Help.... bank refused to pay costs... what should I do?!

deal_hunter_4

plz See Second Post!!!

deal_hunter_4

Hi,

I sent the first letter asking for my money back and got a letter today from my bank stating they was not going to re-imburse me with any of the costs I asked to be given back.

I asked for both adminstration related costs and litagation costs and the bank gave me a very detailed response as to why such costs were legal and not unfair.
I guess the explanation for the litagation fees may be true (as Im not sure if I can claim these costs), but as for the admin arrears costs they state that it actually costs them more then the £25 they have been charging me and include costs such as writing letters, making calls, postage, stationary, maintaining computer systems, using debt counsellors, liaising with solicitors and the list goes on!!!

They go onto blame me for my failure to keep up with repayments and they are happy to defend the fee if it is reffered to the Financial Ombudsman Service or to a Court!!

I would be extremely grateful of any advice any one can give me on how to proceed with this matter!!

smitchy73

Why are you asking them to cover litigation costs? Have you been to Court?
Normally if you take them to Court, small claims it is covered by your fee to the Court, unless you have you're own lawyer, but I think alot of small claims are decided by the magistrate(ruling person) without the need for lots of cross examining etc.
If you're taking them to the proper big Court then usually a solicitor or lawyer would be required due to the legal jargon and knowledge required for this Court for the legal arguments, if YOU win the case they would be expected to pay the Court costs, if you LOSE then you would be expected, but I think you can take out an Insurance(Indemnity) to cover the costs should you lose, see posts by Edinburghlass/Tiggrae in some other posts.