Credit card over limit fee

Fighter1986

DjangoUnchained said:

Fighter1986 said:

DjangoUnchained said:

flashg67 said:

DjangoUnchained said:

write to them complaining and tell them you will take it to the financial ombudsman, ittl cost them hundreds, they will probably refund you. If they dont refund, and the ombudsman doesnt favour you at least youm have the satisfaction of costing them hundreds and wasting their time.

And who do think ultimately pays  the 'hundreds of pounds' it costs them every time someone does this. Plus the 'wasted time' is actually costing them an employee's salary - again, who do you think pays that? (if you haven't worked it out, it's us - customers...) Not good advice at all IMO

i disagree. I have no problem costing banks / cards money if they try and charge me what i feel are unfair and unreasonable fees. If they dont like it, they can decide not to do business with me, thats their choice. There are many other suppliers around. All this !!!!!! about everyone else having to pay for it is nonsense, look at the profits they make.
Back to the OP , the card issuers have all the technology to stop the customer going over the limit if they wanted to. if they are going to let him go over the limit they have no moral right to penalize him for doing so. If they want to enforce the penalty, then the customer has the right to appeal it, first with the card, then if they refuse then I hope he takes it to the ombudsman and costs them dearly. If more people did this we would all benefit for a better customer focussed experience.

No we wouldn't - look at Overdraft APRs.

All the morons who can't do simple addition and subtraction bouncing payments out of their bank accounts left right and centre, going into unauthorised overdrafts and generally having no grip whasoever on their financial life kept on at the ombudsman morning noon and night about bank charges, rather than taking some damn responsibility. 

So banks removed them, under order from the regulator, and instead decided to double / trible / quadrouple everyone's standard overdraft APR.

So rather than a few noisy idiots paying for their own crapulence; each and every bank customer is tarred with the same brush now having to pay exorbitant overdraft interest rates if they ever dare dip into an authorised overdraft.

precisely why customers need to complain. The banks/ card co.s have the ability to not let it go past the limit, For payments not done in real time as mentioned, they could easily set up a small buffer, obviously not big enough for blatant abuse,  therfore no need to penalise. 

Precicely why customers need to take some damn responsibility.

Accounts have existed for decades for idiots who can't count - Cash Card / Basic accounts don't allow customers to go overdrawn, come with full-auth debit cards, don't provide authorised or unauthorised borrowing, and don't levvy charges.

So by all means, if you're the sort who can't take any damn fiscal responsibility, use a basic account and leave proper current accounts for those of us who don't spend their lives blaming others for their own mistakes. 

finalfantasist

Fighter1986 said:

DjangoUnchained said:

Fighter1986 said:

DjangoUnchained said:

flashg67 said:

DjangoUnchained said:

write to them complaining and tell them you will take it to the financial ombudsman, ittl cost them hundreds, they will probably refund you. If they dont refund, and the ombudsman doesnt favour you at least youm have the satisfaction of costing them hundreds and wasting their time.

And who do think ultimately pays  the 'hundreds of pounds' it costs them every time someone does this. Plus the 'wasted time' is actually costing them an employee's salary - again, who do you think pays that? (if you haven't worked it out, it's us - customers...) Not good advice at all IMO

i disagree. I have no problem costing banks / cards money if they try and charge me what i feel are unfair and unreasonable fees. If they dont like it, they can decide not to do business with me, thats their choice. There are many other suppliers around. All this !!!!!! about everyone else having to pay for it is nonsense, look at the profits they make.
Back to the OP , the card issuers have all the technology to stop the customer going over the limit if they wanted to. if they are going to let him go over the limit they have no moral right to penalize him for doing so. If they want to enforce the penalty, then the customer has the right to appeal it, first with the card, then if they refuse then I hope he takes it to the ombudsman and costs them dearly. If more people did this we would all benefit for a better customer focussed experience.

No we wouldn't - look at Overdraft APRs.

All the morons who can't do simple addition and subtraction bouncing payments out of their bank accounts left right and centre, going into unauthorised overdrafts and generally having no grip whasoever on their financial life kept on at the ombudsman morning noon and night about bank charges, rather than taking some damn responsibility. 

So banks removed them, under order from the regulator, and instead decided to double / trible / quadrouple everyone's standard overdraft APR.

So rather than a few noisy idiots paying for their own crapulence; each and every bank customer is tarred with the same brush now having to pay exorbitant overdraft interest rates if they ever dare dip into an authorised overdraft.

precisely why customers need to complain. The banks/ card co.s have the ability to not let it go past the limit, For payments not done in real time as mentioned, they could easily set up a small buffer, obviously not big enough for blatant abuse,  therfore no need to penalise. 

Precicely why customers need to take some damn responsibility.

Accounts have existed for decades for idiots who can't count - Cash Card / Basic accounts don't allow customers to go overdrawn, come with full-auth debit cards, don't provide authorised or unauthorised borrowing, and don't levvy charges.

So by all means, if you're the sort who can't take any damn fiscal responsibility, use a basic account and leave proper current accounts for those of us who don't spend their lives blaming others for their own mistakes. 

Unfortunately it's not that simple.  After people bleating about unfair charges on basic accounts the banks were told to remove charges from those accounts, the obvious knock-on effect of that was banks limiting basic accounts to those who don't qualify for a standard one to prevent everyone essentially opting out of bank charges by putting all their bills through a basic account.

So unfortunately only those who don't want to take any damn fiscal responsibility AND have made enough of a mess of their finances to be declined a normal current account can do as you say.

Fighter1986

finalfantasist said:

Fighter1986 said:

DjangoUnchained said:

Fighter1986 said:

DjangoUnchained said:

flashg67 said:

DjangoUnchained said:

write to them complaining and tell them you will take it to the financial ombudsman, ittl cost them hundreds, they will probably refund you. If they dont refund, and the ombudsman doesnt favour you at least youm have the satisfaction of costing them hundreds and wasting their time.

