Bank Charges Reclaim ( Ombudsman unhelpful)

Glasgood

Advice Please...To summarise in 2009 I had some financial difficulties, I had a mortgage/ loan/ overdraft and several credit cards. I defaulted on all except the mortgage. Although my finances were 'tight' I could probably have managed however I became pregnant and could no longer do overtime (£300-£400 per month). My major creditor was RBS and I wrote to them claiming financial hardship, I had £200 left a month to cover the credit which was @ £600 per month. On at least one occasion I had several hundred pounds of charges in a month and the final total was in to the thousands ( £5k approx). RBS put my case on hold awaiting the outcome of the Supreme Court test case. This obviously resulted in them ruling that I was not in financial hardship as I had £200 'free' after essential bills. As such I contacted the ombudsman, I was surprised when they agreed with the bank. I did not reply to their last letter as to be honest ( now with a new baby ) I was exhausted, however I had to act as the RBS were pressing me for the total I owed them ( @ £15k for a loan and overdraft ), I was really worried and without the support of the ombudsman I turned to the CCCS who immediately took on my case. A short time later RBS decreed that I was suffering financial hardship - I was not refunded any charges.

I then spent two years on an extremely strict budget, with the CCCS then a further two years managing my own very strict budget. In 2013 RBS consolidated my loan and overdraft and after a 6 month trial my account was put back to the branch.

Recently I decided to look through the paperwork again and decided to go back to the ombudsman to state that I do not believe I was fairly treated by the bank, and believe that the bank continued to apply bank charges to my account whilst I was suffering financial hardship. My case was passed to the original adjudicator who simply stated that he stood by the original decision and the case could not be re-opened as it was too old.

Has anyone had similar dealings with the ombudsman??

Also I had bank charges from the Clydesdale Bank at the same time and wrote to them in a similar vein, ( I had around £1800 of charges ), I received about £1500 back. Can anyone advise how the criteria for refunding charges can vary so much from bank to bank. I did ask the adjudicator from the ombudsman and he advised me that he couldn't comment.

Thanks for reading.

dunstonh

Has anyone had similar dealings with the ombudsman??

The timebars are defined. So, there is very little discretion needed and you would expect this response.

I received about £1500 back. Can anyone advise how the criteria for refunding charges can vary so much from bank to bank.

There is no requirement for the bank to refund a penny. They are just required to look at your case fairly and come up with a solution they feel is appropriate. That can actually be no refund of any charges but instead a suspension of future charges/interest for a period, increased management support of your account etc.

Glasgood

Thanks that is very helpful.

Glasgood

Another question if you don't mind? All my accounts were held at the collection centre, when it was deemed a suitable time the bank suggested that I consolidate my overdraft and loan and it could then be returned to branch. Is it normal and 'fair' to add interest to the consolidated amount, ( considering that they had agreed previously that I had been suffering financial hardship? Thanks for reading.

dunstonh

Glasgood wrote: »

Another question if you don't mind? All my accounts were held at the collection centre, when it was deemed a suitable time the bank suggested that I consolidate my overdraft and loan and it could then be returned to branch. Is it normal and 'fair' to add interest to the consolidated amount, ( considering that they had agreed previously that I had been suffering financial hardship? Thanks for reading.

To bring you out of management and back to branch would suggest (at least in their eyes) that you are out of hardship. That doesnt mean fully out of debt but just out of hardship.

quaybab

The FSMA act 2000 states your statutorily entitled to determination (final decision from an Ombudsman).
I presume you went to the FOS within 6 months - FCA (DISP) 2.8.2(1) of the final word letter from the banks as you received a provisional assessment from the adjudicator and no final decision from an Ombudsman?

Put in a service complaint saying the adjudicator didn't make it clear what laws or rules said the case was too old - http://www.fos.org.uk/publications/factsheets/complaints-about-our-service.pdf

WatchMan

quaybab wrote: »

The FSMA act 2000 states your statutorily entitled to determination (final decision from an Ombudsman).
I presume you went to the FOS within 6 months - FCA (DISP) 2.8.2(1) of the final word letter from the banks as you received a provisional assessment from the adjudicator and no final decision from an Ombudsman?

Put in a service complaint saying the adjudicator didn't make it clear what laws or rules said the case was too old - http://www.fos.org.uk/publications/factsheets/complaints-about-our-service.pdf

Nonsense - it has been 2 years since she approached the Ombudsman and had an answer.