Closed Lloyds current account - how do I pay back small overdrawn amount incurred?

jessicasophie01

Over a month ago I switched current accounts from Lloyds to Monzo which closed my Lloyds account completely. I have recently found out that, due to some direct debits which came out of the Lloyds account during switching, I owe Lloyds about £40. However I have not been provided any instructions on how to repay this money. Is it a case of needing to go to a branch to sort this out or is there an easier online way? If anyone has any experience with this I’d love to know how you resolved

MABLE

jessicasophie01 wrote: »

Over a month ago I switched current accounts from Lloyds to Monzo which closed my Lloyds account completely. I have recently found out that, due to some direct debits which came out of the Lloyds account during switching, I owe Lloyds about £40. However I have not been provided any instructions on how to repay this money. Is it a case of needing to go to a branch to sort this out or is there an easier online way? If anyone has any experience with this I’d love to know how you resolved

I had a similar thing happen to me when I switched my Cahoot account. I phoned them and gave me a sort code and account number to pay any outstanding amount into. No doubt Lloyds would have the same sort of arrangement.

18cc

It might be worth calling them and seeing if you can pay the amount off with your debit card

colsten

jessicasophie01 wrote: »

I have recently found out

How did you find out? Did Lloyds send you a letter? If not, I would wait until they do.

Thrugelmir

More than likely your account will still be open. At least to pay money into.

abz88

jessicasophie01 wrote: »

Over a month ago I switched current accounts from Lloyds to Monzo which closed my Lloyds account completely. I have recently found out that, due to some direct debits which came out of the Lloyds account during switching, I owe Lloyds about £40. However I have not been provided any instructions on how to repay this money. Is it a case of needing to go to a branch to sort this out or is there an easier online way? If anyone has any experience with this I’d love to know how you resolved

Your new bank should have dealt with all this under the Current Account Switch guarantee which Monzo fall under. They are supposed to move all of the payments, coming in and going out, from your old to your new account and refund you for any interest or charges incurred as a result of your switch​​​. So if DD have been messed up during the switch its worth lodging a complaint with them (they might offer you a token amount of compensation). If Lloyds try and charge you any interest/fees etc then you can claim that back from Monzo as well.

tryin

They normally ask during the switch process if you want them to pay off the overdraft in your old account. If you tick 'no', its not their responsibility anymore.

abz88

tryin wrote: »

They normally ask during the switch process if you want them to pay off the overdraft in your old account. If you tick 'no', its not their responsibility anymore.

Surely that doesn't apply if the OP only went into their overdraft because Monzo failed to move their DD's across properly?

PRAISETHESUN

Can you clarify if you were overdrawn before your switch, or if you became overdrawn because of the switch. If the later then you should be covered by CASS and the receiving bank (ie. Monzo) should sort this for you (including reimbursing you for any financial loss). I'd arrange to pay it ASAP however, and contact Lloyds directly to arrange payment

born_again

abz88 wrote: »

Your new bank should have dealt with all this under the Current Account Switch guarantee which Monzo fall under. They are supposed to move all of the payments, coming in and going out, from your old to your new account and refund you for any interest or charges incurred as a result of your switch​​​. So if DD have been messed up during the switch its worth lodging a complaint with them (they might offer you a token amount of compensation). If Lloyds try and charge you any interest/fees etc then you can claim that back from Monzo as well.

It is possible that the DD's went out at the time of the switch. Does happen as the detaisl do not get updated in time.
All OP needs to do is contact lloyds and pay the amount.

abz88

born_again wrote: »

It is possible that the DD's went out at the time of the switch. Does happen as the detaisl do not get updated in time.
All OP needs to do is contact lloyds and pay the amount.

Yes, agree that he needs to contact Lloyds, just pointing out that under the Current Account Switch Guarantee, Monzo will have to pick up any fees/charges he incurs. That and a "you messed this up and I've had to sort it" sometimes gets you a bit of compensation from banks (although not sure Monzo hand stuff like that out)