Not claiming back charges.. Just want the bank to stop adding them ..!!!!.

mandi

Hi all,

My son went overdrawn by just over £ 1.00 last summer. resulting in the usual £28.00 charge.

He called Nat West , and explained that it was a mistake, and that because of problems processing his EMA , wasnt in a position to pay it.

They refused point blank to waver the charge, & left him no choice but to change his account to another bank , or have his EMA swallowed up in charges, when it was eventually sorted out

Hes written to them, and nicely requested that they stop adding charges, which are now standing at £144.00. they are saying that due to the test case they are not refunding any charges.. The point being that he doesnt want a refund..He just wants them to stop adding them each month :mad:


Anyone have any advice please , as Im not in a position to pay them.



thank you



Mandi

ShelfStacker_3

How old is he? The banks are not supposed to charge under-18s.

mandi

Ah ,, thats interesting , he was 17 at the time of the initial charge Shelfstacker

Milarky

ShelfStacker wrote: »

How old is he? The banks are not supposed to charge under-18s.

There's nothing in the Banking Code covering that as far as I can see. Other than debts not being enforcible against under 18s, I wasn't aware of this fact.

The practical problem is that the bank already takes any credits to the account in payment of the debt. The thing to do is stop using the account therefore or the bank will continue to collect from further cash credits.

They'll be waiting on the outcome of the test case which will probably say '£5' is reasonable and then pay back the difference but only if people complain (It's what happened with credit card charges) The thing is not to rack up any further charges and ditch the account sooner.

(Very helpful of the OFT and the FSA to give the banks protection from dealing with complaints about charges during the trial wasn't it?)

Here's Martin Lewis' online petition for adequate redress of this issue (now closed, sadly)

http://www.moneysavingexpert.com/reclaim/bank-charges-charter

mandi

Milarky wrote: »

There's nothing in the Banking Code covering that as far as I can see. Other than debts not being enforcible against under 18s, I wasn't aware of this fact.

The practical problem is that the bank already takes any credits to the account in payment of the debt. The thing to do is stop using the account therefore or the bank will continue to collect from further cash credits.

They'll be waiting on the outcome of the test case which will probably say '£5' is reasonable and then pay back the difference but only if people complain (It's what happened with credit card charges) The thing is not to rack up any further charges and ditch the account sooner.

(Very helpful of the OFT and the FSA to give the banks protection from dealing with complaints about charges during the trial wasn't it?)

Here's Martin Lewis' online petition for adequate redress of this issue (now closed, sadly)

http://www.moneysavingexpert.com/reclaim/bank-charges-charter

Thanks Milarky,

Hes already changed accounts, and no credits have gone in since the initial charge, however hes also been told that he Cant close the account whilst its in debit , even though hes told them that there will be no money going in...

This was his 1st bank account , and already the greedy so and sos are milking him for charges..:mad:



I feel like we have no alternative but to pay up then reclaim , just to stop any further charges.............!!!!!!

olly300

mandi wrote: »

I feel like we have no alternative but to pay up then reclaim , just to stop any further charges.............!!!!!!

Personally I wouldn't pay them a thing.

I've just found this thread -
http://forums.moneysavingexpert.com/showthread.html?t=399315

Which verifies what I went through years ago with HSBC.

Most important points from NatwestStaffMember

Just for everyones information, a bank has to refund charges on an account where the person is under 18 years of age. I don;t think a Martin Lewis reclaim charges letter is required merely a letter stating that you are under 18 and you have heard you cannot be charged.

And from Tozer:

Principle in law is that under 18's do not have capacity to enter a contract unless it is a contract of "necessity". On this basis, under 18's seem to have very good legal rights to make a recovery.

Basically write them a nasty letter with your son signing it and if they don't relent take them to the Financial Ombudsman on the fact that your son is (or was) under 18 and can't enter into such a contract.

MarkyMarkD

OP

Did someone make your son spend £1 he hadn't got in his account?

Somehow I'm struggling to see how that's the bank's fault.

If he was under 18 and incompetent at managing his money, why didn't he simply get a building society style card with a cashbook (OK, and an ATM card if you insist) rather than an account with the facility to go overdrawn?