And who do think ultimately pays  the 'hundreds of pounds' it costs them every time someone does this. Plus the 'wasted time' is actually costing them an employee's salary - again, who do you think pays that? (if you haven't worked it out, it's us - customers...) Not good advice at all IMO

i disagree. I have no problem costing banks / cards money if they try and charge me what i feel are unfair and unreasonable fees. If they dont like it, they can decide not to do business with me, thats their choice. There are many other suppliers around. All this !!!!!! about everyone else having to pay for it is nonsense, look at the profits they make.
Back to the OP , the card issuers have all the technology to stop the customer going over the limit if they wanted to. if they are going to let him go over the limit they have no moral right to penalize him for doing so. If they want to enforce the penalty, then the customer has the right to appeal it, first with the card, then if they refuse then I hope he takes it to the ombudsman and costs them dearly. If more people did this we would all benefit for a better customer focussed experience.

No we wouldn't - look at Overdraft APRs.

All the morons who can't do simple addition and subtraction bouncing payments out of their bank accounts left right and centre, going into unauthorised overdrafts and generally having no grip whasoever on their financial life kept on at the ombudsman morning noon and night about bank charges, rather than taking some damn responsibility. 

So banks removed them, under order from the regulator, and instead decided to double / trible / quadrouple everyone's standard overdraft APR.

So rather than a few noisy idiots paying for their own crapulence; each and every bank customer is tarred with the same brush now having to pay exorbitant overdraft interest rates if they ever dare dip into an authorised overdraft.

precisely why customers need to complain. The banks/ card co.s have the ability to not let it go past the limit, For payments not done in real time as mentioned, they could easily set up a small buffer, obviously not big enough for blatant abuse,  therfore no need to penalise. 

Precicely why customers need to take some damn responsibility.

Accounts have existed for decades for idiots who can't count - Cash Card / Basic accounts don't allow customers to go overdrawn, come with full-auth debit cards, don't provide authorised or unauthorised borrowing, and don't levvy charges.

So by all means, if you're the sort who can't take any damn fiscal responsibility, use a basic account and leave proper current accounts for those of us who don't spend their lives blaming others for their own mistakes. 

Unfortunately it's not that simple.  After people bleating about unfair charges on basic accounts the banks were told to remove charges from those accounts, the obvious knock-on effect of that was banks limiting basic accounts to those who don't qualify for a standard one to prevent everyone essentially opting out of bank charges by putting all their bills through a basic account.

So unfortunately only those who don't want to take any damn fiscal responsibility AND have made enough of a mess of their finances to be declined a normal current account can do as you say.

You're usually right, but the Co-Operative bank allow one to directly apply for a Cashminder

https://apply.currentaccounts.co-operativebank.co.uk/cashminder/0-lets-get-started
TSB allow you to apply directly for their cash account too

https://application.tsb.co.uk/sales/a/online-sales-processes/#/PCA/public/cash

kimwp

General plea to stop the damning of people who've made financial mistakes on this thread. Everyone makes mistakes - I've never been in debt apart from mortgage - but I've been lucky that I never wanted to spend more than I had, never needed to and have a head for numbers. Everyone has their own situation, their own strengths and weakness. Showing a lack of compassion will put people off asking for help.

Fighter1986

kimwp said:

General plea to stop the damning of people who've made financial mistakes on this thread. Everyone makes mistakes - I've never been in debt apart from mortgage - but I've been lucky that I never wanted to spend more than I had, never needed to and have a head for numbers. Everyone has their own situation, their own strengths and weakness. Showing a lack of compassion will put people off asking for help.

No one is being damned for making mistakes, god knows I've made my fair share in the past too.

It's the lack of responsibility that I'm damning. Make a mistake, fine, but accept responsibility for the consequences rather than blaming someone or something else, and accept what measure one should be taking if one "keeps making mistakes" with their bank account (e.g. open a cash account rather than using a grown-ups account and subsequently blaming the bank for the grown up consequences).

msallen

I don't think people are being damned for making financial mistakes - we're all able to do that. I think the criticism is more directed at going on to blame anyone but yourself.

born_again

DjangoUnchained said:

precisely why customers need to complain. The banks/ card co.s have the ability to not let it go past the limit, For payments not done in real time as mentioned, they could easily set up a small buffer, obviously not big enough for blatant abuse,  therfore no need to penalise. 

So banks bounces a DD.
Have a look at how much many companies charge when that happens. Then look at how much you would pay if the bank let it through.
Unauthorised O/D have a cap on monthly costs. Some as low as £20. Yet you can easily pay £30 to a co for a bounced DD.

So do not think the banks do it for profit.

phillw

kimwp said:
The question was how can a fee for a bounced transaction be justified - it can be justified because some cost has been incurred. The bank needs to charge enough on all the fees it charges to cover all its costs and generate profit.

Can you charge people for refusing them credit? I didn't think you could.

phillw

msallen said:

I don't think people are being damned for making financial mistakes - we're all able to do that. I think the criticism is more directed at going on to blame anyone but yourself.

Feel free to criticize me for not wanting to pay some ridiculous fee just because I made a tiny mistake, I don't care.

No amount of criticizing will change anything, it's just to make people feel better about themselves but it fills the boards up with crap.

kimwp

phillw said:

kimwp said:
The question was how can a fee for a bounced transaction be justified - it can be justified because some cost has been incurred. The bank needs to charge enough on all the fees it charges to cover all its costs and generate profit.

Can you charge people for refusing them credit? I didn't think you could.

I'm not saying this is what happens, just how it could be justified.