Lloyds business charges

fifixx

Today I am starting to gather all info to make a claim against Lloyds business for the charges on my account.
I am so grateful to this site with all the information available. I have a small farm and in the last 6 months have had a drop in income and at one point I was buying heating oil in 25 l containers as we couldn't afford to have the tank topped up. Money is a real worry and I end up having to use business money to buy food etc and now am desperately behind with rates, feed bills etc.
I have asked when in real trouble my bank manager for a temporary overdraft or an additional loan and he just says no, not possible.
I have a 75k loan which is up to date with repayments and the bank has a charge for the original amount of the loan £95k over the farm which is worth over a million pounds.
I now do not use cheques or a debit card at all, just cash and bank transfer payments. I have asked a friend to lend me £2000 and she will let me know if it is possible today or tomorrow and in July I am having to sell part of a field which should raise £7000.
i am going to read all the relevant threads for business charge reclaiming and get all the charges itemised today.

fifixx

I'd be grateful for any feedback!

just to add: I have a personal a/c with Lloyds, so same manager oversees it and when things go well I transfer £500 monthly for personal use. For the last 6 mths, I haven't even been able to do that, so live off cash sales (which all go into the accounts as cash, just not into the bank so all through the business correctly)

Little_Mo_70

fifixx wrote: »

Today I am starting to gather all info to make a claim against Lloyds business for the charges on my account.
I am so grateful to this site with all the information available. I have a small farm and in the last 6 months have had a drop in income and at one point I was buying heating oil in 25 l containers as we couldn't afford to have the tank topped up. Money is a real worry and I end up having to use business money to buy food etc and now am desperately behind with rates, feed bills etc.
I have asked when in real trouble my bank manager for a temporary overdraft or an additional loan and he just says no, not possible.
I have a 75k loan which is up to date with repayments and the bank has a charge for the original amount of the loan £95k over the farm which is worth over a million pounds.
I now do not use cheques or a debit card at all, just cash and bank transfer payments. I have asked a friend to lend me £2000 and she will let me know if it is possible today or tomorrow and in July I am having to sell part of a field which should raise £7000.
i am going to read all the relevant threads for business charge reclaiming and get all the charges itemised today.

Sorry but I don't know much about how business banking works so I might be talking rubbish but you asked for feedback:).

This is a truely sad posting, we have seen so many of our lovely farms fold - something I had never seen in all my life until recent years. I know how hard you all work and it must be very demoralising. I know lots of farms diversify now, might that be an option? Don't ask me what but there might be a talent within the household?

The bank are aware of your difficulties but, even though they have helped before, refuse to do so now. Not sure if, because your farm is small, you are classed as a small business, but I thought banks advertise the fact they help small businesses. You are managing your finances sensibly despite strict constraints and the bank should recognise that.

After your plans B & C (sale of land/2k loan) have been implimented perhaps you will have no other fall back. Have you approached NFU for advice? Might they offer help? Not sure what they might do - I have insurance with them and don't farm but I find they are very helpful when I approach them.

Anyway, I digress. Go for your claim and put a strong case together, just say it as it is. You've nothing to lose really and I wish you the very best of luck

Mo x

fifixx

thanks for the kind reply! I am not the best at keeping finances under control, I just seem to always have bills to pay.
I did get a third off our council tax bill which was £2600 so am happy about that and I have cut a few hundred off the insurance bills.

fifixx

I am at my wits end - phone cut off, letters unopened...so today I need to face the music and start sorting the bills out.

First thing, I have written to the business manager telling him of my intention to claim -

I am going to have to write to Lloyds and request some sort of repayment of bank charges incurred on my business and private accounts as we are under financial hardship at the moment. Bills we cannot pay due to a marked loss of income from having had no income as per cashflow projection for the last 3 months are the phone, electricity, council tax and water bills. We also have no possibility of taking any drawings from the business which means no food on the table - apart from the freezer and weekly income from egg sales which is about £30. Any income I have had has gone to pay essential feed bills for the animals which must be the priority.

The sale of land is going ahead in June and I haven't heard back from the farmer who is interested in buying the other small parcel. I am sure he will make an offer however.

The charges from last June to now total £1740 and I will also have a look at the previous year. There is a financial hardship criteria for repayment of the charges and actually I think we fit into it at the moment.

