Thread: if they close account??

Hi Jacky

There is a chanve they will try to close your account, however they can not do this while you are in the process of claiming money back from them as the amount owed is in dispute.

Found this (below) in this thread http://www.consumeractiongroup.co.uk...ccount+closure

The Office of Fair Trading (OFT) has ruled against retaliatory action so I don't see any problem with stating in correspondence with the bank that you are aware of this.

You may wish to say that you will be observing and recording any signs of retaliatory action over the resolution period and immediately following. The implication being that it could ultimately be raised in court or could be notified to another official body (OFT, etc.) should need arise.

You'll still need a parachute account, but this shows you know your rights and that technically you should be protected.


If they were to demand money back after the casae is resolved they would need to give 30 days notice

hope this helps
skb

Generally Lloyds aren't closing accounts

Originally Posted by jacky21130

Hi, currently banking with Lloyds. About £1000 od with them. If I try claim back recent charges amounting to approx £500, if I do win and they want to close account what would the situation be on what I owe? I do already have another bank account open so thats not a problem, but just wanted to check they cant demand large sums off me which I couldnt afford to pay!
Thanks
Jacky

The amount that they will pay you back would go against your overdraft. If they retailiate by trying to close your account (a clear violation of the Banking Code), you would still have to pay back the remaining overdraft (they would probably have to give you 28 days notice). As your account is in dispute, they will not be able to pass on your debt to a debt collection agency until the dispute is resolved.

In practice though, it doesn't seem like the banks are closing many accounts. If you can afford the repayments, you could always get a small loan of £500 to clear the overdraft, if the worst came to the worst.