Cahoot (Abbey) ignoring financial hardship

[poppynurse]

My claim was stayed after requesting judgement against cahoot for failure to submit a bundle. The blooming waiver's timing was dreadful for me.
I have repeatedly contacted cahoot to ask them to stop adding further interest and charges due to significant financial hardship but they say that the computer generates the charges automatically and they cannot stop it. I am drowning financially, I started a new business this year (part time) and am operating at a loss, I get carers allowance paid into the cahoot account but this is swallowed up in the overdraft....I'm living on credit cards.
How can I make cahoot consider my financial situation and look at the original complaint?

[Gez]

It is abundantly clear that the financial hardship clause was just PR crap from the FSA & OFT to fool the wider world into believing that they care. In reality, neither the banks, the OFT, the FSA or the courts give a toss. Some people have succeeded in getting a stay lifted due to hardship, but unfortunately they are very few.

If I were you, I would firstly open another account for your income to be paid into in order to stop it being swallowed up in charges & interest. Then you can have a go at getting the stay lifted. I'm afraid to say though that the chances are slim with the case so close.

[poppynurse]

I know what you mean
Cahoot say they can't stop the computer generating charges - they won't acknowledge my financial hardship complaint.
The court ignored the financial hardship argument and said they had to uphold the stay as they had been instructed to stay all charges claims
The FSA say they don't consider complaints from individuals
The FSO refer me back to cahoot
I'll try the OFT but I'm not holding my breath.
My MP sympathises but can't do anything

I daren't open a different account - if no money goes into the cahoot account the debt will just get bigger and they'll take action against me - how unfair is that

[poppynurse]

There's a surprise - the OFT don't consider complaints from individuals

[Gez]

Well the debt will accrue from penalty charges which are unenforceable. You will simply be turning the tables on them by not paying the "debt" until the test case is over..

At least if you open another account, you will have access to your income, which is rightfuly yours.

Of course, if you prefer to let cahoot continue to unlawfully take it from you, go ahead.

[gazebo]

Opening another account will also give you more control. They can add unlawful charges to their heart's content but at least you'll be able to manage your finances a little more easily.

[poppynurse]

I spoke to the FSA yesterday (and there was me thinking they were ignoring me). They have told me to inform cahoot that they are breaching section 14 of the banking code by refusing to consider my hardship. If cahoot do not respond I have to make a seperate complaint to the FOS on that basis....email sent to cahoot. Fingers crossed for me x

[iamironman]

Did Cahoot reply to your email?

My entire income was being swallowed by HSBS overdraft - I work full time, and when I was paid I was unable to draw any cash! I was living off credit cards too. I moved to a Cahoot current account (!) which improved things no end. This has got HSBC's attention now and they have started chasing me. I noticed that they have completely stopped applying OD charges now though - at one point they were debting £125/month - and they now owe me more than I owe them. Letter in the post tomorrow...

[davey77]

poppynurse.. you really need to open another account. It isn't right that you are being forced into using credit cards to just survive. Don't worry about the unlawful interest and charges they keep adding.. paying the bills and putting food on the table comes first!
Have you tried the national debt line people? They were very helpful to me (i am on carers allowance as well) and would take a dim view of the actions of Cahoot to date I am sure.

[alecmac18]

Iamironman.....I totally sympathise. And davey77 is right. If your bank is not protecting your assets and you dont have enough money to live on as a result of the charges then you need to stop feeding the beast so to speak. Your first priority is providing for yourself. Get a new account open anywhere but abbey, get your wages transferred into it and then you can fight Abbey - but this time on your terms.

[alecmac18]

It seems that at the moment - the only way to protect yourself from charges is simply to abandon your account and move elsewhere and/or move to cash.

The Financial Hardship clause in the FSA waiver was blatent PR spin. I've certainly heard of no one who has used in successfilly and managed to either stop charges or get any money back.

In light of complete and total regulatory failure over bank charges literally the only thing that anyone can do in the current climate is to give up, let the banks keep applying fantasy charges to your account and prepare for a long battle to clear them.

In the meantime - a parachute bank account and cash is king. I wouldnt trust paying by Direct Debit in the current climate either. If a £30 gas bill can turn into £120 at the drop of a hat I would say its worth it to pay at the post office or over the phone etc.

[davey77]

I sure don't used direct debit when i can get out of it! Don't like the idea generally of people dipping into my account without asking me first!

I did have interest and charges frozen on a couple of credit card accounts though and i wasn't even questioning the charges at the time just getting lots of calls and harassment so complained in the strongest terms and if i remember they froze them as a 'favour' to me. In other words to stop me making an official complaint to everybody i could think of!

Originally a year ago i did ask them to write off the debt due to carers allowance though.. of course that was either ignored or replied with 'we are unable to consider that at this time'.

[poppynurse]

Well the FOS have agreed to look at my claim that Cahoot are ignoring my financial hardship and are beaching the banking code, who knows how long that will take....