as long as the average in a month stays above £5000.

So if you have £6000 in for most of the month and dip to £4000 for a day you'll be okay.

If you don't mind me asking, what's the bonus of having the account? £5000 seems steep to be leaving in there all the time.

Relationship really is all you get, its not like added value current accouts from say Lloyds or Natwest who give car break down or travel insurance. You don't get any of that, its just having a personin the bank that knows you, your finances and what you want from your money.

I think the minimum £5,000 is just stop everyone applying for a current account. If they didn't have that criteria, they wouldn't be able give everyone personal service, as there would be too many clients to not enough staff.

John1507

oldvicar wrote: »

No, they will charge up to £25.00 in circumstances where your average balance is £4999.

If you don't buy the coke, your average balance is quite likely to hit £5000 and all your other transactions will be free.

Where can you buy a single can of coke for 50p? They're 59p in Tesco.

It was just an example really, showing how they could add 90p on to any debit in your account, even if its something lower than 90p.

So, if my balance went below £5000, say i bought a £300 Television, and my balance went to £4700, they would charge me £25 at the end of the month, AND 90p on any purchase i make with my debit card ?!

zzzLazyDaisy

John1507 wrote: »

[FONT=GillSans Light,Gill Sans Light][FONT=GillSans Light,Gill Sans Light]
Where an account falls below this minimum average balance in a monthly charging period or where an account has been overdrawn at any time during a monthly charging period, all debit and credit entries will be charged at 90p per entry, subject to a minimum charge of £25 per month. All such charges will be deducted from your account on the last business day of each calendar month.[/FONT]
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What it means is that each separate entry for that month (whether it is money in or money out) will be charged at 90p. If the total is less than £25, it will be rounded up to the minimum of £25.

gt94sss2

John1507 wrote: »

So, if my balance went below £5000, say i bought a £300 Television, and my balance went to £4700, they would charge me £25 at the end of the month, AND 90p on any purchase i make with my debit card ?!

No - they would charge you £25 which is the minimum charge so you could do 27 "90p" transactions and still pay the same fee..

However, as others have said, its only if your average balance for that month goes below £5,000 and not on any specific occasion.

Regards
Sunil

LittleVoice

What criteria do you need to meet to open the account?

Do you understand what they mean (no pun intended) by "average"?

blueberrypie

John1507 wrote: »

Where:
(a) a minimum average cleared balance of £5,000 (or such other minimum average balance we may notify to you from time to time) is maintained throughout a monthly charging period; and
(b) no overdrawn balance arises on the account at any time during the monthly charging period, no debit or credit entry charges will be levied.

Where an account falls below this minimum average balance in a monthly charging period or where an account has been overdrawn at any time during a monthly charging period, all debit and credit entries will be charged at 90p per entry, subject to a minimum charge of £25 per month. All such charges will be deducted from your account on the last business day of each calendar month.

Does this mean that if my current account drops to £4999, they will charge me 90p if I buy a 50p can of coke on my debit card ?

Or am I just being daft, and thats only for overdrawn accounts ?

Are you asking whether the t&c say they *will* charge you 90p per transaction, or whether they are *allowed* to do so (as your post title suggests)?

If you are asking whether they *will*, then the t&c are clear. You must fulfil both conditions in order to avoid those charges: you must maintain an average balance of £5000 *and* you must not go overdrawn.

If you are asking whether they *are allowed* - then yes, it's in their t&c, and when you open an account, you agree to those t&c.

Personally I'd rather have my £5k average working harder for me rather than sitting in an account paying for "personal service".

Rupert_Bear

blueberrypie wrote: »

Personally I'd rather have my £5k average working harder for me rather than sitting in an account paying for "personal service".

That is the going rate for snobbery!

thatsean

Of course they can, thats the tariff. You can't go in search of personal service and then moan about the cost, that's the point - otherwise you'd have people like me in the queue for the banking advisor with you! I'm not familiar with DL's service, but Arbuthnot Latham are cheaper than that, and you get branch access through Lloyds to pay in, might be worth a thought.