I owe money, do i pay back or refuse? Please help!

xxxcrcxxx

Hi everyone. This is my first post on here, I looked and didn't see anything else about what I want to ask, so here goes,

A few years ago, I got an overdrafy with my bank Natwest. I was young and stupid and went a few pounds over my overdraft. Not much, just a few pounds. Obviously I got charged, and charged again when I couldn't pay this. It mounted up from roughly a 200 pound overdraft to about 500 quid in charges. I am not sure whether I did the default thing, so the charges may still be mounting.
I moved house and informed the bank of my new address, I never heard anything from them again, this was when my account was about 450-500 in debt.
I have now moved 3 times, and still not heard a thing. I am on the electoral register so can be found easily, but I chose not to contact the bank as I cannot afford to pay them.
I have had a baby, she is now 13 months, and I am skint. I really don't want to pay the charges, fair enough, I would pay the 200 quid overdraft back, but why should I pay extortionate charges?

My question is, as people can claim charges back now, can I refuse to pay the amount of charges back, seeing as it is not right for them to take them in the first place. I would pay them, then claim them back, but I don't have the money.
I don't think the bank should be allowed to make me pay the charges seeing as they'd just have to give them back anyway.

So should I stay hopefully hiding, or face the music?

I hope I explained it all properly, if not, please ask questions, so I can get the help I need.

Thankyou

xxxcrcxxx

Rex_Mundi

Your best bet is to reclaim all the charges on this account, and use the reclaimed charges to pay off your account. You will still be £200 short (which you would have to pay yourself. Make sure you pay off your bit ASAP, because while you still have this debt, they will continue charging you. If you have to issue a court claim. The extra 8% interest may well be enough to cover the £200 as well.

You cannot just refuse to pay the charges.

milkydrink

You are about £500 overdrawn, made up of your £200 overdraft & £300 in charges, YES?

If you claim your charges back & get it all, 100%. They will credit you account with the £300 of "unlawful" charges, YES. BUT you will still owe them £200 & they will know where to find it/you.

You did say you were skint.

momisa

Whatever you may think you are NOT hiding. The bank knows where you are and can easily find you. It's possible that the bank tried communicating with you but because you've moved you didn't get the letters. Whilst ever this is unresolved your credit file will be affected - bearing in mind items remain on your credit file for 6 years do you really want to continue ignoring this.

Do you now bank with someone else?

I would definately reclaim the bank charges. With regards to the £200 that you would owe them I would work out some way of paying it back even at a few pounds a week.

Best for you to approach them then the other way around too as there's a chance that they'llb e nicer about it.

HTH

xxxcrcxxx

Can I claim charges that I haven't paid back? I mean if i do the claim thing, will my debt just go back up to 200 quid instead of the amount it is now? I don't want to try and claim when I'm not able to. The whole thing confuses me. Sorry.

milkydrink

At this moment you owe them about £500.

If you claim back charges & win all, you will still owe them, but only £200.
If you claim charges & get some, you will owe them somewhere between £200 & £500.
If you claim & loose, you will owe them £500.

You are NOT GOING TO GET ANY CASH OUT OF THIS. But you will probably end up owing them a bit less than you do now.