On the brink of 'hardship'; should I try to reclaim bank charges?

cpfc_sam

Hello,

I wonder if anyone could help me with some advice.

For the past ten years I have been living in debt, making every effort possibly to gradually chip away and pay it off. I have followed the MSE advice on a regular basis, doing everything I can to get rid of the credit card, loan and overdraft debts I accrued while at university and in the following years.

I know that typically it is not possible to reclaim 'unfair' bank charges, but my situation is fairly complicated, so I'd welcome advice on whether it is worth me trying.

At the moment, I am finding it incredibly difficult to make ends meet. I live 24/7 in my overdraft with very little money to survive on and I am regularly getting charged excess overdraft fees by my current bank. Sometimes it is the maximum £100; other times it is £50; some months it might be nothing.

I have an awful lot of debt still, but I have always made my monthly payments in full and on-time. And that's the first issue: I'm currently able - just - to manage my debt.

That said, it is very much 'only just'. I am starting to sink.

What I want to know is whether it is acceptable (not morally, but technically) and possible for me to try and reclaim bank changes for the past 10 years, knowing that during that period I have barely kept my head above water and have been in-and-out of hardship on a regular basis.

I don't want to try and reclaim if it puts a black mark on my name; as I said, I'm just about managing to cope, but life is incredibly difficult in doing so.

Since leaving university in 2005 I have always been in my overdraft and estimate - conservatively - that I've incurred around £3,000 of excess overdraft charges in that time. I am in the process of contacting my banks to find out the true total, but it wouldn't surprise me if it was in fact more than £5,000.

My question is this: can I attempt to claim this back and is it likely I will be successful? Can I argue that I am in hardship, but that with some of these fees refunded I won't be? £5,000 would clear almost half of my debt and would mean my month repayments would be much more manageable.

dunstonh

At the moment, I am finding it incredibly difficult to make ends meet. I live 24/7 in my overdraft with very little money to survive on and I am regularly getting charged excess overdraft fees by my current bank. Sometimes it is the maximum £100; other times it is £50; some months it might be nothing.

That works against you. It indicates a situation that is not worsening.

What I want to know is whether it is acceptable (not morally, but technically) and possible for me to try and reclaim bank changes for the past 10 years, knowing that during that period I have barely kept my head above water and have been in-and-out of hardship on a regular basis.

That isnt how it works. You ask your bank to consider refunding some charges on the basis of your financial hardship situation. You put your case to them and they will decide what to do next. If they agree, they may refund some bank charges (some may only look at the last 6-12 months). However, they also have other options, such as suspending future bank charges for x number of months to allow you to get out of the cycle.

ybbon66

If you are staying in overdraft because you are paying your other creditors in full, that is almost certainly not the best way forward.

I would suggest taking a look at the debt-free wannabe board and post your full SOA there (Statement of Affairs). You probably need to fully evaluate what you are paying, to who and at what rate, compared with what you actually have as income.

Aquamania

Since starting this thread, I see the OP has posted on the debt free wannabe board
https://forums.moneysavingexpert.com/discussion/4914305

It's what I would have otherwise advised, but unfortunately the information given is sparse, is not in the usual format (e.g. that a bank would be looking for to assess financial hardship) and probably makees for more questions than answers.

Despite requests by others wishing to help the OP in his financial difficulties, the common response has been to request an SoA in the usual format. This has not yet been provided.

Hbos

Hi Contact citizens advice and make a appointment they are taking on cases on a case-by-case basis if you can prove that these charges have caused you financial hardship and they have had a lot of success when the person being charged is experiencing financial hardship cased by the bank applying excessive charges hope this helps
I wonder if anyone could help me with some advice.

cpfc_sam wrote: »

Hello,
Hi Contact citizens advice and make a appointment they are taking on cases on a case-by-case basis if you can prove that these charges have caused you financial hardship and they have had a lot of success when the person being charged is experiencing financial hardship cased by the bank applying excessive charges hope this helps
I wonder if anyone could help me with some advice.

For the past ten years I have been living in debt, making every effort possibly to gradually chip away and pay it off. I have followed the MSE advice on a regular basis, doing everything I can to get rid of the credit card, loan and overdraft debts I accrued while at university and in the following years.

I know that typically it is not possible to reclaim 'unfair' bank charges, but my situation is fairly complicated, so I'd welcome advice on whether it is worth me trying.

At the moment, I am finding it incredibly difficult to make ends meet. I live 24/7 in my overdraft with very little money to survive on and I am regularly getting charged excess overdraft fees by my current bank. Sometimes it is the maximum £100; other times it is £50; some months it might be nothing.

I have an awful lot of debt still, but I have always made my monthly payments in full and on-time. And that's the first issue: I'm currently able - just - to manage my debt.

That said, it is very much 'only just'. I am starting to sink.

What I want to know is whether it is acceptable (not morally, but technically) and possible for me to try and reclaim bank changes for the past 10 years, knowing that during that period I have barely kept my head above water and have been in-and-out of hardship on a regular basis.

I don't want to try and reclaim if it puts a black mark on my name; as I said, I'm just about managing to cope, but life is incredibly difficult in doing so.

Since leaving university in 2005 I have always been in my overdraft and estimate - conservatively - that I've incurred around £3,000 of excess overdraft charges in that time. I am in the process of contacting my banks to find out the true total, but it wouldn't surprise me if it was in fact more than £5,000.

My question is this: can I attempt to claim this back and is it likely I will be successful? Can I argue that I am in hardship, but that with some of these fees refunded I won't be? £5,000 would clear almost half of my debt and would mean my month repayments would be much more manageable.

Aquamania

Hbos wrote: »

Hi Contact citizens advice and make a appointment they are taking on cases on a case-by-case basis if you can prove that these charges have caused you financial hardship and they have had a lot of success when the person being charged is experiencing financial hardship cased by the bank applying excessive charges hope this helps
I wonder if anyone could help me with some advice.

Welcome to MSE

Unfortunately your post does not help others as it is factually incorrect.

Banks are not obligated to refund any bank charges applied in accordance with their terms, and the CAB cannot change this.

For customers who are currently in financial hardship (see sticky thread above), not those who say they are because of bank charges incurred, the bank have a responsibility to treat those customers positively and sympathetically. That may involve refunding some of the recent charges and/or waiving charges for a short period if the bank considers this is an appropriate positive and sympathetic approach to the customers financial hardship.

But as I said, the bank is under no obligation to refund charges, and may decide another approach to being positive and sympathetic would be more appropriate in the individual's cirscusmstance. As you say, each case is reviewed individually.


Now what was it you were seeking advice on?