Lloyds TSB - Fuming, Hopping Mad - Enforcement Notice

[Pandora_nini]

Hi, if any one has some time to read this long post, I could really do with some help with Lloyds. I received the following letter from them today:

 

ENFORCEMENT NOTICE: Served Under Section 76(1) of the Consumer Credit Act 1974

 

Cheq Acc No: xxxxxxxx (actually a budget account, not current a/c)

Cheque Account Balalnce -£900 (all made up of excessive charges)

Unauthorised Overdrawn Amount: £120

 

The terms of above Overdraft Agreement (I haven't actually asked for this, they just gave it to me as their charges were adding up), include the rights of the Bank, at any time to terminate the Agreement and to demand immediate repayment of the overdrawn amount.

 

We hereby give you formal notice of our intention to terminate the Agreement on 13th July 2007 and to demand payment of £120.00 plus interest, which is accuring daily.

 

The amount payable is based on the balance at todays date plus accrued interest and charges. The balance will need to be adjusted to allow for any further debits or credits to the account. In the meantime your right to withdraw is suspended, you should not write any more cheques, and no other payments out of the account (standing orders, direct debits, etc) will be made.

 

If you are unable to make this payment you may be able to avoid further action by telephoning us now on 0870_2424760 to discuss repayment proposals.

 

IF YOU HAVE DIFFICULTY IN PAYING ANY SUM OWING UNDER THE AGREEMENT, OR TAKING ANY OTHER ACTION REQUIRED BY THIS NOTICE, YOU CAN APPLY TO THE COURT WHICH MAY MAKE AN ORDER ALLOWING YOU (OR ANY SURETY) MORE TIME.

 

IF YOU ARE NOT SURE WHAT TO DO, YOU SHOULD GET HELP AS SOON AS POSSIBLE, FOR EXAMPLE, YOU SHOULD CONTACT A SOLICITOR, YOUR LOCAL TRADING STANDARDS DEPARTMENT OR YOUR NEAREST CIITIZENS ADVICE BUREAU.

 

Date this day 4th July 2007

 

I have recently requested all my statements through their online service for both my current account and budget account, and have received these. (Current a/c = £350 o/d limit, at present £250 overdrawn so within limit, with child benefit going in every month and only cost going out being their £15.00 monthly charge, and my budget account - I used to use this for all my dd's, SO's etc, and didn't mind the £2.00 a month charge as it really did help to control finances, etc). Anyway, at the beginning of last year they bounced a couple of direct debits and standing orders (mainly because they were going through on a Sunday night, not the actual date which which should have been Monday, and the money I was transferring across didin't show up until the Monday morning !! Challenged them about it, refused to refund any charges (and we're talking about £35.00 charges here, which escalated upto £70 per charge). Due to baby arrival funds were tight, and it basically snowballed into an unholy mess. Cutting a long story short - moved all my dd's and standing orders to my offset mortgage account, and only cost going out of this budget account was the £2.00 charge - charges have now escalated to nearly £1000.

 

I have been meaning to start the process of claiming these charges back from Lloyds (current estimate is £3-£4 k in total over the last 6 years), but due to issues with MBNA, my dad recently passing away, etc, I have just not had the time.

 

I would be very grateful if someone could please give me some help in terms of how I respond to this letter, and what I should do. Should I pay the £120 now to get them off my back and immediately start a claim (to be honest, they have now lit a fire under me, and I am going to get this underway this week).

 

What makes me maddest of all is that my dad's account is with them, I am the sole beneficiary, and I am in contact with Lloyds regularly re probate, etc being the executor of the estate. They know all this, and how difficult the situation has been for me over the last year.

 

Just for info, I wrote to Lloyds late last year, asking them to refund charges as they were charging for my account going further overdrawn because of their charges!! I thought I would be nice about it and plead with them to do the decent thing. They obviously wrote back telling me to sod off.

 

Be very grateful for some guidance/advice etc, and sorry for the long winded, slightly garbled post - I am hopping mad with them.

 

Thanks

[Pandora_nini]

Having calmed down ever so slightly, my thoughts on it were:

 

Pay them the £120 to get them off my back

Send in letter re charges and claiming them back, etc (ncluding the £120)

 

What I really do not want is a referral to the CRAs, particularly as the account balance is made up of charges.

 

My current account has an automatic overdraft limit of £250 with the type of account it is. Can they demand this back?

 

My biggest concern, and it has been one of the factors in me not attending to this before, is that between the two accounts I am over £1100 overdrawn and couldn't pay this back to them if they demanded it once I've started action against them - and I really do not need another default against me.

[passivenomore]

Hi Pandora...

 

Just to clarify, your account is currently £900 in debit and therefore £120 over your agreed overdraft limit (presumably £780??). Is this correct?

