Natwest won't explain why refused an overdraft

kikigirlcat

I was suddenly made redundant when the company I worked for went into administration at the end of Jan (2 days before pay day without a penny - :mad:). Luckerly I've managed to get another job (and more ££!) which I am starting at the beginning of March but as I've used all my savings now, I need a temporary overdraft to see me through until pay day at the end of March. Although my credit score is good/excellent, with no missed payments/unauthorised OD's, Natwest cannot explain why they have refused my overdraft and their rep frustratingly kept repeating his "script" like a robot every time I asked why (and I am aware of the broken record technique they teach these guys) saying that an assessment of my account, its management and credit rating resulted in it being declined. I have been a Natwest customer for 25 years..

Any ideas ? Can they get away with being as vague as this or can I get more details of why they came to their decision so I can do something about it?

Thanks

Smileyperson

Frustrating as this is for you, it's a matter for the Bank's discretion isn't it? You do not have a legal right to an overdraft. However, there might be an appeals process you could undergo.

Hope it works out.

YorkshireBoy

http://www.lendingstandardsboard.org.uk/docs/lendingcode.pdf

See section 4, bullets 50-56 (56 being the one you'll be interested in).

As you've no doubt now realised the time to buy an umbrella is when it's sunny...not when it's raining! In other words, as soon as you're back on your feet (presumably with another bank?), get yourself an overdraft facility in place.

innovate

YorkshireBoy wrote: »

... get yourself an overdraft facility in place.

Better still, save some money so you can survive for 6-12 months without a job.

An overdraft facility can be called in by the bank any time they like.

YorkshireBoy

innovate wrote: »

Better still, save some money so you can survive for 6-12 months without a job.

For some people that's very difficult though...especially a year's net income! For all I'm doing OK now, for 15 years or more I had nothing but a secure job and stable (salaried) income with whatever came in going straight back out again (one wage and 3 kids!).

In this day and age, OP has done well to have managed a month or two.

An overdraft facility can be called in by the bank any time they like.

True, but if the account has been managed well it's unlikely. I still have a £4K facility with Yorkshire Bank...and that account only sees a £55 credit each June (and an onward £55 payment to my YB credit card for my RAC subscription)

poledancer49

Hi Kikigirlcat
I know it's a shame but as mentioned before a bank does not have to provide you with an overdraft. However being a customer for 25 years and they can't see their way to helping you short term is very disappointing.
Savings...hey all.....if it was that easy we would all have loads of cash spare....not everyone can save especially in this climate. Give the girl a break!!!

Well done on getting a new job.

meer53

They've told you, it's because of your account management and what they can see on your credit file. Have you looked at your credit file to see whats on it ? Do you use your overdraft to the maximum ?

stclair

You can appeal by popping to into branch with a copy of your experian and equifax credit report.

Then they will pass the information onto PLU (Personal Lending Unit) to look at your application manually.

Unfortunately the bank will not give you a pacific reason for your decline, they will just refer you to the CRA.

dalesrider

stclair wrote: »

Unfortunately the bank will not give you a pacific .

I think all the OP wants is a little paddling pool to tide him over... Not a whole ocean :rotfl:

Sorry could not resist.

Sailmakers

You've been with them 25 years, Why stay with them? They're not showing you loyalty so why stay?

Loads of good deals at the mo on current accounts plus natwest have been very poor in my experience.

Experian_company_representative

If your application was refused because of credit scoring you have a legal right under the Data Protection Act to appeal and request a manual review - ie a person at the bank will reconsider your application. May be worth a go.

James Jones