What can we do if we are on benefits (merged)

Oldbury

Hello there
Does anyone know for sure if Tax credits and Child tax credits is regarded by banks as "Means tested benefits" when claiming back bank charges. According to the money saving site being in receipt of "Means tested benefit" can act as a stronger lever on the bank to pay up. Has anyone tested this. Would be grateful for informed help. thanks.

annettetabs

Yes I would think they are because the money they award you with is based on what your income and current situation is.

krisskross

Oldbury wrote: »

Hello there
Does anyone know for sure if Tax credits and Child tax credits is regarded by banks as "Means tested benefits" when claiming back bank charges. According to the money saving site being in receipt of "Means tested benefit" can act as a stronger lever on the bank to pay up. Has anyone tested this. Would be grateful for informed help. thanks.

As everyone with children and an income of less than £60K can claim tax credits I think it unlikely that it would make any difference at all.

Roraimauk

Would it not be prudent and expedient to get a print off from the Benefits Agency for any periods on benefits during the last six years and send that to your bank ? I have just got a print off from my bank and am thinking of doing this.

suzysong

Hi, after speaking to India 3 times and being cut off it was 4th time lucky. I am going round and round in circles and ending up more in the red with the Abbey. I spoke at last to customer service in UK, he was very helpful and sympathised with my predicament, he refunded me £60. I told him I was on benefits and that the bank should not be taking charges and that it is set down by government, he put me on hold for 10 mins. His answer was that the ruling did not cover the Abbey, I got a refund of £120 and I was told that a note will be put on my account and if I ask for charges to be refunded within the next 12 months I will not get anything back. I read bank charges while on benefits in one of Martins tips and can not find it again can you point me in the right direction? is there a template letter to reclaim these charges when on benefits?.

Tozer

No it is not set down by the government. The law says that it is unlawful to assign or charge (in the sense of mortgage or encumber) benefits.

The law does not say that it is unlawful for an account into which benefits are paid to be charged.

Davie09

Hey, I have just spoken to my bank with regards to reclaiming charges. My question is that all the charges relate to a time when I was in receipt of benefits due to ill health.

I have just read on here that under the Social Security Administration Act 1992, banks should not have charged me out of my benefits?

What position does this leave me in? My bank was hugely unhelpful and hadn't even heard of the law?

I have asked for a summary of bank charges on the account since it opened but they couldn't even tell me how to go about that, so will follow the advice here, only problem being, I don't have a cheque book to send a cheque.. Any advice on other ways to cover the £10 Data Protection Act cost?

Cheers

(apologies if i put this in the wrong place)

nickmack

rachelclifford wrote: »

I dont really understand the letter either!! : (

What did you write in the claim letter to them? They seem to be indicating you appealed to them on the basis of the Social Security Administration Act for charge refunds.

krisskross

Yes it sounds as if you asked for the charges back on the erroneous information that according to the social Security Act 1982 the banks were not allowed to take charges from benefit income.

Their legal team are pointing out that the Act does not refer to bank charges but that it is against the law for benefit income to be used as sort of ransom for debts. Like when money lenders used to take benefit payment books as security for loans. These sharks would then accompany the benefit recipient to the post office to get the money and take their share.

bjrockchick

I've heard that if you live on benefits, that you shouldn't be charged - is this true?

I'm on contribution based JSA, and unfortunately have gone overdrawn, so sure that Nationwide will be charging me the £30 fee. Will I be able to stop them?

The problem is, I also have a joint account with my husband at Nationwide, and they know he works - will this make a difference? He's on a low-ish income, and we mainly rely on Tax Credits & Child Benefit, as well as most of my JSA, to help pay our bills. Will we be able to claim back any recent charges, since I went on benefits? Or should we just add them to the list in our reclaim letter?

Please help! Cos I know Nationwide darn well won't. They've already denied us payment of reclaim twice before the court case started :mad: