Nationwide cumulative overdraft fees

snowleopard33

My partner has a Nationwide Flexdirect account which he hasn't used since July 2016 (he's been waiting to switch it to First Direct). When he stopped using it in July he made sure the balance was zero, and he stopped checking his statements. He's now in the middle of switching it over and has just checked it again - it turns out that he went overdrawn briefly in May 2016 and wasn't charged for this until July. The charge has meant that he's been overdrawn and incurring overdraft fees since then (luckily these are capped per month but still come to £76). He's still got with two months' worth of charges coming up even now he's transferred money in, as they don't take the charges until two months later.

Has anyone had experience of a situation like this? He's rung Nationwide and they've said that it's in their terms and conditions that they'll take overdraft charges after two months, but this situation still doesn't seem fair. Does anyone know if he'll be able to switch the account once he's paid in or if he has to wait another two months for the rest of the charges?

Thank you!

eskbanker

I don't think he has much of a leg to stand on in terms of challenging Nationwide (info on the charges would presumably have been on a June statement even if not actually taken until July) but if he pays in, say, £100+ then the switch would go ahead taking any small positive balance with it, no need to wait to try to zero it.

badger09

Why did he stop checking his statements?

In online banking or with the app it takes a few seconds.
It also takes seconds to scan a paper statement.

Robin9

Nationwide will also have sent a monthly email advising that the statement is ready and giving a link.

jonesMUFCforever

All banks give 6/8 weeks notice before taking any charges.
A switch should be in place in 7 days - why wait until now?
Any accrued charges due will be taken from the account on the day of the switch - if there is insufficient funds on the account (or no agreed overdraft facility on the new account) the switch will fail and the Nationwide account will remain open accruing more charges.

Kim_13

They should refund the first lot of charges if it was the first time he had been overdrawn - ask them for their first time fee refund.

antrobus

snowleopard33 wrote: »

My partner has a Nationwide Flexdirect account which he hasn't used since July 2016 (he's been waiting to switch it to First Direct). When he stopped using it in July he made sure the balance was zero, and he stopped checking his statements. ...

Why didn't he just close the account? That's a pretty good way of guaranteeing that you don't get charged.

snowleopard33 wrote: »

...He's now in the middle of switching it over and has just checked it again...

But I get it. First Direct have a switch offer. Cunning plans don't always work.:)

snowleopard33 wrote: »

..., but this situation still doesn't seem fair. !

It doesn't seem all that fair on the Nationwide either.