Why let your bank keep your money? Calculating your charges claim

[BankFodder]

Originally Posted by brown1950

To claim back interest paid on £679.98 from Dec1996 - 1st June 2009 =


8% (Statutory) = £1356.31
32.60%(APR) = £38,400.24

Will claim for the higher amount !

I think that you may have misunderstood what is being said here.

If you have merely applied the interest rate to your charges, then this is contractual interest and I don't expect for a moment that you will be able to claim the figure you have mentioned.

[landy_alert]

Originally Posted by BankFodder

I think that you may have misunderstood what is being said here.

If you have merely applied the interest rate to your charges, then this is contractual interest and I don't expect for a moment that you will be able to claim the figure you have mentioned.

Gosh, I thought the £30,000+ we are claiming was bad!

[Notty]

My original claim for charges was 2000-2006. When I start the new claim can I only claim 2003-2009 interest? Also will anything be different on the poc as I will be claiming interest from the old claim as well as a new claim?

[BankFodder]

Originally Posted by Notty

My original claim for charges was 2000-2006. When I start the new claim can I only claim 2003-2009 interest? Also will anything be different on the poc as I will be claiming interest from the old claim as well as a new claim?

I don't altogether understand what you are asking. however, ther is a goo basis for claiming all the way back to 1995.

The POC should be straightforward

You simply claim for the return of charges and interest payments levied by the bank on those charges which are unfair inthe UTCCR as per attached schedule.

You then make sure that your schedule shows the amounts which were taken from you and the date they were taken.

Your schedule should also include 8% statutory interest and show that the 8% has been correctly applied to the charges and interest as they have been taken from you since the year 2000 or whenever you are claiming from.

Make sure that all of the figures check out and that if the bank does decide to defend, you can point to any one of the sums on your schedule and refer the judge to your statements or other account info which you have received from the bank

[brown1950]

Originally Posted by BankFodder

I think that you may have misunderstood what is being said here.

If you have merely applied the interest rate to your charges, then this is contractual interest and I don't expect for a moment that you will be able to claim the figure you have mentioned.

This refers to interest of £679.98 on a 'consolidated loan' taken out in 1996. I will ask for 32.60% but expect settlement at 8%.

[Notty]

Sorry Bankfodder. Confusing myself here too. What I meant was can I issue the new claim for new charges plus interest from 2000 to 2009? I thought you could only claim back 6 years.

[BankFodder]

This refers to interest of £679.98 on a 'consolidated loan' taken out in 1996. I will ask for 32.60% but expect settlement at 8%.

But on what basis are you asking for this high rate of interest?

You will undermine yourself if you ask for unrealistic remedies which have no hope of success.

[BankFodder]

Originally Posted by Notty

Sorry Bankfodder. Confusing myself here too. What I meant was can I issue the new claim for new charges plus interest from 2000 to 2009? I thought you could only claim back 6 years.

Claim back to 1995. Let them challenge your cliam on the basis of limitation. We will be able to provide you with arguments to support a clam back to 1995

[lexis200]

Originally Posted by BankFodder

Claim back to 1995. Let them challenge your cliam on the basis of limitation. We will be able to provide you with arguments to support a clam back to 1995

Is this possible to do for cc charges as well, or are we strictly on bank charges with this length of time and cc ones would be at the 6 year mark?

[BankFodder]

I would say that claiming back to 1995 on bank charge is a 95% certainty.

CC charges - maybe 65%

I would say that it would be very well worth making the claim. You can always amend later

[GuidoT]

As a general rule claim back for the period that you have statements for. Do not worry about the supposed 6 year limitation period for now.

The banks like to say that you cannot claim back pre 6 years as obviously it suits them and people believe this common misconception.

The bank said that there charges are fair too! Who now believes that nonsense? Even the banks must not, given that they are delaying (and trying to prevent) the OFT from investigating whether the charges are fair.

[Valhalla]

Hi and thank you for a very interesting thread which gives hope of evening things up with banks who seem to be at the very least , greedy

I'd be very grateful if you could help me clarify the difference between interest and charges as it applies to my case.

I have a business bank account that went O/D to the tune of £9.13 on 20th Jan this year. By the end of that month the account was back in credit of £3.74 but then there was a debit for bank activity charges of £53.13 ( fair enough I guess, this was for cheques, payments in and out etc etc). The result was that the account was then £49.39 O/D again.

Since that date, since there was no formal agreement the bank, HSBC has been charging £8 per day for the O/D. This is not interest ,it's a charge - and what I would call a penalty charge that is not in any way commensurate with any service they have provided.

