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Can banks use your successful claim to offset outstanding balances?
kingie67
Posts: 8 Forumite
Hie all
My wife succesfully claimed about £182 from Barclaycard. As this account had been defaulted and was now being dealt with by a third party, they refused to issue a cheque for this amount. Instead they said they were using this money to offset the outstanding balance on this account, i.e. they reduced the balance on the defaulted account by £182.
While this may sound fair as we still owe them anyway, my question is: Can they legally do this especially if there is already an agreed plan to settle the outstanding debt.
Please advise
KM
My wife succesfully claimed about £182 from Barclaycard. As this account had been defaulted and was now being dealt with by a third party, they refused to issue a cheque for this amount. Instead they said they were using this money to offset the outstanding balance on this account, i.e. they reduced the balance on the defaulted account by £182.
While this may sound fair as we still owe them anyway, my question is: Can they legally do this especially if there is already an agreed plan to settle the outstanding debt.
Please advise
KM
0
Comments
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I cannot see any reason why not. The debt arose from that account and the refund going to it makes sense.
Although that is an opinion and not from a position of knowing the absolute answer.I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.0 -
Unfortuanately they can do this. If you have any debt with a bank, they can request full settlement at any time. if you have some funds elsewhere within their organisation(i.e money in another account), they can take these funds(in many cases without notice) to try and settle any outstanding debt you have.0
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yes they can keep the money if you owe it to them. but at least its a debt paid off'Children are not things to be moulded, but are people to be unfolded'0
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