Yes outgoing is £2488. Disposable income is nil as she often use her credit cards to support to balance up every month and the bank is aware of this.

The bank had said it that FD is not applicable in their letter last year but she lodge it with the Ombudsman this year.

If this seems to be difficult to claim, can she reclaim the £80 that was charge around May 2015 SINCE she already informed hsbc of her financial difficulty though they said she was not eligible to FD claim last year but do they still have the right to continue to charge her.

Hi Tessy,

I've been giving this more thought and think you should go back to the FOS and ask for a review by an Ombudsman.

Firstly, send the FOS an email immediately confirming that you intend to seek a review and will write further within 7 days

You could complain that :-

1. The Adjudicator refers to the bank's suggestion that the charges were properly applied according to the Supreme Court ruling on bank account charges and acknowledges the bank issued an Income and Expenditure Budget Planner.

2. The Adjudicator confirms the bank received the Budget Planner but notes that you "didn't get in touch" with the bank.

3. Even if the bank considered the older default charges to be properly applied at the time, the Budget Planner surely disclosed ongoing Financial Difficulty.

4. The bank had an obligation under The Lending Code to recognise a customer in Financial Difficulty. Section 224 says, "Subscribers should consider reducing or stopping interest and charges when a customer evidences that they are in financial difficulties."

5. The Adjudicator failed to mention the bank's obligation to identify a customer in Financial Difficulty should have applied when the Budget Planner was submitted. The Lending Code Sections 178 to 186 refer.

6. You consider the bank had a duty to act both proactively and reactively to your communications and you should NOT be penalised simply because you failed to contact the bank by phone.

7. Accordingly, you would like the case to be reviewed by an Ombudsman.

8. In the meantime, the bank should be instructed to stop adding interest and default charges.

Adapt this as necessary if you agree and get the letter off to the FOS.

Thank you Slick for the information. Much Appreciated. I shall keep you posted !