 

If so and you can afford the £120 (& maybe an extra £10-20 on top), then pay the money into the account at the earliest opportunity. This will ensure you will not get hit with any more penalty charges.

 

Put together a schedule of charges and hit them with a preliminary letter asking for the illegal charges back!!

[Kazzie]

Or you could start your claim straight away and then send them a letter telling them that the account is in dispute and that they must refrain from any further action until the dispute is resolved.

See post 50 of this thread for a letter template (If you use it make sure you list all your account numbers and adjust the wording to suit your circumstances).

 

http://www.consumeractiongroup.co.uk/forum/lloyds-bank/40840-mooshy-lloyds-tsb-3.html?highlight=Dispute#post590925

 

They'll probably pay your refund (when you win:D ) into your account which will obviously automatically go towards paying off your overdraft, but if you owe them approx £12,000? and they owe you between 3 and 4 thousand, that shouldn't be too much of a problem

 

If you say you never requested or signed an agreement concerning the overdraft then i would also send them a CCA request ( i think this covers an overdraft but i'm not entirely sure, could someone please confirm?)

 

Good Luck

[Pandora_nini]

Or you could start your claim straight away and then send them a letter telling them that the account is in dispute and that they must refrain from any further action until the dispute is resolved.

See post 50 of this thread for a letter template (If you use it make sure you list all your account numbers and adjust the wording to suit your circumstances).

 

http://www.consumeractiongroup.co.uk/forum/lloyds-bank/40840-mooshy-lloyds-tsb-3.html?highlight=Dispute#post590925

 

They'll probably pay your refund (when you win:D ) into your account which will obviously automatically go towards paying off your overdraft, but if you owe them approx £12,000? and they owe you between 3 and 4 thousand, that shouldn't be too much of a problem

 

If you say you never requested or signed an agreement concerning the overdraft then i would also send them a CCA request ( i think this covers an overdraft but i'm not entirely sure, could someone please confirm?)

 

Good Luck

 

Hi, thanks for this - no, owe them £1100-£1200 (most of which is charges). LLoyds, I think, put the overdraft in place to stop more charges be added on, but not enough to cover the £2.00 a month charge, or the interest which is about £19.00 a month. Am starting my claim right now

Thanks for the link for that letter.

 

Passivenomore has suggested that if I can afford to, I put the money into the account asap which, I guess would stop the enforcement notice. At least this way it would be a much tidier issue to deal with. I will of course claim the £120 back.

 

Thank you both for your prompt replies.

 

Off to find my spreadsheet, statements and calculator!

[Pandora_nini]

Hi Pandora...

 

Just to clarify, your account is currently £900 in debit and therefore £120 over your agreed overdraft limit (presumably £780??). Is this correct?

 

If so and you can afford the £120 (& maybe an extra £10-20 on top), then pay the money into the account at the earliest opportunity. This will ensure you will not get hit with any more penalty charges.

 

Put together a schedule of charges and hit them with a preliminary letter asking for the illegal charges back!!

 

Hi, yes overdraft is approx £780, and the £120 is over this - I have to say though that this entire amount is made up of interest and charges!!

[passivenomore]

That's cleared that up Pandora!!!

 

Did you find the spreadsheets/ You'll find them here:

 

http://www.consumeractiongroup.co.uk/forum/bank-templates-library/182-6-interest-calculation-spreadsheets.html

 

There is a bonus, as you won't need to spend hours looking for your calculator with these!!!!

[GaryH]

Also have a read of this thread -

 

http://www.consumeractiongroup.co.uk/forum/lloyds-bank/29826-help-enforcement-notice.html

 

I've got copies of Sweetpants' apology letters, in which Lloyds admitted that no enforcement action should be taken whilst the account is in dispute - if you think they'll be useful send me a PM with your e-mail address.

 

You need to send your prelim off ASAP.

[Pandora_nini]

Also have a read of this thread -

 

http://www.consumeractiongroup.co.uk/forum/lloyds-bank/29826-help-enforcement-notice.html

 

I've got copies of Sweetpants' apology letters, in which Lloyds admitted that no enforcement action should be taken whilst the account is in dispute - if you think they'll be useful send me a PM with your e-mail address.

 

You need to send your prelim off ASAP.

 

Thanks GaryH - will PM you in a minute. I did have a quick read of Sweetpant's thread this afternoon, but will go over it again for help.

 

Thanks again.

 

Just a quick question, from everything I have read on here, I gather Lloyds are extremely difficult to deal with - is it normal practice for them to start demanding repayment of any overdrafts held with them? Just need to be prepared!

 

Thanks

[Pandora_nini]

That's cleared that up Pandora!!!

 

Did you find the spreadsheets/ You'll find them here:

 

http://www.consumeractiongroup.co.uk/forum/bank-templates-library/182-6-interest-calculation-spreadsheets.html

 

There is a bonus, as you won't need to spend hours looking for your calculator with these!!!!

