Lloyds Bank Overdraft Fees Changing

Anthorn

According to a letter from Lloyds Bank I received today Lloyds Bank are to scrap current overdraft fees on 02 November 2017 and instead will be charging £0.01p per £7 overdrawn per day. As this is a daily charge it probably means that the fee will be compounded daily.

According to The Guardian on 12 July 2017 the fees revision goes further and it describes the changes as a "radical shake-up".

https://www.theguardian.com/business/2017/jul/12/lloyds-bank-brings-in-single-overdraft-rate-in-radical-shake-up

SnowTiger

You've arrived at the party three weeks late: https://forums.moneysavingexpert.com/discussion/5678124.

Anthorn

SnowTiger wrote: »

You've arrived at the party three weeks late: https://forums.moneysavingexpert.com/discussion/5678124.

I posted it in this thread the same day that Lloyds Bank announced and confirmed it in a letter to all account holders. So how do you work out "late" unless you consider the previous speculation and rumour to be the bank's confirmation.

YorkshireBoy

Anthorn wrote: »

I posted it in this thread the same day that Lloyds Bank announced and confirmed it in a letter to all account holders. So how do you work out "late" unless you consider the previous speculation and rumour to be the bank's confirmation.

It wasn't "speculation and rumour" though. LBG "announced and confirmed it" via this press release 3 weeks ago (on the 12/7/17)...

http://www.lloydsbankinggroup.com/Media/Press-Releases/press-releases-2017/lloyds-banking-group/release3/

Account holders are always the last to be (directly) notified.

SnowTiger

Anthorn wrote: »

I posted it in this thread the same day that Lloyds Bank announced and confirmed it in a letter to all account holders. So how do you work out "late" unless you consider the previous speculation and rumour to be the bank's confirmation.

Lloyds Bank issued a press release about it on 12th July. You can read it here.

Anthorn

SnowTiger wrote: »

Lloyds Bank issued a press release about it on 12th July. You can read it here.

I already linked to it an article about it in my opening post. Doesn't change the fact that Lloyds Bank informed existing customers about it today 03 August 2017 thereby confirming it. Personally, I really don't know where the controversy surrounding this thread lies.

Dear Mr xxxx
You may not use an overdraft at the moment, or your account may not allow one, but in case you use one in future this is to let you know about changes to overdraft fees.
The new fees are designed to make it easier for you to understand the costs of short-term borrowing and they take effect from 2 November 2017.

NEW DAILY OVERDRAFT FEE
for every full
1p x £7
you borrow each day
• One daily fee. At the moment, you pay a number of fees together each month plus interest on the amount you borrow. From 2 November, you’ll pay a daily overdraft fee of 1p for every £7 you borrow each day.
• Daily charging. Instead of paying all fees in one go each month, the new fee will be charged at the end of each day you use your overdraft – so you’ll pay for what you borrow on the day you borrow it. This will help you keep track of how much your overdraft costs you.
From 2 November, you’ll pay daily overdraft fees so you’ll be able to find out what your overdraft costs straightaway
Some payments may be stopped if you don't have enough money in your account
Mobile alerts to help you stay on top of your money
Check your balance frequently – it’s easy online or with the mobile app
Know your overdraft limit – see your statement, log on to Mobile or Internet Banking or ask us.
If you have any questions:
Call us on 0345 300 0000
Lines are open 24 hours a day, 7 days a week
Visit us in branch
If you go over your limit
So all your payments are made, it’s important you manage your account within your Planned Overdraft limit. If you don’t have enough money in your account or you reach your limit, you may not be able to make any more payments. If a payment takes you over your limit or we stop it, you won’t be charged.
You can read about the changes in more detail in the Overdraft Guide on the following pages, or come and speak to us to see if you are eligible for an overdraft.
Stay a step ahead with mobile alerts
To help you avoid going over your overdraft limit, we’ll automatically send you alerts if you’ve registered a mobile phone with us, so make sure we have your latest mobile number. There’s more about mobile alerts in the guide and at lloydsbank.com including how to register your mobile.
If you’re comfortable with these changes, there is nothing you need to do and they’ll take effect on 2 November 2017. If you prefer not to accept them, you can close your account before this date without any charge. If you decide to close your account, you’ll need to repay your overdraft balance if you have one.

Westie983

Anthorn wrote: »

I already linked to it an article about it in my opening post. Doesn't change the fact that Lloyds Bank informed existing customers about it today 03 August 2017 thereby confirming it. Personally, I really don't know where the controversy surrounding this thread lies.

The notification was on the 12th July the letters have started to filter through to customers hence the reply you got from other members. A search of this thread would have brought up previous threads and discussions on this topic.

I will close this thread and direct you to the existing thread, already quoted.

Westie983