Ok, I've received 2 letters back form SC and M, both dated the same date.
The first letter states the bank will defend the proceedings on the grounds that the legal basis for the claim is incorrect, followed by 5 points.
They then say, 'accordingly the bank is without prejudice to the position set out above , willing to pay you the £2660 you are claiming by way of bank charges and interste of $15 plus the court fees of £220 in a full and final settlement of your claim. This will be paid on the following basis:-
1. The above amount will be credited to your account , sort code 1234 account number 123456 by the bank
2. The payment will be in full and final settlemnt of your claim
3. The terms of this agreement are confidential to the parties and their legal reps
4. You agree to maintain your accounts within your agreed limits and in accordance with the terms that govern this account
5. You can avoid these fees in future if you agree an increase in your overdraft with the bank before you try and make payments that would take you over any previopusly agreed limits. If you do not so, you will again incur these fees.
6. You make contact with your Lloyds TSB branch manager on 0845 3000 000 to arrange a review of your account. The bank wishes to avoid further situations which give rise to disputes. A review may be useful to consider whetehr your current banking arrangements are the most appropriate for your needs.
7. You must notify the court immediately once the payment has been made and provide a copy of your letter to the court for your records.
Please let us know whetehr you are prepared to settle the matter on these terms. If so the bank will arrange to credit the above ammount to your 123456 acccount.
If you are willing to settle on this basis, please sign a copy of this letter as conformation that you are bound by its terms, and return it to us as soon as possible.
We look foward to hearing from you no later than the 24th July 2007.
OK, I've got some questions please!
1. I have 3 accounts with LLoyds, this one 123456, the account they want to credit that is £800 overdrawn, another account that is 6k overdrawn and an account that is in credit (just)
Can they only recredit the money by crediting this account? If they do then I will lose a portion of the fee's? Can they dictate where and how the money is credited?
This account 123456 is only a savings account and I can not withdraw money from it. I could then transfer it to the account that is in credit, but would lloyds stop this or insist the money is used to pay off some of the 6k overdraft? Can they prevent me from transferring money between accounts?
They want me to speak to the manager to discuss my banking situation. Is this this normal?
I don't want to sound sorry for myself, but my current financial situation is dire, I will be filing for bankruptcy soon to try and sort out my other debts. I could really do with every penny of these charges!
I appreciate any advice, thankyou.