Insane bank charges

Spaceinvad3r

Hi all, this is my first post and would really appreciate some advice.

This is what has happened.

My girlfriend opened an account with Halifax and paid 100 pounds in it to open it. The account had a 100 pound overdraft.
She then withdrew the 100 pounds and proceeded to make a few purchases with the debit card that came with it taking her to 250 pounds overdrawn. This resulted in some charges.
She then paid 150 pounds back into her account to take her back within the agreed 100 ponds overdraft.

Unbeknown to her some more charges were due to go out which resulted in her being over her agreed 100 limit.

These charges then accumulated from 1 pound a day to 5 pounds a day right up to 155 pounds a month. We had moved house a couple of times in the period of these charges accumulating and presumably my Mrs forgot to change addresses which meant the letters from the bank were being missed.

Anyhow, I moved back into my house which we both originally lived and she got her own rented place with her children. Next thing I get a letter from a debt collection agency staring she owes 900 pounds and will take 40 pounds a month for 3 years which equates to about 1500 quid.

During the whole time these charges were accumulating she did not use this account. She thought that as she was in her agreed 100 pound overdraft that she was fine.
I know she was a bit silly using the card to make purchases with money she didn't have but she did endeavour to bring her account back into agreed terms.
The bank are saying she has had ample opportunity to sort her finances out but as we had moved we didn't get the many letters they had apparently sent.
The best the debt agency will do is an instant payment of 675 to clear the debt (which neither I or her have) or 675 over 3 months, approx 220 a month (again which neither of us can afford).

Yes she made a mistake, yes she has been a bit silly but surely to god this can't be right?

Can anyone offer any advice or share a similar story and tell me what happened?

I have asked the debt collection agency to freeze the debt for a month to give us some time to try and come up with a solution.

Thanks in advance

RichardD1970

Think you need to change the title of your thread from "Insane Bank Charges" to "Insane Girlfriend".

Why would you open an account, withdraw your initial deposit and then spend from the account, then never use it again or check your balance/statements?
Even if she had been in her agreed overdraft limit there would still have been charges accumulating.

meer53

The charges must span quite a while if you moved house twice, they wll be right i'm afraid. It's not the banks fault that the letters were going to the wrong addresses.

The best you can do is to make an affordable arrangement to pay what is owed. Even if she was within her agreed overdraft she would still be incurring charges for using it.

lippy1923

Yes she is silly. She's run herself up a nice debt and trashed her credit history at the same time.

The bank is correct in saying she has had ample opportunity to sort her finances. Just moving house doesn't mean she cannot check her balances.

I suggest you/her post an SOA on the debt free board to get help with reducing current outgoings to free up some cash.

She should then sign up for internet banking/telephone banking to keep a better track of her finances. That way she doesn't have to rely on paper statements.

If you cannot borrow from friends/family to pay up front then find out what you can afford to pay back each month from your SOA and contact the debt people with your offer.

Also if you are not already financially linked with her (joint accounts) then keep it that way for your own sake.

Spaceinvad3r

Thanks guys, I am in agreement with your replies if I'm honest. I have always been a stickler for keeping track of my finances but I'm afraid the other half isn't. Having never been in this situation myself I wasn't sure whether it was right for the bank to keep charging charges on charges but I guess it is ok from reading your replies.

I've bailed her out before, I'm not prepared to do it again I'm afraid. I even had to ring the bank for her as she is so clueless as what to ask and say.

As for changing the title of this thread from "insane bank charges" to "insane girlfriend" I think "insane ex girlfriend" has more of a ring to it lol.

Anyhow, your advice is appreciated. Thanks again.

lippy1923

Good for you OP. If you have bailed her out before, then it's not worth doing it again because she obviously hasn't respected your offer enough to learn from her mistakes.