Unexplained refund

natwilp

Hi i had a loan with sainsburys bank in 2010 for £10,000. I never missed a payment and finished paying it odf years ago. Randomly in january i recieved a letter off sainsburys bank stating that they should have managed my account better and taken my circumstances into account at the time and they were refunding the interest. There was a check enclosed with the letter for just over £10. I havent cashed this as it seemed really suspicious. Surely the interest on a loan that size was more than the amount returned and why out of the blue have they decided to even give a refund? I was wondering if anyone else had had anything similar? Thanks

sourcrates

£10 ? Hardly a fortune.

Bank the cheque.

natwilp

Thats not the point am not interested in the £10 cheque i just wanted to know if anyone else had had anything similar and why they had done it, and if i am owed a refund it would surely be more than that for the amount the loan was it just seems really odd? 🤔

[Deleted User]

It surely wouldn't.

It's a refund for a minor non compliance issue. They've rounded it up to £10 for convenience.

Enjoy.

natwilp

Deleted_User said:

It surely wouldn't.

It's a refund for a minor non compliance issue. They've rounded it up to £10 for convenience.

Enjoy.

Why would there be a compliance issue? You clearly havent read the post properly as it was over £10 i just couldnt remember the exact figure. It is a genuine quiry ive never heard of a bank doing this, there is no need to be rude

sourcrates

natwilp said:

Deleted_User said:

It surely wouldn't.

It's a refund for a minor non compliance issue. They've rounded it up to £10 for convenience.

Enjoy.

Why would there be a compliance issue? You clearly havent read the post properly as it was over £10 i just couldnt remember the exact figure. It is a genuine quiry ive never heard of a bank doing this, there is no need to be rude

He’s not been rude, and you really need to chill out a little, as ZX81 has said, banks check up on there own compliance procedures from time to time, occasionally they make mistakes, the money is by way of compensation for compliance issues they have identified.

Happens all the time, and on a regular basis, many thousands of customers will have received similar payments.

MalMonroe

natwilp said:

Thats not the point am not interested in the £10 cheque i just wanted to know if anyone else had had anything similar and why they had done it, and if i am owed a refund it would surely be more than that for the amount the loan was it just seems really odd? 🤔

Yes, I received a cheque the other week from HSBC. I've never banked with them. The letter sent with the cheque did not really explain what the cheque was for other than charges, fees and interest incorrectly charged on some recoveries and interest. I did once have a credit card with John Lewis Finance, which was taken over by HSBC some years ago so assumed it was something to do with that. It was for more than £10 though and I was quite taken aback. Like you, I was suspicious.

In the end I decided to post the cheque off to my bank (I'm still self isolating) and see what happens. If it's fraudulent they'll shred it and ask me what on earth I'm playing at. If not they'll put it into my account. Quite a few banks appear to be doing similar and legitimate clean-ups at the moment. They had taken tax off the interest but said if I am not a taxpayer I can apply to HMRC for the tax to be refunded, so I have done that too as my income's too small for me to pay tax at the moment. 

You could just pay it in to your bank account - as Tesco would say "every little helps".

[Deleted User]

natwilp said:Id love to know how you know 'everyone' has heard of banks doing this

Because in the same way that most people have heard of gravity, or oxygen, most people have heard of compliance.

Still, even if you haven't, I wish you well.

natwilp

MalMonroe said:

natwilp said:

Thats not the point am not interested in the £10 cheque i just wanted to know if anyone else had had anything similar and why they had done it, and if i am owed a refund it would surely be more than that for the amount the loan was it just seems really odd? 🤔

Yes, I received a cheque the other week from HSBC. I've never banked with them. The letter sent with the cheque did not really explain what the cheque was for other than charges, fees and interest incorrectly charged on some recoveries and interest. I did once have a credit card with John Lewis Finance, which was taken over by HSBC some years ago so assumed it was something to do with that. It was for more than £10 though and I was quite taken aback. Like you, I was suspicious.

In the end I decided to post the cheque off to my bank (I'm still self isolating) and see what happens. If it's fraudulent they'll shred it and ask me what on earth I'm playing at. If not they'll put it into my account. Quite a few banks appear to be doing similar and legitimate clean-ups at the moment. They had taken tax off the interest but said if I am not a taxpayer I can apply to HMRC for the tax to be refunded, so I have done that too as my income's too small for me to pay tax at the moment. 

You could just pay it in to your bank account - as Tesco would say "every little helps".

Thank you! That makes more sence thanks for the advice x

DCFC79

natwilp said:

Thats not the point am not interested in the £10 cheque i just wanted to know if anyone else had had anything similar and why they had done it, and if i am owed a refund it would surely be more than that for the amount the loan was it just seems really odd? 🤔

Bank the cheque.

As mentioned the refund is for something the lender didn't do, didnt follow procedure.

A similar question was asked a month or 2 ago, again a refund from a previous lender.

Googee

Hi!  My Mother had a letter from Provident, whom  she and my late father had  loans with them for years.. They have asked for her to get in touch, so they know that she had loans with them.. My mother is now a 82 , disabled pensioner.. .Can you explain what this is about.. Kind Regards.