Society or Trustee Bank Accounts

Hi 
Just looking for advice, I have taken over as the Treasurer of our local green bowls club. Our bank account is in the name of “ the trustees of .....” The type of account we have is a business bank account and not a society or community club account. Obviously our charges have been excessive, just over £1000 per year, for as long as I can go back through the bank statements. We have asked RBS to change the status of the account, no response yet. 

Has anyone got any experience of claiming back charges or can anyone give some advice on how best to proceed? Ie if we can claim them back how long can we go back?

thanks

Stuart

Replies

  • dunstonhdunstonh Forumite
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    Obviously our charges have been excessive

    Why obviously?   Business banking accounts can be had from just a few pounds a month if your transactions are light and you do not use the counter facility.  If you do use the counter facilities then the charges increase significantly.     

    You haven't told us anything about the bank usage so its not obvious to us whether the charges are high or not.   £1000 a year would suggest counter facilities are being used.  If they are not, then alternative banking arrangements should be sought.

    Has anyone got any experience of claiming back charges or can anyone give some advice on how best to proceed? 

    On what basis would you be using to request a refund?     

    There is no basis for banks to give a refund unless there is an incorrect application of charges.  i.e. being charged the wrong amount or for something that was not carried out.  Apart from that, you are reliant on the goodwill of the bank.    So, more info needed on why you think the charges are wrong and what sort of transactions go through the account.

    If there is no cash going through the bank counter, then the trustees of the club deserve a slap for leaving it on an old fashioned account with higher levels of charges. The previous treasurer should have investigated alternative options.   

    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • penners324penners324 Forumite
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    Been having this argument with Santander. They opened up the wrong sort of business account not a community account. So monthly charges on the account.
    You'll be better off opening a community account with a different bank...
    Then lodging a formal complaint 
  • FarfetchFarfetch Forumite
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    Been having this argument with Santander. They opened up the wrong sort of business account not a community account. So monthly charges on the account.
    You'll be better off opening a community account with a different bank...
    Then lodging a formal complaint 
    OP can complain all they like, if the trustees willingly and knowingly opened the account and accepted the charges and then just left it running, that's not the bank's fault

    He who rejects change is the architect of decay. The only human institution which rejects progress is the cemetery.

    -Harold Wilson


  • StubsterStubster Forumite
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    dunstonh said:
    Obviously our charges have been excessive

    Why obviously?   Business banking accounts can be had from just a few pounds a month if your transactions are light and you do not use the counter facility.  If you do use the counter facilities then the charges increase significantly.     

    You haven't told us anything about the bank usage so its not obvious to us whether the charges are high or not.   £1000 a year would suggest counter facilities are being used.  If they are not, then alternative banking arrangements should be sought.

    Has anyone got any experience of claiming back charges or can anyone give some advice on how best to proceed? 

    On what basis would you be using to request a refund?     

    There is no basis for banks to give a refund unless there is an incorrect application of charges.  i.e. being charged the wrong amount or for something that was not carried out.  Apart from that, you are reliant on the goodwill of the bank.    So, more info needed on why you think the charges are wrong and what sort of transactions go through the account.

    If there is no cash going through the bank counter, then the trustees of the club deserve a slap for leaving it on an old fashioned account with higher levels of charges. The previous treasurer should have investigated alternative options.   

    Thanks for your comments. 

    Just to clarify the club is 40 years old and the account name is in the name if “the trustees of....” so quite clearly it is not a business. There is no overdraft or borrowing facilities and we periodically have the bank contact us for an up to date version of our constitution.  Our bank charges are excessive when compared to other society type accounts and we do use the counter facility as we pay in takings and subscriptions and get change for the bar.

    Appreciate we are probably reliant on good will of the bank for some charges being returned, also that they have recognised us as a club and not a business but kept us on a business account. There is an argument to be made about the previous Treasurer, unfortunately they claim they were told a number of years ago by the bank that we were on the correct account. It is a he says she says situation though. 

    I just wondered if anyone else has experience of this and if anyone had any success in reclaiming some of their charges.
  • dunstonhdunstonh Forumite
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    Just to clarify the club is 40 years old and the account name is in the name if “the trustees of....” so quite clearly it is not a business.

    But it would operate on a similar basis to a business account.

    Our bank charges are excessive when compared to other society type accounts and we do use the counter facility as we pay in takings and subscriptions and get change for the bar.

    Counter transactions are likely to be where the costs stack up.  It is one of the most expensive areas of retail banking services.  Those that use the facilities in a commercial manner (which includes clubs) pay for the counter services.

        There is an argument to be made about the previous Treasurer, unfortunately they claim they were told a number of years ago by the bank that we were on the correct account. It is a he says she says situation though. 

    Bank charges have fallen over the years.  So, they may well have tried at the time and been given the right answer at that time.   With an increasing number of business accounts no longer using counter facilities, they have offered those much cheaper banking (often only £5pm).

    I just wondered if anyone else has experience of this and if anyone had any success in reclaiming some of their charges.

    You would need to put your case to the bank.   It may be that they haven't costed the account for a while.   A review of the account activity can be a double edged sword.  Back in my banking days (which was many decades ago), we would only cost accounts every few years or when someone asked.  Sometimes, the outcome was to increase charges rather than lower them.

    direct debits/standing orders, internet banking transfers cost the bank very little.  An account with just those (and no cheques in/out) would offer around £5pm in charges.      If you start paying in cheques, issuing cheques or paying in case, the charges ramp up quickly.   

    Take a look at the bank's tariff.  See what it says about charges there.  If there is a difference with yours and you are paying too much, then you have the grounds to start a discussion with them.   

    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • StubsterStubster Forumite
    3 Posts
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    MoneySaving Newbie
    dunstonh said:
    Just to clarify the club is 40 years old and the account name is in the name if “the trustees of....” so quite clearly it is not a business.

    But it would operate on a similar basis to a business account.

    Our bank charges are excessive when compared to other society type accounts and we do use the counter facility as we pay in takings and subscriptions and get change for the bar.

    Counter transactions are likely to be where the costs stack up.  It is one of the most expensive areas of retail banking services.  Those that use the facilities in a commercial manner (which includes clubs) pay for the counter services.

        There is an argument to be made about the previous Treasurer, unfortunately they claim they were told a number of years ago by the bank that we were on the correct account. It is a he says she says situation though. 

    Bank charges have fallen over the years.  So, they may well have tried at the time and been given the right answer at that time.   With an increasing number of business accounts no longer using counter facilities, they have offered those much cheaper banking (often only £5pm).

    I just wondered if anyone else has experience of this and if anyone had any success in reclaiming some of their charges.

    You would need to put your case to the bank.   It may be that they haven't costed the account for a while.   A review of the account activity can be a double edged sword.  Back in my banking days (which was many decades ago), we would only cost accounts every few years or when someone asked.  Sometimes, the outcome was to increase charges rather than lower them.

    direct debits/standing orders, internet banking transfers cost the bank very little.  An account with just those (and no cheques in/out) would offer around £5pm in charges.      If you start paying in cheques, issuing cheques or paying in case, the charges ramp up quickly.   

    Take a look at the bank's tariff.  See what it says about charges there.  If there is a difference with yours and you are paying too much, then you have the grounds to start a discussion with them.   

    Dunston 

     Many thanks for your advice it is much appreciated.

    Stuart
  • jonesMUFCforeverjonesMUFCforever Forumite
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    Was there such a thing as a Club/Society account 40 years ago? - or was it just a personal or business account?
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