Hi,

I want to send a letter to the Bank of Scotland and have looked through the Library to find out which letter i should be sending out but im not sure which one is appropriate. I'll try and explain my situation as briefly as possible as it does not involve ovedrafts charges ,direct debits charges etc. Basically i signed a hire agreement which was financed by the Bank of Scotland and after my bank froze my account in error i had to make payments to he Bank of Scotland by credit card. Now in the small print on the back of the hire agreement i signed it states that any payments made by any means other than direct debit is subject to a charge of £35 + Vat which i find hard to believe and excessive. I would therefore like to claim the money back but dont know the letter i should be choosing so can you advise please.

thanks

Ratmin

Interesting that they are charging you VAT on the charge.

Which bank is it that froze your account in error?

It was Barclays Bank

It doesn't sound right but you would need to see the precise wording of the agreement to see what is actually being paid for.

I have it right in front of me and it states 2. Payment 2.1 All remittances made other by direct debit will be subject to an administration charge per remittance of £35 plus VAT.

Can you scan it and send to [email protected].

Sorry to resurrect an old thread but i will be coming to the end of my 5 year term and would like to know if i have a case.

Hi ratmin. I'd suggest that this letter might meet your needs. http://www.consumeractiongroup.co.uk/forum/telecoms-mobile-fixed/74802-penalties-not-paying-direct.html#post650206

Thanks for the info caro, much appreciated.

Caro, Ive just read my contract again and it says that an Admin charge of £35 plus Vat will be added to any payments not made by direct debit. Wont they argue therefore that they have made an Admin charge rather than a penalty charge. Thanks

Well they could argue it, but it will be for a judge to decide I would say. What costs £35 to administer a card payment, and why add VAT too?

What sort of loan was it?

Hi Caro,

Sorry for the late reply again but there is so much happening with other things i keep forgetting to check the forums. Anyway Im hiring a coffee machine for my shop and that is 1 of the terms and agreements on the back of the contract. I was paying by direct debit but my account was frozen in error. The full details of what happened was posted by myself back in March 2006. If you scroll down you will find the details. Thank you.ratmin

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