Bank Arrears

wizzywig27

Hello all


I checked my credit file today to find that Santander have marked my account as '3' Arrears - basically 3 months in arrears. This is due tomy own stupidity aswell as the banks failure to update my address after moving.


Anyway I have the choice account with a £1000 overdraft. Are they allowed to mark my account as in arrears as I am not sure I have a legal/statutory (or whatever is the correct word) obligation to pay any money in, if that make sense. Obviously I have to pay the account fees but how can they mark me me as being in arrears when I do not have a 'payment agreement'.


What has happened as they have placed the account fee on to my account which has resulted in me going overdrawn which has resulted in them removing my overdraft - which also means that I now owe them £1105 which I simply cannot afford. All because they didnt update my address.

bengal-stripe

Overdrafts are payable on demand.

Once you went over your limit, the bank will have asked you to operate within your agreed limit. You didn't put in any monies whatsoever (did you open an account elsewhere and had your salary going-in there?), so the bank cancelled your overdraft some three or more months ago. Which means you are three months behind.

You say you advised the bank of your change of address and the bank failed to act. Look up when (date, approximate time) and how (telephone, branch) and to whom you gave that information and let the bank check their records.

wizzywig27

I spoke to complaints, they could not locate the call. It's literally screwed me up. I have no way of paying the full amount and was only aware when I checked credit file this morning.

Admittedly I could have chased it, but hindsight is a wonderful thing.

National_Debtline

Hi wizzywig27

You would need to check the terms and conditions of your overdraft agreement, but very often it is a requirement to pay a certain amount of money in each month. You can certainly try and take your complaint further re your address not being updated, but if there’s no record of the call at their end, it sounds like you’ll have to take it on to the Financial Ombudsman Service (FOS). You can do this once Santander have given you a final decision on your complaint, or more than 8 weeks have passed.

With regards to paying the debt you may have a number of options depending on your circumstances. You can get more advice on these by posting in the Debt-free wannabe forum, or contacting one of the free debt advice agencies. Good luck with it all.

Susie
@natdebtline

Thrugelmir

wizzywig27 wrote: »

Are they allowed to mark my account as in arrears as I am not sure I have a legal/statutory (or whatever is the correct word) obligation to pay any money in, if that make sense.

Are you no longer paying money into the account i.e. your salary or wages on a regular basis?

wizzywig27

Hello, I thought I was but due to a mix up it wasn't going in, so no, which is why it was my stupidity

wizzywig27

I was just thinking about this, should they not be reporting that I am over my overdraft limit only (which they are) and not actually in arrears? I understand that they need money depositing but as there is no fixed agreement can they mark me as being in arrears?


I am unable to locate the T&C on their website (surprise) so cannot check.

Arleen

wizzywig27 wrote: »

I was just thinking about this, should they not be reporting that I am over my overdraft limit only (which they are) and not actually in arrears? I understand that they need money depositing but as there is no fixed agreement can they mark me as being in arrears?


I am unable to locate the T&C on their website (surprise) so cannot check.

As annoying as it is - they are almost certainly right about the marks. The best way is to figure out a way not to fix it and let time take its course, as couple months arreras on otherwise pristine file will not be a major thing in 6-12-18+ months down the road.

Of course, you can go with the complaint route, there is no harm in trying, but it's unlikely to work.

wizzywig27

I have tried allsorts with them to try and gain assistance, I have offered £800 now with £200 at the end of the month, but I can only do this if they are willing to meet me some of the way (asked for charges back) and they are refusing to remove any charges.


I suggested that if they offer me £105 in charges back then then they get their money in 3 weeks, otherwise its 15 months!


Its like they want me to rob Peter to pay Paul. I understand this is my mess and they don't owe me anything, but sometimes it feels like they really don't care - really is disappointing!

Arleen

wizzywig27 wrote: »

I have tried allsorts with them to try and gain assistance, I have offered £800 now with £200 at the end of the month, but I can only do this if they are willing to meet me some of the way (asked for charges back) and they are refusing to remove any charges.


I suggested that if they offer me £105 in charges back then then they get their money in 3 weeks, otherwise its 15 months!


Its like they want me to rob Peter to pay Paul. I understand this is my mess and they don't owe me anything, but sometimes it feels like they really don't care - really is disappointing!

They are a business - not your friend, despite what the ads may claim. And if you are late even more, but actually pay without having to go to collection then the wait is better for them as it brings in more money.
Additionally trusting you on just the word is now dubious for the bank, as you did already not upheld already set in place agreement.

So generally the only way to get a discount on money you rightful owe is by going so far deep down the debt rabbit hole that they will sell you onwards, but that will ruin your credit file for years.

wizzywig27

Hello, thank you for your reply. I fully appreciate where you are coming from, but having browsed over the T&C's of the account I cannot see reference to paying money in - although admittedly I did just browse them - I am going to read them fully tonight to send me to sleep.

In regards to the fees, someone did credit me the additional £105 yesterday and I paid the additional £1000 today, so the account is now back in black and marked for closure.

Now I just need to complain regarding the markers which I still believe have been placed on my credit file incorrectly, and at the very least I hoping someone may take a compassionate view, understand I have done all i can to rectify this and remove them for me - although I expect I will see pigs flying before this happens!