A crazy glitch at Natwest with cash deposit.

malchish

I have just been asked to help resolve this strange problem, so I want to warn other people about a crazy and unfair glitch as Natwest that may cost you charges and spoilt credit rating.
The guy went to Natwest branch that was open until 6pm.
He made 3 cash deposits at 5.05 pm at the counter, totalling, say, £3000.
Confirmed with the cashier that the cash was available instantly. Took mini-statements.
Then he went to the cash machine at the branch - it showed the new funds.
He went back to the counter and made a payment
into Natwest credit card - of under £3000 at 5.30pm. The cashier made this transfer for him.
Came home, checked internet statement - all fine, payment at 5.05, withdrawal at 5.30.
Several dates later he got a letter from Natwest accusing him in being in unauthorised overdraft .
FOR 2 !!!!!!! days!!!!!
On the online statement the payment into the credit card shows as made on the same day but the 3 previous cash deposits show as next day - with a funny reference next to them, confirming the deposit the day before!!!!
He called Natwest - and was told in "charges" department, that the cash payment was made after
"2.30 cut off time" - but the advisor could not explain how the same "non-available" cash was available for the same cashier to take £3000 out!
And why the overdradft recorded was for 2 days - if, as he claimed, the cash would be available on the next morning.
When challenged, Natwest rep put the phone down on the customer.
The guy calls again.
Gets another rep. Asks specifically: if I pay cash into my account today , at 5pm, over the counter in an open Natwest branch, when would I be able to use the money? The answer by Natwest staff: straight away, of course.
I always advise: do record all your calls to any banks/companies, just in case. ALL calls.
The guy was wise and recorded both calls.
That second member of staff was far more professional, she saw the stupidity of the situation and transferred to complaints.
A complaints rep. also tried at first to say about 2.30 cut off - but confronted with ATM slip and the words of her colleague 5 min ago - she understood that this was a mess and lodged a complaint, apologising.
I will ask about the outcome to post it here.

Can you imagine the greed of Natwest system?
It is unbelievable - now the unauthorised overdraft will go into the credit report and ruin the rating, until the customer does all new legwork of correcting it!

debtfreeby30:S

This exact thing happened to me last year - I paid in money, it was showing as available so I transferred it only for them to change the date on statement and send me an unauthorised OD letter. Went in to branch and they explained it was known fault and there would be no charges or reports to the CRAs. That's exactly what happened - I had no further issues. Hopefully it'll be the same situation here

malchish

debtfreeby30:S wrote: »

This exact thing happened to me last year - I paid in money, it was showing as available so I transferred it only for them to change the date on statement and send me an unauthorised OD letter. Went in to branch and they explained it was known fault and there would be no charges or reports to the CRAs. That's exactly what happened - I had no further issues. Hopefully it'll be the same situation here

Wow! So they knew about the problem and still failed to correct it after a year!
Outrageous!
The guy will push for compensation. Did you receive any good will comp. from them?

StuC75

but why wasn't the cash payments made direct to the credit card in the first instance rather than into the account and then onto the credit card? with then any remaining amount being paid into the current account?..

Just seems like its been more complicated than it need to be..

colsten

There is obviously some mess and/or misunderstanding somewhere. The terms and conditions are clear:

3.1 Cash and electronic funds
3.1.1 Cash paid in at a branch will be added to your account and treated as cleared immediately.
3.1.2 Cash paid into a quick deposit facility before 3.30pm on a business day will be added to your account and treated as cleared on the same day. Otherwise, it will be processed the next business day.
3.1.3 Electronic transfers will be added to your account and treated as cleared immediately upon receipt.

http://personal.natwest.com/content/dam/natwest_com/currentaccounts/downloads/NatWest-Ts-and-Cs-Fees-Interest-Helping-You.pdf

It sounds more than a system glitch if cash deposited in a Natwest Branch is not credited for 2 days.

malchish

StuC75 wrote: »

but why wasn't the cash payments made direct to the credit card in the first instance rather than into the account and then onto the credit card? with then any remaining amount being paid into the current account?..

Just seems like its been more complicated than it need to be..

There was a reason for that, which is irrelevant to the problem. There were several cash payments into account of odd amounts, it as much easier to sum them up and then make one simple payment into the natwest! credit card
the customer acted spot on correctly, there is no need to seek excuses, please.

malchish

colsten wrote: »

There is obviously some mess and/or misunderstanding somewhere. The terms and conditions are clear:



http://personal.natwest.com/content/dam/natwest_com/currentaccounts/downloads/NatWest-Ts-and-Cs-Fees-Interest-Helping-You.pdf

It sounds more than a system glitch if cash deposited in a Natwest Branch is not credited for 2 days.

This is and excellent find, thank you!:T
i did not manage to dig this out.

stclair

Did this happen to you personally or are you posting on behalf of someone else?

malchish

stclair wrote: »

Did this happen to you personally or are you posting on behalf of someone else?

Wow, you work for Natwest! Quick! I checked your profile.
On behalf. I was asked to help. Please the first post attentively before posting.
It does not matter, I saw all the receipts.

stclair

malchish wrote: »

Wow, you work for Natwest! Quick! I checked your profile.
On behalf. I was asked to help. Please the first post attentively before posting.
It does not matter, I saw all the receipts.

First things first cash is credited to an account immediately.

The only thing I could think has happened would have related to the delay of funds being applied to the credit card and not the actual funds being applied to the current account.

What date did the transactions take place?

If the payment was made by the branch the following would apply:

Managing your card
Faster payments

The Faster Payments service allows participating banks to provide same day processing of electronic payments such as funds transfer, bill payments and standing orders. This means that payments to your NatWest credit card made on the internet, by telephone or in any branch of NatWest by Cash or Single Branch Payment will usually be applied to your available funds within two hours regardless of when the request is received. Payments may take longer to appear on your account (generally within two days) but will be back dated to the date the payment is made.

malchish

stclair wrote: »

First things first cash is credited to an account immediately.

The only thing I could think has happened would have related to the delay of funds being applied to the credit card and not the actual funds being applied to the current account.

Of course, immediately! Everyone knows that.
However, no, there were two different amouts.
Credit card payment went instantly, using the very same cash that failed to show up later! It was made 20 min later than the cash deposits.
All deposits, which were paid before the credit card payment was made, were given recepts for, and ATM showed them, as well as an online system .
Later (next day or after) computer system changed the date for deposits, keeping real date in the comments.

Natwest staff member falsely claimed that for cash deposits in a branch it is 2.30 pm cut off time, and then put the phone down on the client when challenged for the validity of such statement.