I will get all the figures together later on today and copy the letter I send to you for your information.

I am sure he actually has the authorisation to refund, so I thought step 1 should be to give him the possibility of refunding - not that I'm holding my breath!

Biggest pain today - my daughter's 30th and I can't get her anything - but I do have a lovely little antique chest of drawers which was my mums, so I think I will give her that instead

Premier_2

fifixx wrote: »

I am at my wits end - phone cut off, ...

At least you still have internet access

fifixx wrote: »

...
I have a 75k loan which is up to date with repayments and the bank has a charge for the original amount of the loan £95k over the farm which is worth over a million pounds...

I thought you said the original loan was £70k?
https://forums.moneysavingexpert.com/discussion/3526985

One day, Rodders, you'll be a millionaire! :beer:
Oh, you claim you already are! :cool:

Them bridges must be worth more than I thought ...

fifixx

Internet on a business line which is tied into a 2yr contract. home phone separate...one more thing to try and sort out, but try and discuss it with BT-they can't mix business and home!
Exact loan is now £72432

Am I really so crap that you need to kick me when I'm down? what I would like to do is not have to run this farm and go and work in an office but I can't so I somehow have to make a go of things

Little_Mo_70

fifixx wrote: »

Internet on a business line which is tied into a 2yr contract. home phone separate...one more thing to try and sort out, but try and discuss it with BT-they can't mix business and home!
Exact loan is now £72432

Am I really so crap that you need to kick me when I'm down? what I would like to do is not have to run this farm and go and work in an office but I can't so I somehow have to make a go of things

70k or 75k does it really matter P? It's still a heck of a lot.

Fifixx, are you not able to sell your farm? Would that solve the problem if it's not short term? What type of farm are you and why are you tied to it and can't do anything else?

If you really are unable to turn things round then might that be a possibility? I saw last night Jeremy Clarkson has just bought a farm as he loves the countryside, (yet he admits to knowing nothing about farming) he said his money is better invested in our English countryside than in the bank!!

Why not advertise it as a special investment for a celebrity and name drop? A tranquil, peaceful retreat, away from the hussle and bussle of the city..................

If you want to carry on then what about the possibility of income from caravan storage if you have barn or area suitable? Camping has become more popular than ever now due to economical climate and lots of people want cheap holidays in a van but have no where to store one. If you had a suitable field you might be able to get permission from the council to open a small camp site (check up on Camping and caravanning club web site and Caravan club web site, who are always on the look out for new certified sites/certified locations in rural retreats for up to 5 vans per night)
If you have a spare room what about a lodger or two?

Renting some of your fields for grazing horses or whatever? I'm trying to think of options which won't need much initial outlay that could generate a bit of income.

Don't be too down Fifixx . I know some of us on here are a bit hasty to judge but don't take it to heart too much.

You will sort this lot out one way or another, you are trying hard I know. Funnily enough I was only thinking of you this am, wondering how things were going. I am so sorry that the tunnel light is still evading you, it's there somewhere, just hang on.:)

Mo x

fifixx

Again, thank you for the encouragement!

Camping is something I am looking at for August as for 28 days I don't need planning permission. I am going to plan and advertise it in June.

My biggest problem is I have not got any working capital so things like the broken boiler in a rental cottage on the farm has completely thrown everything upside down, making me sell a bit of land which will fetch around £5000 after costs and tax. In the meantime, every time some income comes in it is getting eaten up in daily bills, council tax etc and not getting put towards building up a cushion in the account to have to pay for unforeseen things or costs such as advertising the camping. It is so frustrating as just as I think things are just about ok another direct debit can't be paid and then the charges start and back to square one. I have cancelled most but insurance, bt and water won't let you unles you pay the whole amount due upfront...and so it goes on.

I understand the bank manager is trying to be helpful by not giving me any more money which will increase the borrowing but I am on only 2% over base so I could service a few thousand more on the loan especially if the camping and land sale go ok.

Anyway, today I am feeling positive, my scary pile of unopened letters from the last 2 weeks is going to be tackled and I have £200 which comes in today and £450 on Wednesday so I will be able to pay some council tax, tax, electricity and the bt bill!