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Bad case of bank charges - please help


baynham
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Hi, it’s my first post here so I guess I should start by saying a little about myself.

 

I’ve just finished my degree in Computer Science at Glamorgan University and have had a full time job for 2 weeks I’m posting because I really need some advice.

 

I’m having a lot of trouble with bank charges from Lloyds TSB, I wrote many letters to the bank about 6 months ago but it didn’t get anywhere – they wrote back and said they would wait for the test case. Approximately 3 months ago I wrote explaining my dire financial situation and said that I was in hardship – I received nothing.

 

I checked my balance online today and I have been charged £215 again this month, this makes it twice in a row. I have an agreed overdraft of £1500 and I have been bordering on this limit for a long time now. In total I have been charged £4000. With the new daily charges Lloyds have introduced I can’t seem to get myself out of this mess. Because of the previous charge I am now £110 over my agreed limit and am now paying £25 a day (to a total of £215 a month). It is driving me crazy and making me very stressed.

 

I also have a NatWest account which is £1600 OD and a £900 credit card (which I am slowly lowering monthly) but I do not occur any charges on these, just around £20 a month interest – which at the moment is the least of my worries. My credit rating is too bad to get a parachute account to borrow enough to pay Lloyds.

 

I phoned Lloyds today and the young women I spoke to said it was the worst case of bank charges she has seen but she didn't help. Which made me feel much better! I’ve been borrowing money from friends and family for petrol money to be able to get to work and have been missing lunch most days. It’s amazing how Lloyds can get away with charging me £25 a day.

 

If anyone has any advice I would be most grateful.

 

Thanks in advance.

 

-Mike

Edited by baynham
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Hi Mike

 

Welcome to CAG. Suggest a browse of the FAQs & I'll pm a Mod to request this be moved to Lloyds forum. I'm sure you'll get lots of help and advice, everybody here is very supportive.

 

 

http://www.consumeractiongroup.co.uk/forum/faqs-please-read-these/

Edited by Dispirited
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Hi Baynham,

 

Welcome to the Consumer Action Group :)

 

There are a lot of people on this site who have been in the same place you are now.

 

You will find this a very friendly place to help you reclaim your charges :-)

 

LloydsTSB has it's own sub-forum on this site which you can find here :-

 

http://www.consumeractiongroup.co.uk/forum/lloyds-bank/

 

The first thing you need is a list of all your charges, if you have all your statments, thats fine. If not you need to get these from Lloyds. There is a letter you can send here :-

 

http://www.consumeractiongroup.co.uk/forum/bank-templates-library/516-1-data-protection-act.html

 

Although the banks have a ongoing test case with OFT there are a number of reasons why you should start your claim now.

 

Any older charges (coming up to 6 years) could be lost if you wait for the OFT case to end. Start your claim now and those charges are protected.

 

When the stays are finally lifted, you will be one of the first in the queue to get paid.

 

While the banks are protected by the stays, we the consumer, have no such protection and charges continue to mount up.

For some people this may mean going into default. If it is clear that the default was made in respect of charges and that it was lodged after a charges claim was begun then these users have a really excellent chance of having it removed.

 

I have some links below for you to look at, have a good read, it will help you though out your claim.

 

Hope this helps get you started. Come back and shout in the Lloyds forum if you need any help

 

Lex

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Advice & opinions given by me are personal, are not endorsed by the Consumer Action Group or the Bank Action Group. Should you be in any doubt, you are advised to seek the opinion of a qualified professional.

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Thread moved for more help. Thanks D. . . . .

 

 

Mike, have you spoken to Lloyds customer service about that account?

 

Is it one of the higher bank accounts?

 

Are you having your wages / grant paid into that account, if so you should move it where they can not grab it every month.

WARNING TO ALL

Please be aware of acting on advice given by PM .Anyone can make mistakes and if advice is given on the main forum people can see it to correct it ,if given privately then no one can see it to correct it. Please also be aware of giving your personal details to strangers

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I phoned Lloyds today and the young women I spoke to said it was the worst case of bank charges she has seen but she didn't help.

 

a) She clearly hasn't been on the job for too long as there have been far worse (not that it will be any comfort to you at this time)

 

b) How 'very understanding of her

 

c) Get your claim going now regardless of what LTSB say - 'Reclaim the Right' - that is what its all about isn't it?

 

Good luck - you are in safe hands here

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Thank you to all that responded!

 

The account is a student account.

 

I have contacted customer services many times and when I am lucky then reduce a charge by 20-30 pounds although this has now stopped as they said I have had too many charges this year.

 

I am in the processes of calculating my total charges something that online banking makes much easier.

 

I was wondering if It would be advisable to take out a loan to pay all my immediate debt, this would have to be in the region of £5000. This would allow me to close both accounts and open an account in a less hostile bank (or am I being naive as they are all money grabbing bastards). If the loan idea is sound then who would give me credit with such a poor rating and with the current state of lending. Could someone recommend a lender?

 

Once again thank you.

 

-Mike

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Hi, Mike,

 

I would not recommend taking out a loan to pay off your present debts as this could lead to worse problems in the future!!!

 

I have much, much worse debts than you but managed to get a basic step account with Nat West no problem - I know this won't help as you want to get away from Nat West, the point is there are basic accounts out there that can be opened despite financial problems. Hopefully others can advise where they opened alternative accounts.

 

While you're arranging a new bank account, I'd put in a court claim for charges and interest as soon as possible.

 

Also, arrange an appointment with someone at your local branch to voice your concerns over the charges - they may sort out a temp extension to your overdraft or some small 'token' refund of charges - (show them your list of charges as evidence that they have acted unfairly) - this may give you some breathing space in order to stop any more charges for now.

 

BAE :-)

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