Unplanned Over Drafts

Sinny91

Hi all,

I just wanted to hear your opinions on a matter regarding unplanned over drafts with Lloyds TSB and banks in general.

I have just viewed my current account with LLoyds to find that they have supplied Sky with a direct Debit of £16.

I had an agreement with sky that this payment would be settled on the 28/11/13 - which is PAYDAY.

This payment has gone from my account on 17/11/13. Whilst my account was EMPTY.

I am now in Debt with my bank.

I would like to know what RIGHT that bank have to TAKE ON my debts, and leave me in debt with them selves.

I am aware that lloyds run an 'unplanned' over draft of £10 for these circumstances, however this amount is for £16.

In my opinion, the payment should have BOUNCED as unpaid.

As I say, LLoyds took on the debt on my behalf without my authorisation.

Does any body know about the LEGALITY of such actions?

I find it immoral. Not that that's surprising.

I'm about to contact lloyds later this day...

opinions4u

Your use of CAPITAL letters is quite IRRITATING.

The BANK can make a decision to PAY or DECLINE a transaction that you have AUTHORISED. What they've done is perfectly reasonable.

If you are saying you had an AGREEMENT with Sky you can ask Lloyds to honour the direct debit GUARANTEE and re-credit your account.

You should then ask Sky why they requested the payment when you'd made OTHER arrangements with THEM.

Sinny91

Your IRRITATION at my CAPS is irrelevant.

Thank you for your input.

I just double checked with Lloyds, the amount they decide to over draw me is at their discretion, in order to cap any over drafts, I need to pay a fee of £10 per month... for the 'service' of not being robbed by my own bank.

Does anybody know which bank, if any, will allow me to cap my over drafts free of charge?

opinions4u

Sinny91 wrote: »

Your IRRITATION of my CAPS is irrelevant.

Thank you for your input.

You might find you get a wider range of responses without the capital letters. Many will ignore your post because of them.

So my irritation, and flagging it up to you, is an opportunity for you to help yourself.

MrSilk

I must admit, once I saw the use of caps I wasn't that interested in replying.

You'll find that most banks will allow a DD to be taken, at their own discretion. It does depend on the account type and your reputation with your bank. Maybe get an overdraft, or ensure there's always some pounds left at the end of the month to prevent a situation like this occurring again in the future.

camperdown9

Hi Sinny1

I am no expert but I "think" the fault is with Sky. They are the company that requested the money on a date you had not agreed to.

As options has said the "direct debit guarantee" means that you can request your bank to cancel and refund this payment.

Should Lloyds of paid Sky and put you overdrawn in the first place? Well its a bit of a difficult one to answer. It could be argued that they were being helpful by making sure that your bills were paid. Rather than declining payment. Or you could say that they were just out to make money from you in the form of fees!

Alex

opinions4u

camperdown9 wrote: »

I am no expert but I "think" the fault is with Sky.

You'd be right!

MrSilk

Wouldn't Sky have charged a bounced DD fee?

Sinny91

If my posts scares away people affected by capital letters, I'm sure I sharn't miss them too much.. First rule of internet communication.. Ignore the grammar and spelling Nazi's.

However, thank you for your sentiment.

Although I must also admit, this site constantly scares of it's new - comers my berating them about how to construct a post, prior to actually addressing the post. The admin are aware of this, so it's clearly how they like to run the site.

Legal issue resolved.. Moral issue still standing.. Any suggestions of a 'moral' bank?

Tall order I'm sure lol.

Sinny91

MrSilk wrote: »

Wouldn't Sky have charged a bounced DD fee?

Possibly, but they've gone back on our agreement on dates anyway. I don't mind arguing the toss with sky.. I feel violated however, when my own bank decides to take charge of my finances like it is my 'keeper' rather than my 'safe house'.

opinions4u

Sinny91 wrote: »

Legal issue resolved.. Moral issue still standing.. Any suggestions of a 'moral' bank?

It's not a case of morals.

You might be annoyed at your bank paying a £16 transaction that (they believe) you authorised when the funds aren't there.

Another customer would be livid if they didn't pay an authorised transaction for this amount.

Which decision is immoral?

I feel violated

You really shouldn't.

You can pay £10 a month for a "control" facility on your account. Not an expert on it, but it may work for you.

http://www.lloydsbank.com/legal/current-accounts/control.asp