Lloyds Tsb - Have They Found A Way To Not Pay Out???

jminchin

I received a letter from Lloyds TSB a few days ago after requesting my bank charges back.

It concerned me then but after today's news I wonder whether I should bother taking this any further...

The letter stated 'The office of fair trading has published new guidelines on credit card default charges. We're still talking it through with them, but the important point is that the guidelines are about 'default' charges that people pay when they break an agreement with us. THIS DOESN'T APPLY TO YOUR CHARGES as these were for dealing with your request to go over your agreed overdraft limit. THEY ARE NOT DEFAULT CHARGES because you haven't broken your agreement THEY ARE OUR PRICES FOR THE SERVICE WE PROVIDE IN THESE SITUATIONS'

Does Lloyds TSB think that charging me £910 in one month in returned Direct Debit charges is a fair price for the services they provide??

Your comments please!!

CARLXXXH

It does look like it, but surely their is a law against Excessive service charges?

rubiales

Don't think you should panic yet - the response you have from Lloyds is the standard one. As for the latest decision in a Lloyds TSB case, read Martin's blog here:

http://blog.moneysavingexpert.com/?p=457


My father has just had a letter confirming his charges (over 2K for last 6 yrs) will be refunded in next 7 days!!

hilary1

Sos if this is in wrong place but one of the places I work has tried to reclaim their charges and the letter they received from LLods says that they cannot reclaim charges on a business account.

This isnt true is it?

x

jminchin

Thanks everyone,
I thought last night that the whole point of being able to reclaim these charges is that they are excessive compared to the banks effort, so surely whatever they call the charge you should still be able to reclaim it? All this recent win seems to do is rename the charge from 'default' to 'service'

nickmack

jminchin wrote: »

All this recent win seems to do is rename the charge from 'default' to 'service'

That's exactly what they've done.

Remember when your charges were incurred, it's likely they were for breach of contract anyway. The T&C's of the time apply and they are even trying to mislead people by suggesting they have always been service charges.

Stephen_Leak

If the charges are a fee for a service, then they must be reasonable under Section 15 of the Supply of Goods and Services Act 1982.

jminchin

So what next?

I suppose I should write to the bank saying whatever they decide to call them they are unlawful and I'd like them repayed. Otherwise I will take to court and claim interest on top (an extra threat may help?!? Especially as my interest alone is nearly 1k)

Stephen_Leak

If you've used the wording for your Particulars of Claim from the Reclaiming Bank Charges Help thread on these forums, it will contain the above phrase about service charges.

jminchin

I haven't issued any court proceedings yet. Can you give me a link to help me do this?

Stephen_Leak

Click here.

Under the present circumstances, it might be a good idea to add "If the charges are a fee for a service, then they must be reasonable." to the first claim letter. Leave the legal details for the PoC.