£128 sandwich

[complete novice]

I recently purchased a sandwich from boots for £2.99 pushing me over my overdraft limit by £2.49.

I received a £25 charge for this.

Because it's an internet account I don't receiver letters informing me of bank charges so I did not know about it.

I received another £25 charge.
and another.

I then scraped together £100 to cover the costs of the the bank charges. They were swallowed whole, this took my balance to -£219.

On the same day.. I received two lots of charges for both for £25 again taking me over my overdraft limit.

Today I paid in £200 after receiving letter yesteday threatening my account with a default.

Am I right in thinking I am able to claim these charges back as A+L are not involved in the test case?

P.S. I also have two charges for not enough funds in my account for direct debits - can these be claimed back?

PPS. Does anyone else find it unfair that when you are overdrawn they disable your internet banking account i.e. you can not see your statements until you pay to get back into the threshold?

[jansus]

I have never seen that with my internet banking.

Although A&L are not part of the case they have agreed to abide by the final decision but the advice of here is to carry on - see thread at begining of A&L "the OFT case and what it means to you".

jan

[M.Willows]

Hi CN
I would think it possible to claim for the charges but why not write and complain to the bank first as I did a few years ago and they refunded in full , especially when you were so little overdrawn .
Hope this helps

[jansus]

Or FOS although they are postponing cases as well - if they get enough complaints maybe they will re-consider the waiver

Jan

[complete novice]

I will complaint to A&L customer service in bootle. Please could you give me some feedback on this letter?

Dear Sir or Madam,

I recently spent £2.99 on a lunch whilst I was overdrawn. This purchase led to my balance being -£252.49, £2.49 above my overdraft facility– this was unknown to me at the time.

When I had the funds available I paid £10 into the account a few weeks later to cover any interest owing as I knew I was overdrawn but not beyond my overdraft facility.

As I am a Premier Direct customer I do not receive any monthly statement in the mail from Alliance and Leicester and it was not until I received a letter in the post stating there will be a £25 charge that I realised that I was exceeding my overdraft facility.

Unfortunately during this time there was an ongoing postal strike which led to me receiving two charge letters at once.

I received a further £25 charge a week later.

I realised that was a serious problem with receiving charge after charge for the sake of a sandwich, packet of crisps and a fizzy pop. At this point this ‘meal’ had cost me £78.49. I mustered together £100 which is no easy feat when unemployed and that is just under your monthly income and paid it into my local branch to cover any charges. This left my balance at -£219.88 and I thought this saga was over.

Not so. I received another pair of £25 bank charges the Monday after I had paid the money into branch – this left me exceeding my overdraft facility again as my balance was no - £271.05.

On the 29th August I received a threatening letter stating that Alliance and Leicester have served me a default and that your company wishes me to pay in £71.05 by 5th September. I have had no choice but to apply for a budgeting loan from the jobcentre solely to pay these charges and on the 1st September I paid in £200 and unfortunately I am expecting further charges from your company.

I do not feel that that these charges have been very fair especially when it was less than £3 above my overdraft facility. To date I have received £125 bank charges and a default notice on my credit file. This has made it a very expensive lunch indeed. Please would you consider reinstating the bank charge fees into my bank account and removing the default notice?

Thank You

[jansus]

What about adding somewhere -

I feel that these charges are totally out of proportion excessive and unjustified for an error so small.I feel that your actions in this instance have placed me in a very difficult financial position and to threaten a default in this instance is totally uncalled for.

In the circumances I hope you can refund these charges to my account ASAP and we can continue our banking relationship without the need for me to consider any further action.

?? or words to that affect

also I would check the threads for the proceedures for defaults as this is the last thing you want.

Jan

[jansus]

Defaults - background, removal methods, challenges and taking a claim to


jan

[Josie8]

Are you unemployed? Is the money paid into your accounts as a result of benefits?

If so then you can ask the bank to refund the charges. If they don't you can issue a claim and as your claim is not on the same basis as the OFT test case your claim will be heard and not stayed.

Write something along the lines of :

Jon Cris

Template for getting a refund of benefits from you bank

Dear Sir/Madam [YOUR NAME, SORT CODE, and ACCOUNT NUMBER]

I write regarding the application of the following penalty charges to my account: [INSERT DETAILS of charges applied].

As you know the monies in my account derive from means tested benefits paid by DWP, and/or the CSA. This is confirmed from my bank statements, where they are clearly identified.

Accordingly, you have erred in law in levying such charges on exempt monies in my account contrary to The Social Security Act 1992 which for your information states as follows:

Social Security Administration Act 1992
Miscellaneous
Certain benefit to be inalienable **

187- Subject to the provisions of this Act, every assignment of, or charge on-
(a)benefit as defined in section 122 of the Contributions and Benefits Act;
(b)any income-related benefit; or
(c)child benefit,
and every agreement to assign or charge such benefit shall be void; and, on the bankruptcy of the beneficiary, such benefit shall not pass to any trustee or other person acting on behalf of his creditors.

Note * if you claim Working Tax Credit or Child Tax Credit the corresponding legislation is the Tax Credits Act 2006. Section 45 states then include this para in your letter of claim.

In addition I remind you that included in this exemption are the following

Tax Credits Act 2006. Section 45 states:

45.: Inalienability
(1) Every assignment of or charge on a tax credit, and every agreement to assign or charge a tax credit, is void; and, on the bankruptcy of the person entitled to a tax credit, the entitlement to the tax credit does not pass to any trustee or other person acting on behalf of his creditors

I would also respectfully remind you that all the said benefits are not the property of me, the Recipient, but of the State, and are provided by the State, for the Recipient and their Dependant's sole upkeep

Therefore in view of the foregoing and the fact that these benefits are my only/main source of income please refund, within 7 days from the above date, any and all such charges together with any interest applied.


Yours faithfully

[complete novice]

hi josie,

Yes I'm unemployed but the money goes into HSBC.

I replied a reply from the bank with my original letter plus the suggested amendments, but it was merely a autoreply saying because of the test case blah blah blah.

It looks like I will be sending another one