Bank taking £10 for going overdrawn?

GotNoMoney

I got a letter from my bank telling me PayPal tried to take money and there wasn't sufficient funds.

Today I got a letter telling me they are charging me £10 in two weeks time.

The annoying part is PayPal have provably charged me twice for the same item which is why both PayPal and my bank didn't have sufficient funds, I had no idea they were going to inexplicably charge me again for something I had already (provably) paid for three days before.

So I have ended up shelling out about £41 for a battery charger that actually cost £15.90, thanks PayPal and bank!

I thought PPI had become illegal so why am I being charged £10?

I have a good mind to just draw all my money out and start a new bank account with someone else. I actually don't have an overdraft, because I specifically opened a bank account where there is no cheque book or overdraft.

What about the fact that it doesn't actually cost my bank £10 when this happens? What about all that "equal exchange" stuff, I mean in a legal sense.

If people are claiming back PPI than why am I being charged it again, I mean even if what PayPal did was legit? (which it wasn't).

Its all there on my statements, money goes in, goes out the same day to pay for something, that amount goes out again (and it was a funny amount so I know that is what the charge is for, the same item).

Why do they do things like this at the worst times, sigh.

Overall I am about £26 out of pocket here - at Christmas.

I've a good mind to tell both PayPal and my bank that "Children are now going to have to go without their Christmas presents because of this".

That isn't true and all they would do is get a sick kick out of reading a letter like that but I am pi**ed off.

So all that PPI stuff just had no real effect? It used to be a £28 charge every single time, no exceptions, I used to get charged £28 if I went 10p "overdrawn". Now its a tenner eh? Nice... so they are just carrying on getting away with it all over again.

Those banks must have like, the best lawyers that exist, because last I heard those bank charges aren't even legal.

magpiecottage

Your whinge has nothing to do with PPI.

If you think Paypal debited you twice for the same item you can either tell the bank it was unauthorised or complain to Paypal.

nidO

1) PPI isn't illegal
2) The charge you're referring to from your bank is nothing to do with PPI
3) This charge also is not illegal.

dunstonh

I thought PPI had become illegal so why am I being charged £10?

PPI is not illegal and it is still retailed. However, not sure what you think PPI has to do with this.

I have a good mind to just draw all my money out and start a new bank account with someone else. I actually don't have an overdraft, because I specifically opened a bank account where there is no cheque book or overdraft.

So, you are blaming the bank for something you believe that paypal did wrong. Seems a strange reaction. Are you going to stop using paypal as well?

What about the fact that it doesn't actually cost my bank £10 when this happens? What about all that "equal exchange" stuff, I mean in a legal sense.

Banks won the court case in 2009.

If people are claiming back PPI than why am I being charged it again, I mean even if what PayPal did was legit? (which it wasn't).

Why do you think you are being charged an insurance premium?

Find out why paypal charged twice (error by them or error by you or error by retailer). If an error by them then complain to paypal. If error by retailer then complain to the retailer. Make them aware of the bank charge and ask them to refund you the bank charge.

And stop talking about PPI as insurance has nothing to do with your issue.

Insider101

GotNoMoney wrote: »

I got a letter from my bank telling me PayPal tried to take money and there wasn't sufficient funds.

Today I got a letter telling me they are charging me £10 in two weeks time.

The annoying part is PayPal have provably charged me twice for the same item which is why both PayPal and my bank didn't have sufficient funds, I had no idea they were going to inexplicably charge me again for something I had already (provably) paid for three days before.

So I have ended up shelling out about £41 for a battery charger that actually cost £15.90, thanks PayPal and bank!

I thought PPI had become illegal so why am I being charged £10?

As others have said, PPI is not and never has been illegal. However, PPI stands for Payment Protection Insurance, a type of insurance taken out to cover the repayments on debts. Therefore, this has nothing to do with the situation you are now describing. If you feel that an error by Paypal has resulted in your bank account being charged twice and caused the charge then you should either:

1) Explain the situation to your bank and ask them to waive the fee as a gesture of goodwill; or

2) Complain to Paypal and ask that they reimburse the duplicate debit and pay the £10 charge.

I have a good mind to just draw all my money out and start a new bank account with someone else. I actually don't have an overdraft, because I specifically opened a bank account where there is no cheque book or overdraft.

This, unfortunately, is exactly the point. You don't have an overdraft facility approved on your account so have gone into an unauthorised one.

What about the fact that it doesn't actually cost my bank £10 when this happens? What about all that "equal exchange" stuff, I mean in a legal sense.

The matter has been reviewed by the OFT/Competition Commission and they have found that, whilst some of the earlier £30ish charges are excessive, a charge of £12 or under is reasonable.

If people are claiming back PPI than why am I being charged it again, I mean even if what PayPal did was legit? (which it wasn't).

See above - you are not.

Its all there on my statements, money goes in, goes out the same day to pay for something, that amount goes out again (and it was a funny amount so I know that is what the charge is for, the same item).

Why do they do things like this at the worst times, sigh.

Overall I am about £26 out of pocket here - at Christmas.

I've a good mind to tell both PayPal and my bank that "Children are now going to have to go without their Christmas presents because of this".

That isn't true and all they would do is get a sick kick out of reading a letter like that but I am pi**ed off.

So all that PPI stuff just had no real effect? It used to be a £28 charge every single time, no exceptions, I used to get charged £28 if I went 10p "overdrawn". Now its a tenner eh? Nice... so they are just carrying on getting away with it all over again.

Those banks must have like, the best lawyers that exist, because last I heard those bank charges aren't even legal.

You've "heard" incorrectly. The banks won the court case and they are perfectly legal, however, subject to a maximum which is considered fair. There are processing and admin costs involved where someone without an agreed overdraft goes overdrawn. There is not anything wrong with this in principle. As noted above, PPI has nothing to do with the matter. I would suggest, as outlined above, Paypal should be the real target of your ire.