Banks Versus Retailers

Consumer66

Fed up with banks? I am.

Banks seem to think they are Gods. That they are so powerful they can even decide what day it is. For example, if I make a deposit or withdrawal on the first of the month, or a Monday, (or any other day), I may find the transaction recorded as having happened on the 2nd of the month or the Tuesdau or “the day after” it actually happened - if it is “outwith that particular banks banking hours”. The arrogance!

Why are purchases that would put me into unplanned overdraft, or over my overdraft, or over my credit card limit authorised .allowed by the bank? I have heard some “waffle” about something called “floor limits” (that it seems we are all supposed to be fully aware of ( like I would want to spend precious moment of life trying to force myself to read pages and pages of tiny writing about Banking Terms and Conditions!? – Although I bet if I did I would not find much in writing about these mysterious “floor limits”?
From information gleaned about them from bank Customer Service Staff, I conclude that these floor limits are a device to muck me up, but is presented to me that the nice bank and the lovely retailer are doing me a favour. They will allow me to make purchases which will put me over the limit “so I will not be embarrassed by having my card refused / the transaction declined”.
“Ooh, that’s so very nice of you,” I say to the Customer Service Staff, “but actually I would far prefer to be embarrassed. In fact to be honest, I wouldn’t really be embarrassed at all. I would be relieved I had not been able to accidentally go over my limit, perhaps just by a few pence, and then have to pay face bank charges of much more than that! So can you please remove this facility from my account?”

I am told that no it is not possible for this to be stopped as it is the retailers fault.

Funnily enough though, not all banks do this. I have an account with a Debit card that does NOT seem to allow this, which would seem to suggest that either it is the banks fault. Responsibility /decision/ policy or whatever – or at least those different banks have different agreements with retailers? If so- why don’t they let us know about these agreements?

SO, banks blame retailers for “floor limits”. Not sure what the retailer stance is. But it seems to me that if a Retailer decides not to check my balance before selling me goods and if the bank decides to let a transaction go through which puts me over my limit then they should leave me out of it! The Retailer wins by getting a sale from me and the bank wins by getting fees from me and it is me, the client / customer who has to pay both of them! Blaming the victim, and then fine them too!?!

Also believe it is a myth that a bank and/or retailer cannot check a balance electronically. Why is it that when I make a payment, the funds are immediately gone from my account (or “unavailable”) BUT when I deposit, or get a refund, the money is not available for 3 to 5 working days? (No doubt there is some official storyline that tries to convince us this is reasonable – but I am not buying it!)

Why do they do this?
Because they can and because we let them?!
Let’s Stop Letting Them!

noh

Or perhaps you could take responsibility for your own payments and avoid spending money that is not available to you rather than blaming others?

Zanderman

Banks are not a public service - they are businesses. They are perfectly entitled to set their own rules. Why do you think they should work to the ones you want?

If you don't like the way they operate perhaps you should use cash, and store it under your mattress!

WillPS

Nobody is forcing you to use a debit card.

anotheruser

noh wrote: »

Or perhaps you could take responsibility for your own payments and avoid spending money that is not available to you rather than blaming others?

But the Banks DO allow you to spend money that isn't available to you...

CKhalvashi

anotheruser wrote: »

But the Banks DO allow you to spend money that isn't available to you...

However it's also OP's responsibility to check the funds are available before spending them.

If OP wasn't asking the bank to extend an unauthorised OD, I'm sure the request wouldn't be granted.

agrinnall

The OP is Ginger Bob in disguise and I claim my £5!

TheShape

Why are purchases that would put me into unplanned overdraft, or over my overdraft, or over my credit card limit authorised .allowed by the bank?

Some transactions, if not paid, would result in a late payment fee (eg from an energy provider, credit car etc) that is greater than the cost of going overdrawn.

I have an account with a Debit card that does NOT seem to allow this

You've found your solution!

if a Retailer decides not to check my balance before selling me goods and if the bank decides to let a transaction go through which puts me over my limit then they should leave me out of it!

How can you be left out of it? And do you get to walk away with a Free TV, sofa etc?

Why is it that when I make a payment, the funds are immediately gone from my account (or “unavailable”)

If they didn't show as unavailable, you'd presumably spend them and then complain that you went overdrawn and it was all the banks fault for showing you had available funds.

BUT when I deposit, or get a refund, the money is not available for 3 to 5 working days?

Which deposits? A cash deposit usually is immediately available.

No need for anything mentioned to cause a problem.

TheShape

anotheruser wrote: »

But the Banks DO allow you to spend money that isn't available to you...

No, they make money available to you subject to terms and conditions that are explicitly set out in an agreement with you. If you choose to spend the bank's money you are subject to the conditions agreed upon.

msallen

Consumer66 wrote: »

Fed up with banks? I am.

Fed up with people who can't take responsibility for their own actions and think the banks make an easy scapegoat? I am.

eskbanker

Consumer66 wrote: »

Fed up with banks? I am.

<ill-informed rant>

Why do they do this?
Because they can and because we let them?!
Let’s Stop Letting Them!