Can I claim overdraft interest?

[repro]

All the time I had my NatWest account I was overdrawn at 9% interest, when I submit my claim can I claim for the 9% interest as well as the 8% court fee?

[hedgey06]

Hi repro, have a look through some other threads and you'll find an explananation on this. From what I remember reading, you can't claim your normal interest charge on your overdraft - that's a legitimate charge that they apply when you have an overdraft. However, if you go 'over' your overdraft, you can reclaim a portion of the additional overdraft interest. Not sure how this is worked out - seems really complicated, but have a good look through the threads on here for full answers.

[Parkvale]

repro,
Have a look at this, might help you understand.Why is no one claiming the contractual rate of interest??? I am claiming for my authorised overdraft interest. As i was always in my overdraft during the claim period ( 5.75% above base ). Also claiming s69 couty court interest @ 8%. You can only claim this when you start court proceedings.

[maxey]

I have read the thread you suggested and I am really confused. What can I claim, as some of my overdrafts were authorised and some not. Also, I don't really understand what contractual interest is. Sorry to be a bit thick!

[Parkvale]

maxey,
You are not thick at all . The interest part of any claim is quite complicated and needs to be spot on . Otherwise they will pick holes in it and it could jeopordise your claim.
This is a good link;What can you claim?. This next extract from a settled case might help you understand Contractual interest
Implied and/or imposed contractual term regarding interest
Defendant charges interest to the Claimant, via the Account, at its published “unarranged overdraft rate” of 29.84%. The Defendant claims that it is entitled to charge this rate, by virtue of the Terms & Conditions.
. The unarranged overdraft rate is charged to the Claimant, via the Account, when the Claimant draws money from the Account whilst she hasn obtained permission from the Defendant for exceeding any overdraft limit that she has. It is in effect, a rate that the Defendant charges the Claimant when she draws funds from the Defendant when she has no right for doing so.
Using, that reasoning and maintaining the principal of equity, mutuality and reciprocity between the parties, the Claimant contends that she is entitled to an equal rate of interest in this case. The Claimant notes in particular that the Defendant erred in law. had no legal right to levy the charges to the Account and refused to refund the Charges when asked to do so by the Claimant.
If the Terms and Conditions form part of contract between the parties hereto then there is an implied and/or imposed term of contract that the Defendant must pay the Claimant at the same rate of interest which it reserves for itself, in similar circumstances. If no express contract exists between the parties hereto then the Claimant contends that an implied and/or imposed contract exists between the parties hereto relating solely to the Claimant’s right to charge interest to the Defendant at the rate which it reserves for itself in relation to similar circumstances
I hope ihave not confused you even more.

[maxey]

Thank you Parkvale! I shall read and try to absorb!

[Parkvale]

maxey,
At the moment Nat West are trying to set people up by refusing to pay interest on any early settlements. Making it that if the case proceeds to court you will be left only with the interest part of the claim. Which a judge might not look to favourably on. This has yet to be tested in a court . If they have charged you interest on your penalty charges you are entitled to claim it.