Hopefully someone will be able to help me out with this! My parents took out a Secured Loan over 15 years ago with RBS on the home that we owed at the time (We have moved home 3 times since then) A couple of weeks ago, they received a letter demanding payment of the remaining sum on that loan. The letter clearly states that the guarantee is against our old property, and that they may 'reposses' if we don't repay the outstanding sum. From a legal point of view, they are not sure where they stand. Obviously, we have not owned this property for over 10 years since it was sold. As far as I am aware, when we sold that home it was sold for a profit so there was no negative equity. Would the bank have claim to our current property / assets against this loan? Or is there any kind of loophole that would somehow void us having to repay the outstanding sum since the asset that the loan was guaranteed against is no longer owned by us? Many thanks

Thanks for the replies guys. Just to clarify, my parents have their mortgages with RBS (thankfully) so that's one less thing to worry about Clydesdale getting iffy about if we were to take a claim against them. The only liability they have to the Clydesdale, is the £10,000 overdraft itself. However, as you point out, the bank will probably fight tooth and nail and I wouldn't be surprised if they were to recall their Overdraft or reduce it. So we are in a bit of a Catch 22 at the moment! They have looked into switching to another bank, but no bank is willing to provide them with the same level of overdraft due to their current credit rating. They were rather fortunate even in getting the £1000 overdraft from Santander. So for the moment at least, it seems we are stuck with them until the credit rating gets back up to scratch. At the moment they are earning good wages, paying everything they owe - on time - so it's just a case of building back the good rating.

It may be worth noting that my father lost his business last year, resulting in a lot of debts to be paid off. Although they are back on their feet again earning very good salaries, the amount of debt they still pay off on a monthly basis is substantial and basically wipes out what they earn. So any charges are a big problem as they just compound the problem. I remember reading something about charges being unfair due to 'hardship' ? I could be wrong but it's just something that popped into my head. I should also mention, that my parents currently have mortgage arrears on their current home, and are having to sell a second property they bought for my grandmother as it is in arrears also (The bank were going to repossess this property however have allowed my parents the chance to sell it now that my grandmother has been moved to another home) With all of these current liabilities they have, it might make their case more favourable?

Thanks for that info I was afraid this might be the case regarding Current Accounts. Disappointing really, as £25 per day really is daylight robbery. Unfortunately, with their current situation etc there is no way another bank would give them a £10k overdraft so they are most definately stuck with the Clydesdale! They have opened a new account with Santander, however the overdraft is only about £1000. At least this will ease some of the problems from now on as they can transfer alot of direct debits to that new account to try avoid going over the limit at Clydesdale. Just unfortunate there doesnt seem to be much scope to reclaim what has already been taken. Cheers

Hi There. Thanks to everyone that helped me previously with an RBS credit card case, i was successful in reclaiming charges. On this occasion, I'm looking for some advice on behalf of my parents. My parents currently have a Current Account with the Clydesdale Bank. They have an overdraft limit of £10,000. In the past few months, due to timing in wages getting paid etc, they have gone over the limit for about a week at a time. This has resulted in a £25 per day overlimit charge. Obviously, total this up and it is a very hefty amount of charges indeed (I estimate around £1000+ to date) I would not have thought a daily fee of £25 could be fair (I read a bit about the £12 fees etc but my knowledge is rather limited) Do you think there is scope for complaining to Clydesdale and requesting they pay back those charges? Obviously, if there is a chance they would definately be keen on pursuing it, although they are also worried about Clydesdale trying to close their account / reduce their overdraft if they start making claims against them. Kind Regards

Thanks for that Brigadier, I'll get that done and mailed off asap Should i also send the letter template regarding repaying my charges alongside this, or separately?

Thanks for pointing that out, I wasn't too sure what the deal was regarding a default caused through charges etc. If that's the case, they should surely pay back all of those charges applied over the life of the account and remove the default as they've not adhered to those guidances? Thanks

Yeah unfortunately no luck in-branch, the guy just fobbed me off saying they wouldn't have the credit card statement records here and that i'd have to phone the Credit Card Department and ask for it. Gave them a call, as expected they just asked me to write in asking for the account statement history, and to enclose the £10 fee etc. The guy gave me the address to write to, so i'll get that in the mail asap. I'm going to use the SAR template from the site, so should get back the whole history of transactions, charges, and anything else. Once I get back that history, I add up all of the charges etc and get the proper letter sent asking for the repayment of said charges and the removal of default, on Brigadier's draft letter template that he's kindly writing up. Am I also entitled to ask for all of the interest on these charges back too?

