Nationwide Debit Card Reserve Limit

LouLou72_2

Any advice welcome....

Approximately 5/6 years ago I called Nationwide to remove the reserve limit that they put on my a/c without my knowledge. This allowed them to charge 15 POUNDS everytime I withdrew over, taking me into negative. So, if I went overdrawn by 5p, I would be charged 15 pounds. Apparently it's a 'buffer' incase you run into trouble and need it. I asked for this to be removed as I don't use the a/c as a main a/c and only have limited funds in. They removed the reserve limit so I could not go a penny overdrawn - meaning NO charges....GREAT......until it started happening again. They assured me this would never happen again but unbeknown to me it has.

Is this allowed?

dunstonh

Loading a nil strict limit on an account can harm your credit worthiness with a bank/building society. Anyone looking at the account would immediately think you cannot control your finances.

Limits tend to expire annually. Sometimes they roll them over but other times they may let them drop off. A clerk seeing a nil strict on an account that shows no reason to have a nil strict limit may decide to let if fall off and not renew it.

However, another reason could be a change to the terms and conditions. Most of the banks and building societies amended their charging methods, and this includes the Nationwide, following the win on the bank charges case. So, they will not be the same as those from 5-6 years ago. You were notified of these changes.

Last thing is that it is not the job of the bank to control your finances. You got charged because a transaction took you overdrawn because you didnt have enough money in your account. Maybe the transaction was one that was guaranteed and could not be bounced. Maybe the clerk felt it was better to pay the transaction rather than bounce it which could create greater hassle. Without any contact from you to tell them you are spending money you dont have, they have to make a decision or be forced into a decision which you may or may not like.

This puts them in a position that they are damned if they do and damned if they dont. You are complaining that they didnt bounce the item and charge you £5 for doing but someone else would complain that they should have paid it and not bounced it.

How about you try controlling your own finances and spending like most other people?

Wywth

LouLou72 wrote: »

Any advice welcome....

Approximately 5/6 years ago I called Nationwide to remove the reserve limit that they put on my a/c without my knowledge. This allowed them to charge 15 POUNDS everytime I withdrew over, taking me into negative. So, if I went overdrawn by 5p, I would be charged 15 pounds. Apparently it's a 'buffer' incase you run into trouble and need it. I asked for this to be removed as I don't use the a/c as a main a/c and only have limited funds in. They removed the reserve limit so I could not go a penny overdrawn - meaning NO charges....GREAT......until it started happening again. They assured me this would never happen again but unbeknown to me it has.

Is this allowed?

Yes, under certain circumstances.
Have you enquired at your local branch?

What does it mean to me if I do opt-out of an unarranged
overdraft?

• We won’t authorise any transactions that exceed your agreed
overdraft limit so important payments (such as a mortgage or
insurance premiums) could be returned unpaid. You should consider
this carefully before opting out.
• You’ll avoid paid item charges but any transactions which would take
you over your agreed limit will be returned, and unpaid item charges
may then apply.
• In some situations transactions could still be paid even when you
have opted out (which might result in an unarranged overdraft). For
example, unpaid item charges or card payments where the retailer

doesn’t seek authorisation.

http://www.nationwide.co.uk/pdf/btp/P6972_UnderstandingOverdrafts.pdf

noh

LouLou72 wrote: »

Any advice welcome....

........................................................................
They removed the reserve limit so I could not go a penny overdrawn - meaning NO charges....GREAT......until it started happening again. They assured me this would never happen again but unbeknown to me it has.

Is this allowed?

Removing the reserve limit does not mean no charges. You are still liable for unpaid item fees.

meer53

LouLou72 wrote: »

Any advice welcome....

Approximately 5/6 years ago I called Nationwide to remove the reserve limit that they put on my a/c without my knowledge. This allowed them to charge 15 POUNDS everytime I withdrew over, taking me into negative. So, if I went overdrawn by 5p, I would be charged 15 pounds. Apparently it's a 'buffer' incase you run into trouble and need it. I asked for this to be removed as I don't use the a/c as a main a/c and only have limited funds in. They removed the reserve limit so I could not go a penny overdrawn - meaning NO charges....GREAT......until it started happening again. They assured me this would never happen again but unbeknown to me it has.

Is this allowed?

So you must be spending more than you have in the account. Why is this Nationwides fault ?

LouLou72_2

Wywth, you have been very helpful, I searched for their policy on opt outs for a while yesterday evening, so thank you very much, it's very much appreciated.

I'm not sure why other bother to post/reply such opinionated/arragant views! Perhaps too much time on their hands. My main account is extremely well managed, this is just a small acc that I had the reserve limit applied to so that I didn't have to check it every 5 minutes.

meer53

LouLou72 wrote: »

Wywth, you have been very helpful, I searched for their policy on opt outs for a while yesterday evening, so thank you very much, it's very much appreciated.

I'm not sure why other bother to post/reply such opinionated/arragant views! Perhaps too much time on their hands. My main account is extremely well managed, this is just a small acc that I had the reserve limit applied to so that I didn't have to check it every 5 minutes.

But then you asked for the reserve limit to be removed ? Your posts contradict each other.

It doesn't matter how well managed your main account is, you've not managed this account which is why you've ended up paying charges.

You seem to like Wywth's post which is 2 lines plus a cut and paste from Nationwides website, whats wrong with the other responses who all offer advice too ? Or don't you like the truth ?

LouLou72_2

Yes, I asked for the reserve limit to be removed (opted out of the reserve limit) I'm not sure how this makes the posts contradicting....if you like, please feel free to enlighten me. I have absolutely no problem with the truth....I have indeed not managed this account very well.

I also found most of the content in ALL of the posts to be informative and useful and they were well received. I just don't understand why people feel the need to finish a post with a snidey or patronising comment, it's neither useful or warranted. Advice is always helpful. Opinions are good, we all have them........it's perhaps just the way in which they are delivered that separates an opinion from a snide comment.