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  • FIRST POST
    • MSE Guy
    • By MSE Guy 23rd Jun 10, 5:26 PM
    • 1,628Posts
    • 1,255Thanks
    MSE Guy
    MSE News: Lloyds TSB in bank charges shake-up
    • #1
    • 23rd Jun 10, 5:26 PM
    MSE News: Lloyds TSB in bank charges shake-up 23rd Jun 10 at 5:26 PM
    This is the discussion thread for the following MSE News Story:

    Read the full story:

Page 1
  • samjef11
    • #2
    • 23rd Jun 10, 5:34 PM
    • #2
    • 23rd Jun 10, 5:34 PM


    I bet they done this to cover themselves for the bank tax.
  • jambosans
    • #3
    • 23rd Jun 10, 7:19 PM
    • #3
    • 23rd Jun 10, 7:19 PM
    I bet they done this to cover themselves for the bank tax.
    Originally posted by samjef11
    Unlikely. Perhaps it's to re-coupe the lost income from reducing their unauthorised overdraft charges.
    Anything I post is my opinion, so from time to time I may be wrong. I try to provide answers based in fact, however I don't know everything, so (like all posters on MSE), take what I say with a pinch of salt.
  • samjef11
    • #4
    • 23rd Jun 10, 7:22 PM
    • #4
    • 23rd Jun 10, 7:22 PM
    Unlikely. Perhaps it's to re-coupe the lost income from reducing their unauthorised overdraft charges.
    Originally posted by jambosans
    Could be we never know what banks are up to.
    • jonesMUFCforever
    • By jonesMUFCforever 23rd Jun 10, 7:35 PM
    • 25,792 Posts
    • 13,002 Thanks
    jonesMUFCforever
    • #5
    • 23rd Jun 10, 7:35 PM
    • #5
    • 23rd Jun 10, 7:35 PM
    What about the monthly fee for using an approved overdraft?
    What goes around - comes around
    give lots and you will always receive lots
    • Lokolo
    • By Lokolo 23rd Jun 10, 7:43 PM
    • 20,104 Posts
    • 15,244 Thanks
    Lokolo
    • #6
    • 23rd Jun 10, 7:43 PM
    • #6
    • 23rd Jun 10, 7:43 PM
    What about the monthly fee for using an approved overdraft?
    Originally posted by jonesMUFCforever
    The start of non free banking begins?
  • paulmcerlean
    • #7
    • 23rd Jun 10, 7:47 PM
    • #7
    • 23rd Jun 10, 7:47 PM
    At least they are not doing a Halifax and charging a quid a day.
  • samjef11
    • #8
    • 23rd Jun 10, 7:53 PM
    • #8
    • 23rd Jun 10, 7:53 PM
    At least they are not doing a Halifax and charging a quid a day.
    Originally posted by paulmcerlean
    That's true and who do you think the banks will take the bank tax that will come into force i think nextyear the bank or the poor consumer?
    • stator
    • By stator 23rd Jun 10, 7:54 PM
    • 7,152 Posts
    • 4,923 Thanks
    stator
    • #9
    • 23rd Jun 10, 7:54 PM
    • #9
    • 23rd Jun 10, 7:54 PM
    This annoys me no end. I liked the old/current system fine.

    All this campaigning about "fairer" banking charges just ends up with all the banks changing their charges into systems that make less sense.
    • Lokolo
    • By Lokolo 23rd Jun 10, 7:56 PM
    • 20,104 Posts
    • 15,244 Thanks
    Lokolo
    This annoys me no end. I liked the old/current system fine.

    All this campaigning about "fairer" banking charges just ends up with all the banks changing their charges into systems that make less sense.
    Originally posted by stator
    Blame Martin
    • Alpine Star
    • By Alpine Star 24th Jun 10, 5:02 AM
    • 1,259 Posts
    • 611 Thanks
    Alpine Star
    Like many banks Lloyds chose a complex array of smaller fees in preference to an expensive single charge.

    Because charging structures are becoming ever more complicated and difficult to compare, from the end of this month the OFT will require that all banks publish the cost of going into unauthorised overdraft in 6 different scenarios.



    1 We refuse a payment from your account because there is not enough money in your account.

    2 A payment from your account takes you into [an unauthorised overdraft] by less than 10. You [are overdrawn] for one day during the month.

    3 A payment from your account takes you into [an unauthorised overdraft] and you make another payment from the account while you [are overdrawn].
    You [are overdrawn] for two days in a row during the month.

    4 A payment from your account takes you [into an unauthorised overdraft], and you make nine more payments from the account while you [are overdrawn]. You [are overdrawn] for 10 days in a row during the month.

