First Direct put my account on hold. Question about charges

rubyinthesky

I told them at the end of March about my DMP. I have a current account and personal loan with them. They said they'd be withdrawing my bank account but that they'd put a hold in my account for 60 days.

I started the transfer to Co-op Cashminder on 1st April and it should have completed yesterday. I made sure the balance was at 0.

Just got a text about the balance which says Pre-not £25 (and 68p for interest). Does this mean they have charged me a late fee for the loan? It was due 1st April and they have already sent a default notice. StepChange were holding back on sending this one until I had my bank account. But they sent the information to them on Tuesday. Regardless of this, I thought by saying they were putting the account in hold, which they confirmed in a letter, that they wouldn't add charges?

I don't have a spare £25 to pay this from my budget to close the account.

blisteringblue

I would write to the loan dept yourself with the stepchange budget and payment plan you will have received yourself. It can't help to get the info from both you and Stepchange, make sure you send it recorded though. I sent copies of both with all my token payments for the past 2 months while the DMP started. I think the key is to be as open as possible with them.

I would not bother paying it if the account is included in the DMP? Or are you saying it's not in the DMP because you have the balance down to zero?

If the account is on hold for 60 days then I would say you've 60 days to clear it and they will not add any more interest from the current account side anyway. Once the loan dept get the DMP info they should freeze anyway.

rubyinthesky

I've spoken to them this morning and it's actually from me going over my agreed overdraft last month when I asked my husband to pay my birthday present money into my account and he didn't do it as he didn't know how much. I thought it was from the loan, but it appears not. First time I've ever gone over my agreed overdraft - just by £30 for one day but it cost me £25. Happy birthday to me!