small ltd business v NatWest--29.5% interest, has anybody tried to claim this back?

[bobandsuzzi]

this doesnt seem to be the standard reply that i have read on here, can somebody have a quick look over it for me please
still cant decide weather to bank the cheque, as they could still claw it back
many thanks
Bobandsuzzi

Our client considers that your challenge to its charges would fail in Court. Our client believes that its charges are fair, reasonable and transparent. It considers that the amount debited to your account has been applied strictly in accordance with your agreement with it and its published tariff. Our client is also committed to ensuring the transparency of the information that it gives to its customers about the operation of its products. As such, our client does not believe that your claim has any prospect of succeeding.
We note that you refer to the contractual rate as being a fair and equitable rate.
As the figure of 29.69% is a mathematical average and not based on historical data, a court would be unable to find on the balance of probabilities that your calculations are accurate. It would be bound to find against you. The schedule you have provided relies on the assumption that interest was being debited from the account at all material times and the account was at no stage in credit. Only if this premise is correct could the account have attracted interest day-to-day. To the extent that the account has been in credit since charges were first levied in 2002, there could have been no unauthorised borrowing interest.
In the circumstances, it is our client’s contention that your client is only entitled to unauthorised borrowing interest accrued on the account at the time the charges themselves accrued. However, although our client remains of the view that you are only entitled to 8% interest, and is confident that it will be successful at a final hearing, its legal fees will almost certainly outweigh the value of the claim, and, as such, our client must take a commercial approach to such claims.
Accordingly, without any admission of liability, our client is prepared to settle this matter to prevent incurring any further legal fees. We enclose a cheque in the sum of £4,570.62, which includes:

I Charges of3,314
2 Interest thereon at 8% per annum of £1,036.62
3 Court Fees of £220
Acceptance by you of this goodwill payment will be in full and final settlement of your claim against our client and strictly on the basis that:
1 you agree not to disclose to any third party the fact of, or any details relating to, this payment;
2 you write to the Court withdrawing your claim.
Any charges that properly accrue in the future will be applied to your account in line with our published tariff and in accordance with your agreement with the bank. Should you be unwilling to accept any such charges then we may need to consider if we are prepared to continue to provide you with your existing banking facilities. Instead we may offer you a simple account that does not offer borrowing facilities or other services that can result in charges.
We would ask that you now write to the Court and discontinue proceedings in this matter. We have attached two copies of the Notice of Discontinuance, and we should be grateful if you would complete the copies, forwarding one to the Court and the duplicate to us.
We await receipt of the completed Notice of Discontinuance

[Parkvale]

bobandsuzzi,
This might be of interest Why is no one claiming the contractual rate of interest???. Your in a difficult position, because if you go to court you will have to prove you interest figure of 29.5% applied throughout the period of your claim. I have claimed the authorised rate (5,75% above base). which they cannot argue with ,because i was in my overdraft through out the period i am claiming for. Hope this helps a little.Its really down to your own deal or no deal.
"In the circumstances, it is our client’s contention that your client is only entitled to unauthorised borrowing interest accrued on the account at the time the charges themselves accrued."
Correct me if i am wrong this is the first time i have seen Nat West admit that any one is entitled to authorised borrowing charges that have been " accrued " with the penalty charges.

[bobandsuzzi]

"In the circumstances, it is our client’s contention that your client is only entitled to unauthorised borrowing interest accrued on the account at the time the charges themselves accrued."

parkvale, i thought the same, it might be worth getting a mod to comment on this
i am wondering if i can "up" my claim on this basis, whilst banking the cheque as part settlement?

[Parkvale]

bob and suzzi,
Josemolly very similiar position,have a look. http://www.consumeractiongroup.co.uk...r-cobbets.html