Hi dx RBS terminated my access to online banking with that credit card after they issued the default notice, so I can't access it from there. I'm going to go into my local branch tomorrow and request they give me a full statement on the history of the card since it was opened. As far as i'm aware, they are required to give me this if i ask for it. I would hope so. The extra charges even with my payment of the required amount caused the actual default, not to mention all of the £24 charges and interested over the years that have caused the issues. Thanks

That's great, thank you very much for taking the time to help Brigadier. Cheers

Thanks for the quick response Brigadier2jcs Yes I recieved a Default Notice dated 9th March which requested the payment of £60 within 17 days. I made this payment, that's when they also informed me they'd added further charges since the letter was issued and it would now be £25 over the limit, and they would require payment me to put it back into credit. 2 weeks later they sent the Account Termination letter and asked for full repayment of the outstanding balance on the card. I didn't get anywhere with the guys on the phone, they just wouldn't hear me out at all, all they said was 'sorry but we can't do anything now that it has been defaulted' and forced me into accepting this repayment plan. I'd appreciate it if you could give me some help on how to speak to the Compliance Manager with RBS. Cheers

Hi There I've had a Student Credit Card with RBS for over 3 years now. However, I have recently been defaulted on this card for being over the limit..by £25. Over the past 2 years or so I've been in and out of hospital for various operations and complications, couple that with being a student, deadlines etc and juggling a part time job and it's been a struggle. This has caused me to miss a few months here and there payments, although I have always paid very soon after missing a payment. However, most recently these charges have put me about 50 over the limit. I never missed a payment after this, I always paid the minium. However as I wasnt going back above the credit limit, i was being hit with further charges negating any payment I had made. After about 2 months of this, the bank obviously decided to threaten me with default. Last month, I was given a letter saying I was £60 over my limit and that a payment was required immediately to avoid them defaulting my account. I was in hospital after an operation at the time, however I paid the £60 required on the final day of the due date. The first woman I spoke to informed me that this would remedy the situation, and that I would not be defaulted. However, when I called back to make the payment, i was also informed that my account had been hit with further penalties for non-payment and overlimit fee (even though my account was removed from online banking and I had no way of knowing, i also assumed they would not continue to do this with my account frozen awaiting deafult). She said i would need to make a further £25 payment to bring the account back within the £250 limit. I said I would be able to do this at the end of the month when I would normally make my card payments. about 2 weeks ago, i recieved another letter saying that my account had been terminated. I called RBS to ask them why this had happened, but they were very unhelpful. Would not listen to any of my explanations, basically said they were 'sorry' but there was nothing they could do to remove the default as I was still £25 over my limit even though i paid them the £60 asked in their letter. I was basically forced to make a £130 part payment of what was owed (£275 overall) and put onto a repayment plan to pay the rest off next month. Now I was not given any written correspondance saying the extra £25 was required, the only letter I have is the one saying that paying £60 due would remedy the situation. I think they way i've been treated is nothing short of a disgrace. The only reason I was over my limit was due to the disgraceful amount of charges I've been hit with over the years. I no longer have access to my statements, however I want to write to RBS to get them to send me a list of all charges they have hit me with on this card. The last time i checked, i would say i've roughly had to pay well over £400 in charges (£12 overlimit, £12 late payment a pop) and interest on top of those charges would take it even higher. I don't mean to be flippant, but at the end of the day that card is only a £250 student credit card. I've been struggling along as most students are, and . To default me, to charge me that much in charges, etc is just appauling. The fact they've been able to hit me with almost double my credit limit in charges is just wrong. The only reason i've ended up getting 'defaulted' is due to them constantly hitting me with charge after charge even when i'm making payments to them. To think my credit rating will be damaged for 6 years over this is depressing. Some people are in absolute mountains of debt, thousands, yet the bank are quite happy to be as unhelpful to me as possible as a student, to not offer me any help at all, and to ruin my credit rating all over a £25 over limit on a £250 credit card. To me, this just seems unnecessary. I'd appreciate your thoughts on my situation. My father works within the banking sector, and he thinks it's a disgrace and that I would definately have grounds to appeal for some kind of reclaiming of those charges, and to get the default wiped from my record. Any info you may have would be much appreciated. Do you think i'm right in thinking this is unacceptable? I had a brief chat with Citizens Advice, and they seemed to agree with me, so i'd say I do have some sort of case. At the end of the day, all I want is the bank to remove this 'default' from my records due to amount of blame that rests on them for causing it in the first place. £500 of charges over 2 years on a £250 card is just ridiculous, hitting me with £24 + interest each time is just not on. Thanks all Greg