Thread: Getting Smile bank account "divi"

I discovered by accident that Smile customers who are Co-op members get a "divi". I was given a number to ring and was told that the Co-op I belonged to was the wrong sort!

Does anyone know how the amount is calculated? because I found an account from the Co-op (cunningly concealed inside a members' magazine) which included an amount from financial services which equates to about 0.1 annual divi on the value of my account.

Incidentally the information about the "wrong" Co-op was out of date as I learned from a man with a brain at Co-op membership. The rules were changed 2 years ago.

Originally Posted by Jazzwoman

I discovered by accident that Smile customers who are Co-op members get a "divi". I was given a number to ring and was told that the Co-op I belonged to was the wrong sort!

Does anyone know how the amount is calculated? because I found an account from the Co-op (cunningly concealed inside a members' magazine) which included an amount from financial services which equates to about 0.1 annual divi on the value of my account.

Incidentally the information about the "wrong" Co-op was out of date as I learned from a man with a brain at Co-op membership. The rules were changed 2 years ago.

The only Divis you find there are the people who work there.

I have had a serious problem with the Co-operative Bank, extremely excessive charges and persistent referrrals to a Debt collection agency (Moorcroft). When I opened my account, I had a good credit reference (which had taken many years to get up to scratch) and was given a Cheque Book account and debit card. Three weeks after opening the account, I was in need of extending my overdraft, which was initially set at £250, as it was coming up to Christmas. I telephoned Co-Op customer service and after a short conversation, was told I was 'entitled' to an O/D of £600.00. I was on a fixed-term full-time contract which was coming to an end in April 2007 and being replaced with a p/t contract.

Trying to be responsible and forward-planning, I telephoned the bank one month before my full-time work contract came to an end and the part-time one started, telling them my income was about to be more than halved and enquired if I could have an £800 overdraft limit, on a 'reducing' basis, until I could get back on my feet and pick up some additional work. I was met with point-blank refusal and told that I had to have my account for "at least 6 months" before they could 'consider' an extended overdraft and that 'a reducing overdraft was out of the question'. The fact that they had increased my initial overdraft to £600 after my account had only be open for 3 weeks was apparentlly 'irrelevant'!!

Within a month of my income dropping, I started to get into serious financial difficulties, exacerbated by the fact that my partner was taken seriously ill and hospitalised 70 miles away for nearly 4 months and was unable to work. I had no access to his sick pay as we did not have a joint account. Then the charges started - £35.00 and £37.50 plus interest, at a time, taking my account over £800 in the red in a very short space of time. Initially I was lucky in that they agreed to refund £400 as a 'goodwill gesture' however, they continued to charge me, refused to acknowledge my serious hardship and in a short space of time, my account was over £600 in the red again. I decided to try and get my bank charges back, but by then, the Co-op and many other banks were refusing to deal with refunds until the outcome of the Court Case. They then sent me letters demanding that I 'return all my card and cheque book' and without warning, completely removed my overdraft facility, leaving my in a completely untenable situation. (my wages by then were just over £600 per month and had I not got worried and changed my bank details with my work payroll, my entire wage packet for one month would have been swallowed up by the overdraft that no longer existed - except as a debt on my account). Then they decided I had defaulted and sent me a letter stating I was no longer a customer - a letter I was charged £65 for!

I wrote detailed letters of complaint and had a current claim for unfair charges..... they even admitted liability saying in my circumstances I should have been offered a 'reducing' overdraft. However, the complaint came to a stalemate and with the trauma of my partner's illness, I had no stomach for going any further. They have since sent me a standard letter saying they are not going to refund the charges as the Court had decided that the Banks charges were "fair and lawful".

The account now stands at over £900 and I have been pursued (by letter only) by Moorcroft. About 2 months ago they offered me a Full and final of £700. But I ignored this as as far as I was concerned, Co-op had already admitted liability and should have cancelled all charges. I have been out of work and have multiple debt collectors pursuing me and am currently only able to find p/t work.

Does anyone have any advice on how to proceed? Do I offer a Full and Final to Moorcroft (around £200) or do I make a full complaint to the Ombudsman?

I have had a serious problem with the Co-operative Bank since 2007, with excessive charges and persistent referrrals to a Debt collection agency (Moorcroft). When I opened my account, I had a good credit reference (which had taken many years to get up to scratch) and was given a Cheque Book account and debit card. Three weeks after opening the account, I was in need of extending my overdraft, which was initially set at £250, as it was coming up to Christmas. I telephoned Co-Op customer service and after a short conversation, was told I was 'entitled' to an O/D of £600.00. I was on a fixed-term full-time contract which was coming to an end in April 2007 and being replaced with a p/t contract.

Trying to be responsible and forward-planning, I telephoned the bank one month before my full-time work contract came to an end and the part-time one started, telling them my income was about to be more than halved and enquired if I could have an £800 overdraft limit, on a 'reducing' basis, until I could get back on my feet and pick up some additional work. I was met with point-blank refusal and told that I had to have my account for "at least 6 months" before they could 'consider' an extended overdraft and that 'a reducing overdraft was out of the question'. The fact that they had increased my initial overdraft to £600 after my account had only be open for 3 weeks was apparentlly 'irrelevant'!!

Within a month of my income dropping, I started to get into serious financial difficulties, exacerbated by the fact that my partner was taken seriously ill and hospitalised 70 miles away for nearly 4 months and was unable to work. I had no access to his sick pay as we did not have a joint account. Then the charges started - £35.00 and £37.50 plus interest, at a time, taking my account over £800 in the red in a very short space of time. Initially I was lucky in that they agreed to refund £400 as a 'goodwill gesture' however, they continued to charge me, refused to acknowledge my serious hardship and in a short space of time, my account was over £600 in the red again. I decided to try and get my bank charges back, but by then, the Co-op and many other banks were refusing to deal with refunds until the outcome of the Court Case. They then sent me letters demanding that I 'return all my card and cheque book' and without warning, completely removed my overdraft facility, leaving my in a completely untenable situation. (my wages by then were just over £600 per month and had I not got worried and changed my bank details with my work payroll, my entire wage packet for one month would have been swallowed up by the overdraft that no longer existed - except as a debt on my account). Then they decided I had defaulted and sent me a letter stating I was no longer a customer - a letter I was charged £65 for!

I wrote detailed letters of complaint and had a current claim for unfair charges..... they even admitted liability saying in my circumstances I should have been offered a 'reducing' overdraft. However, the complaint came to a stalemate and with the trauma of my partner's illness, I had no stomach for going any further. They have since sent me a standard letter saying they are not going to refund the charges as the Court had decided that the Banks charges were "fair and lawful".

The account now stands at over £900 and I have been pursued (by letter only) by Moorcroft. About 2 months ago they offered me a Full and final of £700. But I ignored this as as far as I was concerned, Co-op had already admitted liability and should have cancelled all charges. I have been out of work and have multiple debt collectors pursuing me and am currently only able to find p/t work.

Does anyone have any advice on how to proceed? Do I offer a Full and Final to Moorcroft (around £200) or do I make a full complaint to the Ombudsman?