 

 

Thank you!! Currently can't see my living room floor for Lloyds statements, so just as well I don't need the calculator!

[Pandora_nini]

Thanks GaryH - will PM you in a minute. I did have a quick read of Sweetpant's thread this afternoon, but will go over it again for help.

 

Thanks again.

 

Just a quick question, from everything I have read on here, I gather Lloyds are extremely difficult to deal with - is it normal practice for them to start demanding repayment of any overdrafts held with them? Just need to be prepared!

 

Thanks

 

Hi, does anyone know if Lloyds will demand repayment of my overdrafts with when I start my claim (hope to get this off to them tomorrow).

 

Decided to pay in some money to bring my account just under the overdraft limit to stop the enforcement notice - galling as this is just to cover their charges!

[passivenomore]

Hi Pandora...

 

I have an overdraft facility on one of my LTSB A/Cs. I'm holding back action on this one for the time being (until my personal A/C claim has been settled!!). They are well aware that action will be coming, but have not indicated they have any intention of withdrawing the O/D facility.

 

You may want to "bump" this a few times to see if anyone else has seen thier O/D withdrawn.

 

[Pandora_nini]

Hi Pandora...

 

I have an overdraft facility on one of my LTSB A/Cs. I'm holding back action on this one for the time being (until my personal A/C claim has been settled!!). They are well aware that action will be coming, but have not indicated they have any intention of withdrawing the O/D facility.

 

You may want to "bump" this a few times to see if anyone else has seen thier O/D withdrawn.

 

 

Thanks Passive, I must admit, it really does worry me that they might shove another Enforcement notice my way for the remainder of the overdraft - can't afford to pay any more out, things are tight enough right now.

 

I guess though, if I send my prelim letter and charges, this throws the account into dispute and they then cannot do anything about it - not sure if I am right or not?

 

I have just spent tonight totalling up charges on just one account - £1,983.29, plus 8% interest still have another account to do, and think it's at least this much - frightening how quickly these charges get you into debt

[nicsussex]

I have just spent tonight totalling up charges on just one account - £1,983.29, plus 8% interest

 

Remember that the 8% statutory interest can only be claimed once you have started a court claim against them ( which you almost certainly will have to do!). Get your prelim off asap and yes the account will then be in dispute.

[Pandora_nini]

Remember that the 8% statutory interest can only be claimed once you have started a court claim against them ( which you almost certainly will have to do!). Get your prelim off asap and yes the account will then be in dispute.

 

 

Thanks - I should be able to get my prelim letter off to them this week - have one more account to total up and then double check it all, so hope to get it posted by Friday at the latest.

 

Have paid in just enough money for it to not go over the limit again....

[Pandora_nini]

Hi, can anyone give me some advise if you have time:

 

I paid in £150.00 into my account on Monday (received Enforcement on Saturday)

Checked my account on Tuesday, £46.00 added in interest and overdraft charge (and was not advised that these charges would be added)

So over the overdraft limit again by £24.00. Transferred another £30 on 10th.

 

I fully intend to reclaim all my charges from Lloyds - should be able to get these posted by Friday, however, Enforcement notice gave me until Friday 13th to reduce the amount which I have done. Still ringing me though .

 

I have drafted a letter which I will take to work tomorrow and fax off (thanks to the postal strike tomorrow night), I would just like someone else's view on this please:

 

I want to put it in writing to Lloyds that I have complied with the Enforcement Notice, reduced account, do not expect to be hit with more charges as they didn't advise me that they were applying yet more charges on 10th July, and that as I have fully complied that all further action has stopped. I will fax this and send it recorded delivery.

 

I am sure that once my prelim letter arrives they will try it on again, and will then send them the Account in Dispute letter, Data Protection Letter, etc, but really want them to acknowledge and confirm that they will not take any further action from the current enforcement notice ... I can't send the Account in Dispute letter to them until I have sent the prelim I assume. Don't want to give them the heads up on what I will be doing, or give them the opportunity to send me another Endorcement letter before getting my prelim letter in!!

 

If anyone has any views on this, or advice, it would be very much appreciated - I'll check the thread tomorrow before sending this letter.

 

Many thanks for all the tremendous support - I would have caved in by now with CAG!!

[Pandora_nini]

Many thanks for all the tremendous support - I would have caved in by now with CAG!!

 

Doh, should read I would have caved in by now WITHOUT CAG!! It's late, I'm stressed......

[McIavelli]

Keep your chin up & have a read through this thread

http://www.consumeractiongroup.co.uk/forum/lloyds-bank/41729-pen-lloyds-tsb-very.html

 

Pen is an inspiration to us all as is the fantastic support she received from GaryH & Elsinore

 

Just shout when you need help, thats what we're all here for.

