HSBC Bank Charges Reclaim - Help

City1

Hi,

First of all I didn't expect this to be easy.

Anyway I am looking for some advice. I have sent a letter to HSBC Bank with regards to bank charges, stating that we are in financial hardship, as per the ombudsman.

Because our accounts have now been closed as a result of our situation, there is no longer an active banking relationship, so they are unable to undertake a review of your financial situation ... They also appear unwilling to send out details of other account we have with them, as the letter 'covers all current accounts you may have held'.

Can someone please advise how best to proceed, with regards going forward with the ombudsman and apparent reluctance to send out other account info.

Cheers

dunstonh

Financial hardship requests are normally made on open accounts. If there is no current banking relationship, there is nothing for them to look at.

City1

So where does that leave me, we are still in financial hardship regardless of if our account is open or not.

deskhelp

Have been facing same problem with them

dunstonh

City1 wrote: »

So where does that leave me, we are still in financial hardship regardless of if our account is open or not.

As you have no relationship with them, they have no solution to offer. Financial Hardship options for the bank are a refund of recent charges (typically upto 12 months), suspending future charges for a period and/or giving debt management advice.

As you dont bank with them any more, they cant do these.

City1

Ok, but how are they then able to access my accounts to let me know of the charges over the past 7 years and even give me info of a charge refund way back in 2007.

This appears to be a contradiction where they can get info but then not get info...

dunstonh

Ok, but how are they then able to access my accounts to let me know of the charges over the past 7 years and even give me info of a charge refund way back in 2007.

Your data doesnt get destroyed the minute you close the account. It is retained for a period.

This appears to be a contradiction where they can get info but then not get info...

Supply of information has nothing to do with your rejection. Your rejection is that you do not have a current banking relationship with them as your account is closed. your relationship is historic. Not current. You needed to do this when your account was open. Not closed.

You went to the bank you no longer had a relationship with and asked them for a review of your situation as you claim you are in financial hardship. They cannot carry out that review as you have no relationship with them. For example, lets say their review agrees you are in financial hardship and their solution is that they will not levy charges and suspend interest for the next 6 months. That is not possible where you have no bank account with them.

City1

Appreciate that, so the banks in theory close accounts when people are in severe financial hardship, which in practise stops individuals from hopefully getting some charges back which in effect contributed to the financial hardship. I cannot see how this can be fair.

I didn't ask them to close our accounts, to make it clear I am not passing all the blame to HSBC for our financial situation but they have had a part to play.

If I was able to claim these charges back which are by far in excess of what I/we owe them we could probably wipe out 90% of what we owe them. As it stands at the moment they will probably have to wait about 20 years.

I just can't see how a single letter from them, can lead to the end of the road.
Cheers

Nasqueron

City1 wrote: »

Appreciate that, so the banks in theory close accounts when people are in severe financial hardship, which in practise stops individuals from hopefully getting some charges back which in effect contributed to the financial hardship. I cannot see how this can be fair.

I didn't ask them to close our accounts, to make it clear I am not passing all the blame to HSBC for our financial situation but they have had a part to play.

If I was able to claim these charges back which are by far in excess of what I/we owe them we could probably wipe out 90% of what we owe them. As it stands at the moment they will probably have to wait about 20 years.

I just can't see how a single letter from them, can lead to the end of the road.
Cheers

The banks won the unfair charges court case in 2009, you cannot claim back historic charges.

For hardship cases the bank should be approached as early as possible, not years after the event and it can help prevent this accumulation of fees and cycles of fees causing more problems and more fees

dunstonh

so the banks in theory close accounts when people are in severe financial hardship, which in practise stops individuals from hopefully getting some charges back which in effect contributed to the financial hardship. I cannot see how this can be fair.

Banks cannot close an account with a balance on them or money owed. The balance has to be zero. An account in credit could effectively be closed by sending the money to you and bringing it to zero. However, banks only tend to do that when the account has suffered poor management.

if the balance was negative, they could transfer the debt to their collections team and close the account as that would bring the account balance to zero. In that scenario, the bank should consider hardship cases. Although it depends on how long ago it happened. If it was in the last 6 months (maybe 12 months at a push) then you could ask them to look. Any later, then its too late.

When was the account closed?

City1

I am not sure, maybe 8 months ago but mo more than 12 months.