Co-Op are closing our account!

Bakeybadoo

We had a notice today that Co-Op are closing our account. Apparently it hasn't been run as it should have been.

They have on a number of occassions allowed us to go overdrawn, on an account with no overdraft facility. Mainly because of their slack, slow system that should reserve the amount spent but doesn't and then takes it out days later when the cash has been spent.

I had an argument with them on the telephone and the woman finally admitted that one occassion was their fault and said she'll allow it to stay open one last time. Geez, that's big of them when it was their fault.

Trouble is, she won't allow any DD's on it for 3 months now. Great, we pay car insurance, tv licence, our rent and our water bill that way.

So, we are !!!!!!ed since it's the only account with an Electron card and although we do have a Barclays, it's only a cashcard.

I'm just so steaming mad. Not to mention that I set up a Council Tax DD yesterday and setting up DD payments was the ONLY way we avoided being taken to court to repay the entire years amount of £1049.

Marvellous.

Broken_hearted

Could you not out the DDs on the barclays account then a few months down the line ask them for an electron card.

Bakeybadoo

Well yes, that's an option. It's just an inconvienience and flipping annoying to be honest.

Because of their system failures, we are now being marked and made to suffer.

Oh and a mess up from Barclays meant we don't have our cards yet, after the account was opened back in Feb so we don't have anything to set the DD's up with until they come through in 3-5 days.

wherediditallgo

I didn't know until I read this post that if you make 3 bounced direct debit or debit card payments in the space of three months your account will be closed. I don't recall seeing that anywhere in their literature, but I probably have only myself to blame for that as I was so grateful for the account & Visa Electron card that I didn't read anything too deeply. I suppose the Co-op are very aware of just how few banks will offer services to BRs, so they can afford to be ultra strict about their banking facilities - they know we can't go anywhere else if we want that card.

Bakeybadoo

You know, now you mention it, she did say something on the phone about 3.

And I know one I disputed was a DD. Hmm. I don't recall hearing that either but I've the info pack here so I'll have a look later.

It does seem they are holding you to ransom a little though. I mean, they still charge £19.50 if you go OD so they are making money out of you.

I spoke with them again and they said because one bounce was their fault, she would remove that 'strike' and allow us to keep the account open BUT she wouldn't reinstate the DD's for 3 months and said one more strike and that's it.

They can shove it, we'll go to Barclays. We never wanted to have an account where it was even a possibility that we could go OD and that's why we picked them, well as well as them offering Electron with it, but it's pretty impossible to track stuff when money doesn't get reserved or taken out for up to 8 days after you spent it.

Bleh. Left a nasty taste in my mouth though.

wherediditallgo

Bakeybadoo wrote: »

You know, now you mention it, she did say something on the phone about 3.

And I know one I disputed was a DD. Hmm. I don't recall hearing that either but I've the info pack here so I'll have a look later.

It does seem they are holding you to ransom a little though. I mean, they still charge £19.50 if you go OD so they are making money out of you.

I spoke with them again and they said because one bounce was their fault, she would remove that 'strike' and allow us to keep the account open BUT she wouldn't reinstate the DD's for 3 months and said one more strike and that's it.

They can shove it, we'll go to Barclays. We never wanted to have an account where it was even a possibility that we could go OD and that's why we picked them, well as well as them offering Electron with it, but it's pretty impossible to track stuff when money doesn't get reserved or taken out for up to 8 days after you spent it.

Bleh. Left a nasty taste in my mouth though.

I can understand your position. I wanted an account where I could begin again, not one where I feel I've got to do my budget spreadsheet before allowing any money to go out of the account, & then wait for the account to catch up. The internet banking isn't all it's cracked up to be if money isn't reserved & the balance isn't correct at the end of each day's business. And I definitely don't like the idea of not just having the overdraft charge, but potentially losing the account as well

I've still got two other accounts I can use, so as soon as I'm able I'm going to move my direct debits to those other accounts & then just use the Co-op for day-to-day living expenses.

Conor_3

Bakeybadoo wrote: »

Because of their system failures, we are now being marked and made to suffer.

Sorry but I fail to see how that's the Co-ops problem. Many retailers process payments in bulk, especially small ones and the large supermarkets, so it may be several days before the payment comes out of your bank. All banks are the same in this respect. I can show you stuff I've paid for by debit card that's not come out until the following week. If you were keeping an eye on your finances, you'd know where you stood.

Natwest and Barclays online banking is very slow to update and never seems to show the true status of the account but because we know what's gone in and what has been paid for but not come out, we know whether it's getting close to the limit or not.

Irishbollox

Hi there. I've just opened the same letter from the Co-Op today. what can i say? Banks eh!! it wouldn't have been too bad excpt the DD that was set up wasn't paid because my employer's cheque didn't clear in time 2 months running. Well, thanks to your comments and advise, I've been able to set up an account with the Nationwide, phew!!!

Bakeybadoo

Conor wrote: »

Sorry but I fail to see how that's the Co-ops problem. Many retailers process payments in bulk, especially small ones and the large supermarkets, so it may be several days before the payment comes out of your bank. All banks are the same in this respect. I can show you stuff I've paid for by debit card that's not come out until the following week. If you were keeping an eye on your finances, you'd know where you stood.

Natwest and Barclays online banking is very slow to update and never seems to show the true status of the account but because we know what's gone in and what has been paid for but not come out, we know whether it's getting close to the limit or not.

I beg to differ. We had an Electron card with Abbey a couple of years ago and could never spend the same amount twice and whatever we did spend on the card was always immediately reserved. So no, all banks are not the same actually.

I am offended by this part of you post specifically:

If you were keeping an eye on your finances, you'd know where you stood.

We have so much going in and out of our account that it's very hard, without online banking since I am unable to go out most of the time so rely on it, to know what's what to be honest.

I don't think it's a failure on our part. Their system is the worst I've encountered, their quickness, which we proved one time was their failure, to close our account was disgusting and then to stop DD's for 3 months is like slapping our hands and putting us in time out.

And lastly, the reason we went overdrawn on the last occassion was because I'd paid several small Paypal payments. I tried the day before the money was there and it wasn't authorised so it is checked before it's taken. The next day I paid and assumed that the money was then reserved. It was only the day after that I saw I was overdrawn and that was my final strike.

I asked Co-Op about this and she gave me the spiel that small amounts often are no authorised straight away but that's rubbish but as I already proved, I tried to pay the exact same small amounts the day before and it wouldn't authorise it as there was no cash in the account - therefore if it authorised it the next day, I assumed it was therefore reserved AND that's been what has happened before.

I assure you if I paid £2 on my card, then went to the shop to try and spend it the next day or withdraw it, it wouldn't allow me so it IS authorised somewhere along the line and at some point.

Bakeybadoo

Irishbollox wrote: »

Hi there. I've just opened the same letter from the Co-Op today. what can i say? Banks eh!! it wouldn't have been too bad excpt the DD that was set up wasn't paid because my employer's cheque didn't clear in time 2 months running. Well, thanks to your comments and advise, I've been able to set up an account with the Nationwide, phew!!!

Good for you, yes, I certainly won't be recommending them in a hurry again.

tigerfeet2006

At the moment we have an Electron card with the Halifax (just applied for a Co-op account for when we go BR) and we have had this same problem with the card. They don't check everytime you make a transaction. I think sometimes it is how busy the system is, these cards have become more and more popular and my feeling is that the systems is becoming more and more overloaded with the transactions.