Bank charges whilst in credit! Unfair?

kamroseli

My Alliance & Leicester current account since this year has charged me for underfunding my account. Should I have less than £500 in my account I am now charged £5.

I have no knowledge of this change in policy - My account statement is online and I have fallen a few pounds short of this £500 for several months. Now I also have savings accounts with them. I know that FirstDirect waive their current account charges of below £1500 if you already have savings with them.

I wonder if I could reclaim these charges back?

stacey21_2

Alliance and Leicester did this to me, I think they are very sneaky about it.
I hadn't touched the account in months and was just waiting for some money to come in to pay the overdraft, which was hovering about £20 from the limit. In August, they lumped on around £15 of 'underfunding' fees, then in September another one, taking me over my overdraft limit. They then left this for 3 weeks before contacting me (ensuring I was over the 'cut off' for new charges) so I have ended up being charged £150.

noh

kamroseli wrote: »

My Alliance & Leicester current account since this year has charged me for underfunding my account. Should I have less than £500 in my account I am now charged £5.

I have no knowledge of this change in policy - My account statement is online and I have fallen a few pounds short of this £500 for several months. Now I also have savings accounts with them. I know that FirstDirect waive their current account charges of below £1500 if you already have savings with them.

I wonder if I could reclaim these charges back?

Its not a case of keeping £500 in the account. You need to pay in £500 a month to avoid the underfunding charge. As far as I know it has always been a condition of the Premier and Premier Direct Accounts. The T+Cs say "You need to pay in at least £500 a month or we may charge fees" I understand they don't usually start applying these fees until you have failed to pay in £500 for 2 or 3 months.

Nigel

Techno

Did neither of you have a letter from A&L to say they were going to do this? OH and I did so we wrote back and told them (politely) to st*ff their accounts :A as they don't provide a service that's worth £5 per month. We closed our accounts asap (only problem is that OH's A&L account is also his quidco one and quidco aren't letting him change it at the mo - but that's another story)

stacey21_2

No I didn't receive a letter, this is part of my argument against them. As I feel it is very sneaky of them to suddenly charge 3 months worth almost 4 months later then leave it until after the cut off point to tell me I was overdrawn, by that time maximising their charges that they could apply.

edit: didnt realise if that question was for me or the op! but that's my experience anyway!

Techno

It was for both of you really. Are you going to try to claim back the charges as I would hope you would have a good case with no prior warning of the charge?

stacey21_2

I am going to try and claim. They say it shows on their system that I was sent a letter, but it would, wouldn't it?!

kamroseli

Thanks for clearing the T&C on the underfunding. I have been laxed about checking my details and the charges tail back to Feb this year. But since being unemployed, I am having a close look at all my accounts.

I'll close the account straight away. Thanks.

stacey21_2

kamroseli, have you been charged for going over your limit (or were you not over it)?