Panic about CHB

Peter_Pan

I've just realised that CHB is going into our overdrawn Bank account in a weeks time and OH is declaring B/C on Tues and i've already missed a telephone bank review and cancelled all my DDs but forgot about CHB.(thought i was doing well :eek: )

I will call them on Monday when i should get my CO OP bank account details or will call the CO OP to get the account number and sort code, in the meantime can anyone tell me

1.how much notice CHB need to change accounts?
2.If i can't sort out the account details from CO OP on Monday can i ask CHB to pay by giro this time?
3. What happens if the account is frozen by OR and CHB tries to pay it in - can the bank still take it and use it towards overdraft?

Gillianh2

Ring CHB early as poss on Mon and explain about the bank and BR and request that they pay you by giro until you can get a new account up and running. They will do this for you no problem

madoldbat

Bat:A
Thanks:beer:

rog2

I'm pretty sure that the Bank does NOT have the right to use any benefit payments to 'reduce' debt levels, and must pay you this amount, on request irrespective of your level of indebtedness to the bank.
Hopefully fermi or someone can confirm this.
In the meantime you should make alternative arrangements for the payment of CHB, as soon as possible.

fermi

Rog:

Under normal circumstances you could exercise a "First Right of Appropriation" regarding the payment since it is intended for use regarding priority debts, obligations or essential living costs.

However, you need to inform the bank in writing first regarding each individual payment that you wish to exercise this right on.

RIGHT OF APPROPRIATION

Dear Sir/Madam,

ACCOUNT NUMBER: xxxxxxxxx

I am writing to inform you that I am due to have a [benefit title] payment of £xxx paid into my account on xx/xx/xx, and I wish to use my first right of appropriation for this money, for the following purposes;

Priority purpose 1 £xx
Priority purpose 2 £xx
Priority purpose 3 £xx
etc.......

I will withdraw the money on the day that it is deposited for the above use, and I would be grateful if you would ensure that any other payments out of my account do not interfere with this withdrawal.

Yours faithfully,

[signature]

[print name)

However:

Under these circumstances the account will belong to the OR, who can (and will) instruct the bank to release the funds. But you should not withdraw them without consulting the OR and getting their permission even if the bank will let you.

EDIT: Looks like a joint account, see below.

fermi

And BAB has kindly reminded me that this is a joint account Peter Pan , so if I was you I would write the above letter anyway so all bases are covered if it looks like the money will have to go into that account.

That will stop them trying to claim the payment with respect to the remaining "Joint & Several" liability of the non bankrupt signatory on the account.

fermi

blind-as-a-bat wrote: »

But i have a problem with the last bit regarding the account becoming the OR,s Ive left you a note elswhere regarding it as i dont think it can be that clear cut in the case of joint accounts and could do wih your thoughts on the matter Fermi

See above.

tigerfeet2006

PP just a thought but are you claiming all the benefits you are entitled to? check out www.entitledto.co.uk

Sorry know it's got nothing to do with BR but it just crossed my mind is all.

Peter_Pan

Many thanks everyone

Will call CHB first thing tomorrow and at least get it stopped from going into the bank in time hopefully. I was going to wait for post to see if my CO OP account details were in it bit have decided its better to stop it anyway and i can always call them back later in the day if it arrives.