Reclaim bank charges 21 July 2017 at 12:12PM in Reclaim bank & credit card charges 1 reply 1.3K views

Greer29

Back in 2008 I had some bad advice from my relationship manager in terms of our finances, at that time we were offered loans to get rid of our debts on three occasions as she said you can afford it! This quickly spiralled for us to an extent that she then kept upping our overdraft until it was £19,000 and then came 2010 and she washed her hands of us. We were being charged £250 interest for the overdraft and every month that would come out of our account and then DD's were not being paid etc. We then decided the best thing was to go in to debt management and we have just 8 months left on the debt to now pay. One of the debtors was HSBC for the £19,000 overdraft. What I do need to know is can I reclaim those 2 years of bank charges of £250 per month back? Should I wait until we have become debt free? My debt with HSBC has now been sold on so I don't think it should affect things but would appreciate some advise

dunstonh

Back in 2008 I had some bad advice from my relationship manager in terms of our finances,

It is worth noting that they are not advisers. So, you dont get the same regulatory protection that real advice gives.

at that time we were offered loans to get rid of our debts on three occasions as she said you can afford it!

Refinancing debt does not get rid of debt. It just moves it from one hand to the other. Loans typically are cheaper debt than credit card and overdraft. So, it is common for bank staff to offer that as a solution to reduce outgoings.

That can make a difference for many people by reducing their monthly commitment. However, some have just gone too far into debt and it just delays the inevitable. Others continue to spend on their cards and start the cycle all over again.

What I do need to know is can I reclaim those 2 years of bank charges of £250 per month back?

As you are already in a debt management plan, it is unlikely they would consider it. Most debt management plans agree a writing off of some of the debt as part of the process. Is that the case for you?
THey also look to make the debt affordable and take you out of hardship.

My debt with HSBC has now been sold on so I don't think it should affect things

It affects things significantly. Bank charge refunds are one of the solutions a bank may consider for current customers who are in current financial hardship. You are no longer a current customer.

Should I wait until we have become debt free?

No. You would neither be in current financial hardship or a current customer.