Cahoot - £450 charges on £250 overdraft!

[joannepsi]

Hello,

I opened a Cahoot account about 4 years ago when I was working in the UK (I am Irish). I left my job and moved back to Ireland, and got a call from Cahoot over a year ago asking me to pay some money into my account, which I did.

I had lost my Cahoot login details and to be honest it wasn't my number one priority to pay the overdraft off ASAP as I knew I was under the £250 OD limit.

However, it would appear a charge was placed on my account shortly after the last payment I made, which made me go over my authorized OD limit.

A month ago I was in the process of moving back to the UK and I rang Cahoot to get a replacement debit card. Imagine my horror to hear the automated system tell me I was £700 overdrawn!!!

I spoke to a customer service agent who, when I asked why they didn't contact me said "Well we sent you emails but they bounced saying undeliverable". I asked when they were going to bother to pick up the phone or write a letter? Exactly how much would the debt have to accumulate to before Cahoot would think hmm, perhaps we should try to contact this customer, especially as she hasn't logged into her online banking in about 3 years?

The lady said she could only apologise and that a letter SHOULD have been sent to me! She also said she would freeze the charges so the balance would stop increasing - but that was a lie as charges were applied again a few weeks ago.

I wrote a letter of complaint to Cahoot asking that they write off these charges (around £35 per month I worked it out as), and included £250 cheque to clear what I consider to be the overdraft.

I got a letter back saying they would not be writing off any of the charges.

Where do I stand? I have since paid a further £200 just to stop the charges accumulating, it is pure extortion.

	Are you letting your bank keep your money Are you giving away thousands of pounds?? Many people aren't claiming all of the money they are entitled to when they make their bank charges claims. You have been forced to pay unfair bank charges. Have you forgotten that your bank has charged you inteest on those charges? If you are overdrawn and the bank owes you charges - then your overdraft is made up of charges - money which you bank owes you. Yet you are paying interest to the bank - on your own money!!! Follow this link to see the discussions on this. You might even double th size of your claim.

[flyingdoc]

You need to start a reclaim process to get these charges back.

Submit a subject access request to get details of all the charges and then once you know how much they have charged you - put in a claim to have them refunded.

They will say that the complaint cannot be handled until the main case against the OFT is settled but it will at least start the ball rolling.

In the meantime I would open a bank account elsewhere.

	Subject Access Request A Subject Access Request is a demand which you can make to any organisation to disclose any personal information which they hold on you. The right to disclosure of data is provided by the Data Protection Act. There is no time limit. The organisation is obliged to reveal everything they have about you - which you ask for - as far back as you ask for. There are very few exceptions. It does not matter whether the data is held on microfiche, in an archive, on tape, in a cardex system, in sound recordings or in screen notes. Some companies are saying that they do not have to disclose where it would be difficult to do so - "disproportionate effort". This is untrue. Disproportionate effort refers to something else under the Act. If you are seeking bank charges information then you should ask for "all data held on you" and you should make it clear that you want everything as far back as it goes. Do not be put off by excuses. Do not accept being fobbed off. It is not in your bank's interest to make full disclosure to you. This means that it is in your interests to get it. If you have not started gathering your bank charges information yet, then you should start now. There will soon be a big rush once the OFT test case has been settled. Get all of your bank account informtion as far back as possible. At least as far back as 1995. If your bank says that they don't keep data as far back as this, don't accept it. Be persistent. They've got what you need in some form or other.

[joannepsi]

Thanks for the advice, I will do that tomorrow. Have since opened an account with HBOS.

What are my chances of getting these charges refunded? I'd like to think any court would find in my favour when these fools didn't bother to send me a letter - they were well able to write to my OLD ADDRESS last month in reply to the letter I sent them, despite the fact I insisted they email or phone me.

[flyingdoc]

It will, in all probability hinge on the test case between the banks and the OFT currently going through the courts. Keep an eye on the forums for updates.

	Bank Charges You should have started your claim for your bank charges by now. Don't wait. You should send your bank a Subject Acess Request asking for all personal data they hold on you - not just statements. You should calculate all of your bank charges and related interest as far back as 1995. You should send your bank a demand for a refund giving them 7 days. You should commence your legal action adding 8% statutory interest. If you wait for the outcome of the test case, you may not be able to claim like this. you may not be able to claim interest. You may only be offered the difference between the charge and the OFT "fair charge". The repayment scheme will try to limit you to refinds from 2001 only. A repayment scheme will not deal with any bank charges related defaults on the credit register whereas in a court action you can ask for these to be removed and to be compensated for the damage caused to you and your family by them. You should also write to the bank and to the CRA and put all charges related credit entries in disupte and warn them that you will want them removed from the Register when the test case is over. Warn them also that you are likely to be seeking compensation for these wrongful data entries. Full and final settlement Have you previously accepted a partial repayment of your bank charges in full settlement? You will still be able to claim the rest of your money back after the Test case is decided. Get all your information back to 1995 and put in your claim now.

[Fred Bassett]

If you think that's bad, read this: Financial Advice UK - Bank accounts News - Lloyds Bank Hits Student With £800 Charges For 8p Overdraft!

Fred