    5 A payment from your account takes you [into an unauthorised overdraft]. You [are overdrawn] for one day. However, on three more occasions during the month, a payment takes you [into an unauthorised overdraft]. On each of these occasions you [are overdrawn] for three days in a row.

    6 A payment from your account takes you [into an unauthorised overdraft]. You [are overdrawn] for 21 days in a row during the month and you make 12 more payments from the account while you [are overdrawn].
    • davidgmmafan
    • By davidgmmafan 24th Jun 10, 11:30 AM
    • 1,446 Posts
    • 522 Thanks
    davidgmmafan
    Strikes me as yet more of the MP's attitude... we don't accept any wrongdoing but we've decided to radically overhaul the system anyway...

    Lets be honest the facts cannot be disputed, customers argued the banks were charging waymore than it cost them, and they were correct. Just the OFT stumbled on finding a law to say this was unfair.

    Lying is rewarded, no wonder we're in the state we're in.
  • student89
    sorry if this has already been asked but will this affect the 0% planned overdraft on a student account?
    • Rupert Bear
    • By Rupert Bear 24th Jun 10, 5:20 PM
    • 1,267 Posts
    • 630 Thanks
    Rupert Bear
    For keeping within the terms and conditions of my account and never exceeding my overdraft limit Lloyds have decided to punish me with a 5.00 charge if I go overdrawn plus usual interest charges. Nice one Lloyds!
    • davidgmmafan
    • By davidgmmafan 24th Jun 10, 6:06 PM
    • 1,446 Posts
    • 522 Thanks
    davidgmmafan
    To be honest Rupert I think measures are long overdue to encourage people to use thier overdraft correctly, by which I mean a temporary form of borrowing. However the banks need to be very careful how they do this as the Halifax example shows the is very easy to bungle, resulting in it taking LONGER for customers to clear thier debts.

    Trouble is I doubt thier integrity, I cannot believe they're doing it for the benefit for thier customers when they've looked the other way and delighted in the money raised from fees for so long.
    • Alpine Star
    • By Alpine Star 25th Jun 10, 4:51 AM
    • 1,259 Posts
    • 611 Thanks
    Alpine Star
    For keeping within the terms and conditions of my account and never exceeding my overdraft limit Lloyds have decided to punish me with a 5.00 charge if I go overdrawn plus usual interest charges. Nice one Lloyds!
    Originally posted by Rupert Bear
    There is no justification for the new 5 charge and just goes to illustrate the dire lack of competition in the PCA market. Like all banks Lloyds confuses the free market for a free-for-all.

    Lloyds recently said that it ''competes aggressively on all matters of products and pricing'' but that is clearly not happening in your case.
    • stator
    • By stator 25th Jun 10, 8:41 AM
    • 7,152 Posts
    • 4,923 Thanks
    stator
    Trouble is I doubt thier integrity, I cannot believe they're doing it for the benefit for thier customers when they've looked the other way and delighted in the money raised from fees for so long.
    Originally posted by davidgmmafan
    I don't think anyone really thinks they are doing it for their customers. They are obviously just doing it because of all the pressure about "excessive charges" with regards to unarranged overdrafts. They have to bring those charges down to avoid the possibility of them all being reclaimed in the future and to avoid new regulation being introduced that would force them to reduce them to a certain level.
    • quartile
    • By quartile 30th Jun 10, 11:56 AM
    • 3 Posts
    • 12 Thanks
    quartile
    Time to leave Lloyds
    I have banked with Lloyds for 15 years. However this will probably make me leave them. At the moment I pay around 50p a month in approved overdraft interest. I have no wish for this to increase tenfold to 5.
  • micsan84
    Leaving LLoyds
    I have been with Lloyds for over 20 years. I recently received a statement with the 5 charge plus interest. I called them up as I was not aware of this new change to their terms and conditions, and did not believe they had communicated this to me effectively. I spoke to a manager to request that the fee be waived on this occasion and I will cover the overdraft and remove the facility from the account, but he was unwilling to. In the end the manager was not bothered about losing a valid customer of 20 years for the sake of five pounds.
    I am in the process of changing banks now to HSBC and will also receive 75 from HSBC as part of the move.
  • jambosans
    I called them up as I was not aware of this new change to their terms and conditions, and did not believe they had communicated this to me effectively.
    Originally posted by micsan84
    What do you propose, they inform you via a Howler?

    Does a seven month old thread (and related news article) not indicate that perhaps you simply weren't paying attention to the mailing? It was also plastered over their website last year.
    Last edited by jambosans; 23-01-2011 at 9:21 PM.
    Anything I post is my opinion, so from time to time I may be wrong. I try to provide answers based in fact, however I don't know everything, so (like all posters on MSE), take what I say with a pinch of salt.
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