Odd Overdrawn fees.

wwp8

My mate was in the army since 2010-2011
When he came back, his income was much lower and as he lived a high spender lifestyle with his army wages.
he continues to be overdrawn (extremely bad credit)

He always believed he had a £700 overdraft limit, until one day he couldn't withdraw any more money and he was about £300 overdrawn, when he showed me his mini printed statement, there was this anonymous £150 debit.
When we questioned the branch, apparently HSBC places a fee for being overdrawn and his overdraft limit is only £150

So for a period of time he was being charged £150 per month every time he was overdrawn (yes, he isn't the brightest spark with his money)

He is only 22 and don't have an acceptable credit rating and its sad to see him like this.

Is it possible to claim these charges 'whatever they're called'
and how does the process works

Thanks in advance.

Little_Mo_70

wwp8 wrote: »

My mate was in the army since 2010-2011
When he came back, his income was much lower and as he lived a high spender lifestyle with his army wages.
he continues to be overdrawn (extremely bad credit)

He always believed he had a £700 overdraft limit, until one day he couldn't withdraw any more money and he was about £300 overdrawn, when he showed me his mini printed statement, there was this anonymous £150 debit.
When we questioned the branch, apparently HSBC places a fee for being overdrawn and his overdraft limit is only £150

So for a period of time he was being charged £150 per month every time he was overdrawn (yes, he isn't the brightest spark with his money)

He is only 22 and don't have an acceptable credit rating and its sad to see him like this.

Is it possible to claim these charges 'whatever they're called'
and how does the process works

Thanks in advance.

Hi
I wouldn't have thought your mate would be able to claim back charges as technically he's not in severe financial hardship and he's being charged because he's overspending. All the banks terms and conditions are clear from the outset when opening an account. You yourself have said he was used to living well and it would seem that he has continued to do so after coming out of the army.

He needs to draw in the spending horns, make an appointment with his bank and see how he can repay his overdraft charges (not to be done over the phone nor at the bank counter) seeing someone who can make decisions is always better. If he is now having financial difficulties they should be able to arrange a repayment plan he is able to afford.

YOu also mention he isn't bright with his money, he really needs to be if he's any chance of keeping in the black in the future so perhaps he could discuss how everything works while he is at the bank.

Best of luck to him.

Mo