Lloyds Tsb has closed my Acount..:(

shaown321

Lloyds Tsb has closed my silver account without any notice and asked me to pay £3000 overdraft and £1500 credit card payment within 60 days.I told them i am a student i am working part time i can't pay that amount within 60 days.They told me it's a law so i have to pay.CAn anyone suggest me what should i do?

Hominu

If they refuse to setup a payment plan, you could wait until they refer the account to a debt collection agency, you can then setup a payment plan to pay off the balance with them.

Before that happens, I would open a basic account elsewhere, somewhere that isn't in the Lloyds banking group (so no Halifax or BoS for example)

BugsyBrowne

shaown321 wrote: »

Lloyds Tsb has closed my silver account without any notice and asked me to pay £3000 overdraft and £1500 credit card payment within 60 days.I told them i am a student i am working part time i can't pay that amount within 60 days.They told me it's a law so i have to pay.CAn anyone suggest me what should i do?

Having you been using the account and stayed under your arranged overdraft etc.

grumbler

They are within their rights to demand repaying overdraft, but I don't think that this is the case for the CC. If I am right, they are pulling a fast one on you. I think you can close (freeze) the CC account and keep making the minimum payments.

Re the overdraft, have you thought about applying for a student account with another bank?

AdamJK_2

Have you done anything you shouldn't have - receipt of fraudulent funds, attempted deceit with the bank etc?

I don't wish to cast any aspersions but if that is the case then it would explain the sudden withdrawal of all credit and immediate account closure. Just be quick and cautious (i.e. accepted for another bank but account withdrawn within days of opening) about getting another bank account, as if the above is accurate, then Lloyds will share this information with other banks and lenders.

It wouldn't hurt to obtain a £2 copy of your credit file to see if there's anything untoward on their too. It may just be a simple case of your credit file being trashed and you have now been deemed an unacceptable risk for the credit products you have.

BugsyBrowne

Agree with above banks don't just shut up accounts without a very good reason.

grumbler

Unfortunately they do sometimes. What's a good reason?

meer53

If the bank are concerned about the OP's ability to repay what they owe, they can close the account. An overdraft is repayable on demand.
Depends on what the OP's account looks like really.

BugsyBrowne

grumbler wrote: »

Unfortunately they do sometimes. What's a good reason?

Good reason being the OP's wages stooped going in or the OP is having direct debits declined with insufficient funds or the OP can't keep to his arranged overdraft if he has one or the OP is using cheques knowing he hasn't got no money in his account or the OP has just gone bankrupt or I can go on.

grumbler

How about these reasons? Were they any 'good'?
Moritified - Barlcays have closed my account
HSBC closed my account
NatWest Current Account closed - please help!
...
...

BugsyBrowne

grumbler wrote: »

How about these reasons? Were they any 'good'?
Moritified - Barlcays have closed my account
HSBC closed my account
NatWest Current Account closed - please help!
...
...

All perfectly good reasons.