[Pandora_nini]

Hi, can anyone give me some advise if you have time:

 

I paid in £150.00 into my account on Monday (received Enforcement on Saturday)

Checked my account on Tuesday, £46.00 added in interest and overdraft charge (and was not advised that these charges would be added)

So over the overdraft limit again by £24.00. Transferred another £30 on 10th.

 

I fully intend to reclaim all my charges from Lloyds - should be able to get these posted by Friday, however, Enforcement notice gave me until Friday 13th to reduce the amount which I have done. Still ringing me though .

 

I have drafted a letter which I will take to work tomorrow and fax off (thanks to the postal strike tomorrow night), I would just like someone else's view on this please:

 

I want to put it in writing to Lloyds that I have complied with the Enforcement Notice, reduced account, do not expect to be hit with more charges as they didn't advise me that they were applying yet more charges on 10th July, and that as I have fully complied that all further action has stopped. I will fax this and send it recorded delivery.

 

I am sure that once my prelim letter arrives they will try it on again, and will then send them the Account in Dispute letter, Data Protection Letter, etc, but really want them to acknowledge and confirm that they will not take any further action from the current enforcement notice ... I can't send the Account in Dispute letter to them until I have sent the prelim I assume. Don't want to give them the heads up on what I will be doing, or give them the opportunity to send me another Endorcement letter before getting my prelim letter in!!

 

If anyone has any views on this, or advice, it would be very much appreciated - I'll check the thread tomorrow before sending this letter.

 

Many thanks for all the tremendous support - I would have caved in by now with CAG!!

 

Bump!

[McIavelli]

Disgraceful behavior on the banks behalf .

I'd be tempted to send the "in dispute" letter anyway Pandora, as the banks left hand very seldom knows what the right one is doing & you can do without all this stress.

 

Anyway, this post will serve to bump your thread up the list till someone wiser than I can help you.

 

Did you get the chance to read through Pen's thread by the way?

 

Best Wishes

 

McIavelli (I'm not that devious really)

[PeterAnderson]

Pandora - Hi,

 

I spotted in post 10 that you say you will not need the calculator; if you use the one here it calculates daily interest - whilst I am chugging along with my claim it is lovely to see my S.69 climbing by the day -

[passivenomore]

Hi Pandora...

 

I guess I may be a little late in replying, but just a little thought...

 

Firstly, I wouldn't worry too much about LTSB becomming aware of what you're planning... they don't seem to do too much themselves, apart from send letters on to Andover and send out standard letters.

 

If they do take more charges and bring the account overdrawn again, pay in how much you've gone overdrawn plus a bit extra to cover any penelty they may (or may not) impose after that. Also, these charges are all claimable and can be added to your claim right up to you filing the claim at court. Alternatively, you could set them aside and use them to start your next claim (as I intend to do!!!)

[passivenomore]

Sorry... lost my thought for a minute and forgot what else I was going to say!!!

 

Try and get your prelim letter off ASAP, then your account will be most definately... in dispute!!

 

Hope this is of some use, but I think you're doing well anyway!!

[Pandora_nini]

Sorry... lost my thought for a minute and forgot what else I was going to say!!!

 

Try and get your prelim letter off ASAP, then your account will be most definately... in dispute!!

 

Hope this is of some use, but I think you're doing well anyway!!

 

Hello - yes am doing okay - to be honest their letter lit a rocket under me, and when I add up these charges and how much difficulty they have caused me - gawd, I could go mad so am very focussed!!!! Am faxing (thanks to the postal strike tonight and tomorrow) a letter basically saying I have complied with their enforcement notice, etc, etc. Getting a prelim letter sent to them tomorrow. On their anticipated sod off response I shall complain via the ombudsman, and if I have no luck with that then I shall start litigation. From what I have read, and some TV clips as well, it seems the financial ombudsman is getting these claims sorted quickly and without any other cost, but am not afraid to take it to court if I have to.

 

Really appreciate all the support - it means a great deal.

[Pandora_nini]

Most worried though that Lloyds might decide to call in both overdrafts, and close the accounts, but I guess that would be another complaint to the ombudsman, and I gather they don't like retaliatory action!!

 

Oh, and this is to make you all laugh. Had a business account with Lloyds a few years ago, and when I decided I hated working on my own, closed it all down - they sent me a letter about 6 weeks ago offering a refund on an overdraft charge that they had charged some of their customers. They have a policy of not charging anything if the amount involved is £50 or less, apparently. :rolleyes:

 

Just think if they applied that to their ordinary customers.... they wouldn't have slapped a £70 overdraft excess fee on me for going £1.50 overdrawn (yes that is right!!).

 

Shall be signing their little form and getting my business charge back!