Lloyds Tsb has closed my Acount..:(

grumbler

Could you remind me what 'good' reason it was, say, in the first case?

The second case - some gambling transactions apparently. Come one... This can be a good reason for revoking overdraft, not for closing an account. We are lucky to live in not a Muslim country under Sharia law.

Gromitt

I have a DD setup on Halifax for the National Lottery, so basically a gambling transaction. I'm basically using £4 of the free £5 to play Lotto. Saves me having to remember to visit a participating retailer.

I can understand banks getting nervous if you started using your overdraft to pay for casino transactions.

Anthorn

To the OP: I wonder, do you have an IVA (Individual Voluntary Agreement) to facilitate the repayment of one or more debts and avoid bankruptcy or have had one in the past? Unconfirmed reports are starting to appear that Lloyds TSB will close the accounts of all customers with an IVA that they find out about. Google "Lloyds IVA" without the quotes to see what I mean.

http://www.iva.co.uk/forum/topic.asp?TOPIC_ID=50132&whichpage=1

In any event these events of account closure are becoming all too common so it's probably a bad idea to have any kind of bank debt that can't be repaid quickly.

dalesrider

grumbler wrote: »

Could you remind me what 'good' reason it was, say, in the first case?

The second case - some gambling transactions apparently. Come one... This can be a good reason for revoking overdraft, not for closing an account. We are lucky to live in not a Muslim country under Sharia law.

And do we have the full details in any of the cases....

We only have the info the OP wants to provide.

Like this thread...

The OP will have had notice that they are going to close the account.
That is why they have 60 days.

Again in this case we clearly do not know the full details.
OP is a student. Has a 3K o/d.
How much is coming in? How far into o/d is the account and for how long has it been in it? Is the debt just rising and rising?
Have the bank recieved information of as Anthorn mentioned ?

Clearly some people do not want to provide full details for various reasons. But this then causes issues to people trying to give advice on their issue.
I get this all the time from people saying "I've seen this on the internet"... You then have to tell them that it is totally worng... Not what people want to hear.

Banks DO NOT simply decide to close a account for no good reason. Clearly they see something going on with the account that they feel is in their best interests to close.

Best advice to OP get a basic account with another back FAST.
Remember they cannot force you to pay it back in one go. If you can not pay it back then a payment plan will have to be set up.
If you feel that they are wrong. Then raise a complaint with Lloyds on the issue of closong the account. If they can't resolve it to your satisfaction. Then let it go to FOS.

thatsean

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?

Find a new account out of that group of banks, and come to an arrangement to pay. Also, look at your finances and work out why they shut the account to stop it happening again.

Lots of advice on the debt free wannabe board.

Donkey88

Banks can close an account and they don't even have to tell you why. Mainly because if they think something fraudulent is going on, they can't tell you as this would be tipping off.

Overdrafts are repayable on demand, but as someone has alluded to, credit cards are more of a grey area. Usually, they can't make you repay it all unless you have missed a payment. Even then, it would probably be seen as harsh.

Something in the terms for your card may over-ride this though.

The_pc_tech

Sorry to sound a tad harsh but if you've racked up a three grand overdraft and the bank are not seeing enough money going back in to repay it are you really that surprised they have eventually called a halt?

I do agree that they should be agreeing a repayment plan with you though.