I got the bank to stop the £8 day charges for a while but they have now reinstated them.
To make matters worse I have had very poor trading for the past few months with no money going in or out of the account which the bank doesn't like. I am reluctant to pay any money into the account however because it would all be gobbled up by the charges which since Feb total £352 - almost the entire amount that is now O/D

In this same period the actual debit interest has been only £8.90

So, the debit interest is very reasonable but the O/D charge is exhorbitant.
I calculate that I only actually borrowed ( i.e. genuine O/D excluding any charges) some £25

I've written to HSBC asking them to look at this - no reply yet - but their callers which are more and more frequent because the account is inactive, say that the £8/day is in the T & C I agreed to when opening the account, so tough, it's too late to complain now.

Can you give any comment please? Am I right to contest this levbel of charge and what in reality can I do about it?

Thanks

Valhalla

[lexis200]

Thanks

[BankFodder]

Valhalla - this is a business account and may not be subject to repayment of charges. The position is unlcear but it seems unlikley at the moment

[Ibsys]

I have "unauthorised borrowing fees and interest (26.4%)" for most of 2008/2009 and all payments out of the bank have been authorised by the bank manager. How can things be authorised by the manager then written down on the statement as "unauthorised". This has caused rejections from other banks when trying to open a new business account. I have calculated the amounts due for refund and time costs and interest at 8% above base rate. This is a different % rate as it is "Late payment of commercial debts (Interest) Act.

[landy_alert]

Originally Posted by landy_alert

Gosh, I thought the £30,000+ we are claiming was bad!

Sorry, I just want to make it clear that the £30,000 WE are reclaiming from Lloyds TSB is not a figure made up of contractual interest - it's about £26,000 before any interest is added. However, this is the TOTAL we are reclaiming - bank charges (including o/d interest) and mis-sold PPI.

Regards,

Landy x

[brown1950]

Originally Posted by BankFodder

But on what basis are you asking for this high rate of interest?

You will undermine yourself if you ask for unrealistic remedies which have no hope of success.

'Tongue -in-cheek '- letter for higher rate - Court claim will be lower amount. As NastyWest have ignored by earlier letters perhaps the final letter showing the higher amount will bring a reply !

[Valhalla]

Originally Posted by BankFodder

Valhalla - this is a business account and may not be subject to repayment of charges. The position is unlcear but it seems unlikley at the moment

Hi BankFodder and thanks for your comment even though it's not encouraging

I'm having trouble getting my head round the following concept - any comments? If this needs to be in a different thread please let me know

The bank overdraft charges total £352 out of a total o/d amount of £363
The account hasn't been used by me for several weeks now, so the £352 that the bank has "loaned" hasn't been used by me in the sense that I have spent it. I haven't had any benefit at all from any money that the bank has "advanced" to me. In fact no money was advanced because it's all negative amounts.

If I haven't used any of the bank's money, what is there to pay back?
If I haven't had any benefit, what do I owe them?

The only thing that has happended is that the bank has entered a figure in the debit column of the account, which they could just as easily remove. Their situation would revert back to exactly what it was before.

Baffled
Valhalla

[ohoh4312]

Hi all - sorry but I have had internet probs so not been able to get on here since yesterday.

Anyway, I have now prepared a working copy of the spreadie, and it would be good if some of you used to input your data, and came back to me with any problems. There is one issue I have identified, but I have yet to come up with a workable solution, so it is still very much a work in progress.

Notes:
1. I have prepared 10 pages, but if you need more (!) you can just copy the entire page down and the formulas will reset to the destination cells.

2. Make sure when you are doing the early interest charges that you enter the figure into the appropriate cell in Column H, otherwise you will overwrite the formula. Obviously once you have hit the point where the total charges are equal to/greater than the overdraft limit, then you can enter the figure in Column B as normal.

3. Your overdraft figure must go into Cell H7 (highlighted) in order for all the formulas to calculate correctly. Don't forget that this is your agreed overdraft limit, NOT how much you are overdrawn by.

4. The days elapsed will automatically change once you enter the relevant date - either dd/mm/yy or dd/mm/yyyy will work.

5. Overwrite the descriptions in Column A as necessary - once you put in the first couple of letters the description will automatically fill for you.

Sorry if I am teaching some of you to suck eggs, as they say, but lots of people are not conversant with spreadsheets, so I have to try and make it as clear and user-friendly as possible.

I look forward to your feedback - positive AND negative!

xx

[AA99]

OOOOoooh, thank you, will play with it tomorrow and report back!