Ltsb Have Debited Minimum Payment From My Account Without My Permission!

carriemorrison

Can they really do this? I have a LTSB Platinum Card and my Husband has a Mastercard. We are experiencing some cash flow problems at the moment due to a recent house move which resulted in me having to give up my job (my husband is in the armed forces) We both contacted our card providers in January to say that we were unable to make the minimum payments and asked if we could set up a payment plan until our financial situation is a bit healthier. Both the card providers said we could and that would send out the relevant paperwork. The paperwork still hasn't arrived even though we have both phoned them several times. As a result of this LTSB have taken 3 payments from our current account THIS MONTH totalling almost £600. NOT HAPPY! Can they really do this? That money was set aside for utility bills, food and fuel for the month. We had to borrow money from family to get us through. We have since written to them and enclosed a copy of our financial statement and again asked to set up the payment plan until we are back on our feet. Any advice anyone?!

Elliesmum

I'm sure someone with more experience will come along in a minute, but my first questions are:-

Did you agree with them you would pay by DD? Otherwise, how did they have access to your bank account? Why 3 payments this month, I would ask CS about this.

I'm thinking, if you agreed to pay the minimum payment by DD every month then you probably in a sticky field until the payment plan is set up. But again - as I said, someone with more idea may be along after me.

EM xx

carriemorrison

Hi Elliesmum.. No, we have never had a DD set up with regards to our credit cards! We were planning on paying the agreed payments online via the ltsb website (that's how we've always paid them) Our current account is with LTSB too so they have just gone straight in and taken the money! Umm.. what's CS? I'm a newbie! xx

Bismarck

I assume customer services...there are rules about banks being able to help themselves although I've not heard of one like this!

poppy_f1

they can, there will be something in the t&cs saying they can do it if u hold a current account with them
happened to me years back with a loan

Elliesmum

Sorry - CS - customer services. I would ring them and ask how or why they thought they could take £600 out of your account without your permission!

I would doubt you will get the money back - I once accidently paid my CC twice (I know!!) and the CC company refused to give me a refund until they were positive I had made the overpayment. They really are a law unto themselves sometimes!

Cannot really offer anymore advice I'm afraid as this has never happen to me. But I would ring them, maybe it's time for you to switch banks as well? this would at least stop them from dipping into your current account.

Good luck - EM xx

Elliesmum

Now you see poppy_f1 has at least answered one question! I think it would be even less likely now you would get your £600 back.

EM xx

carriemorrison

Good point - we are shopping around for a new bank actually as have been with Ltsb for 15 years and have always been loyal - we both have a loan and a credit card each with them and this is how they repay us?! Cheeky! You're right - they are a law unto themselves. I'm going to ring them this afternoon and give them a rocket! TY xx

Bismarck

Certainly a good case for another account anyway so you can control your money and who gets some/any of it.

SparciaM

If you're behind with payments, missed a few payments or dealing with their collections/payment plan section then taking money from a Lloyds Current Account would occur.

As you have a CC and a CA with them, they are allowed by law to recover costs by any means, which include taking a percentage out of your account. They have to leave a percentage in the account for you to live on but this differs from bank to bank.

I would call up, explaing that you need the £600 and agree to give them say £200 or something and ask for rest back and sort out a plan. If you complain and prove that them taking £600 from your account is going to be detremental to your finances then they have to give it back. If they don't you can give an official complaint and contact the FSA as well.

But legally, they are allowed to take money out without your permission if you have a debt and are owed on it. They will even take your OD to cover a debt if you have one or money there!

Elliesmum

carriemorrison wrote: »

Good point - we are shopping around for a new bank actually as have been with Ltsb for 15 years and have always been loyal - we both have a loan and a credit card each with them and this is how they repay us?! Cheeky! You're right - they are a law unto themselves. I'm going to ring them this afternoon and give them a rocket! TY xx

Good luck EM xx