Overdraft charge help

SR1

After living in my £500overdraft for long enough I applied to reduce it to zero and at the same time arranged for a payment of £500 to reach me account the following day . Both the money and the overdraft reduction happened the following day and I was in credit . Since then only a couple of small debit transactions have left the account . Not enough to go overdrawn . I today receive a letter advising me of unarranged overdraft charges . I expect to have to pay the £6 per month I always do but this is relating to £6 per day charges. I don't understand why I would have any transactions that would incur such a charge as I have only been overdrawn when I have had an overdraft and not after

maas

Has your overdraft facility been removed? What did the bank say when you rang them?

PeacefulWaters

Why on earth didn't you wait for the credit before changing the limit?

colsten

If you use an overdraft, you have to pay charges for it, too, unless the overdraft is free of charge. So you would owe £500 plus charges, and simply paying back £500 does not settle your total debt.

The overdraft charges are advised in your monthly statements - have you checked what they are saying? Have you checked the published charges of your bank? If it is Santander, this is the document: http://www.santander.co.uk/csdlvlr/BlobServer?blobtable=MungoBlobs&blobkey=id&blobcol=urldata&blobheader=application%2Fpdf&blobheadervalue1=inline%3Bfilename%3DBANK0455JUL14HT_LOW.pdf&blobwhere=1314014383238&blobheadername1=Content-Disposition

maas

Ignore my last post, I didnt read it properly (lack of paragraphs my defense)!

So you removed your overdraft the same day as clearing the balance.

What bank is it with, my bank TSB has a 3pm cut off to allow you to cover any deficits before the charges kick in.

I think in this instance they might waive the charges if you just ring your bank up and explain the situation.

SR1

No I removed it myself as I'm trying to tidy things up and it's a big irritation and I don't want to be overdrawn again however today I learned that I can still go overdrawn, I assumed any card payments would be not authorised if the funds weren't there but apparently not . Anyway perhaps I will apply for maybe a £50 incase to avoid these charges in the future

SR1

So the overdraft was removed from Wednesday and the money went in my account first thing Wednesday

maas

colsten wrote: »

If you use an overdraft, you have to pay charges for it, too, unless the overdraft is free of charge. So you would owe £500 plus charges, and simply paying back £500 does not settle your total debt.

I thought that whilst the overdraft fees are calculated daily, the total amount will be applied at the next bill, so he will have a £6 bill next month.

Thrugelmir

SR1 wrote: »

So the overdraft was removed from Wednesday and the money went in my account first thing Wednesday

So when were you charged for Tuesdays overdraft. On Wednesday?

SR1

I've not yet been charges but had a letter saying withdrawals been made with insufficient funds even though I can't see how as since Wednesday I have had sufficient funds all the time

maas

Have you checked online statement to see the chronology of the transactions. Presumably you went

-£500 (with planned £500 overdraft)
-£500 (planned overdraft removed)
0 (paid in £500)

So you were technically £500 overdrawn with no planned overdraft for a period of time?