Iddles10 V Barclays

[iddles10]

I have two bank accounts with Barclays Bank. One which is a business account with an overdraft, and another which is a personal account, managed by a different (call centre) department within the bank.

 

My business manager made a "gentlemen's agreement" with me some time ago, to allow me to exceed my overdraft limit on my personal account, temporarily during a difficult time.

 

At the time, my personal account manager kept changing. After a couple of months I noticed that my credit file started to show payments "one (and so forth) months in arrears" and I was being charged for exceeding the overdraft limit. I approached my business account manager who got the first credit file entry removed, but then refused to remove any more, as he'd 'get himself into trouble'.

 

Because I was then being refused mortgages (and as I work in property, this is dire), I then approached my new personal account manager(s) a number of times, even in writing, and through call centres, and by mobile phone, who refused to do anything other than send me a standard "we'll look into it" letter. I never had a satisfactory answer from them, and the defaults remained. The bank then went on to close my business account facilities and turned it into a loan with higher interest rate. They demanded the exceeded amount on my personal overdraft, but the overdraft still remains.

 

Even though my business account manager tried to 'help me out', I lost thousands of pounds as a result of paying higher interest rates, and being refused credit elsewhere due to the credit file entries. I am now struggling to repay the overdraft, and the huge loan. Also, I accrued many excessive charges for exceeding the limit, which I couldn't understand, as I'd been given some form of permission. They refused to remove them, and the credit file entries, and refused to refund any charges.

 

I would REALLY appreciate it if someone could help to look through the agreement to see if it is watertight? Please?

 

I would happily pay for someone to look through these and some or any of my other credit agreements, on a no win no fee basis (money is too tight otherwise). I already know that they have made some mistakes, so the chances of success are high, but I am too new to this to do it myself. I've even offered to repay some of the loans, had that agreed and then the creditors refuse the payment when I attempted to make it.

Edited June 13, 2009 by iddles10

[iddles10]

Just wanted to add that I had so obviously been given permission to exceed my limit because I had exceeded it so much. The business account manager had allowed me to do it, knowing that I would still be charged. Grrrrr!

Edited June 13, 2009 by iddles10

[slick132]

Hi Iddles and welcome to CAG.

 

I've moved your post into the Barclays Bank forum (you started it in the Barclaycard forum).

 

I absolutely understand your problem as I had a great business mgr who took a lenient view with my business a/c and passed cheques which would otherwise have bounced. Of course the bank took their fee for this on each occasion.

 

When he moved on to pastures new and new staff were overseeing my a/c's, there was no personal relationship to rely on and I had a terrible time with staff who had no interest in anything but COMPANY POLICY !! They had me jumping through hoops to keep my a/c's open but I just managed to without them closing my a/c's.

 

I would REALLY appreciate it if someone could help to look through the agreement to see if it is watertight? Please? :grin:

 

Before we look at anything, what agreement are you referring to.

 

From my own experiences and from seeing cases here, I doubt there is much you can do about this as the Bank is entitled to vary or withdraw facilities and to demand repayment.

 

Reclaiming your business charges is not straightforward since the OFT test case judge made certain rulings. Read more about this here - Business claims for bank charges - The Consumer Forums

 

On the personal a/c, you can reclaim all unlawful charges made in the last 6 years. I assume you have the necessary statements to list these charges. Otherwise, you can send the bank a SAR to get the statements.

 

Read the Reclaiming Guide at Link No1 in my signature below.

 

If you File a claim at your local County Court, the case will be Stayed pending resolution of the OFT test case and appeals. But your claim will earn 8% interest if successful and you will protect older charges from falling beyond the normal 6 years claim period.

Edited June 10, 2009 by slick132
typo

[iddles10]

Hey Slick. Thanks for your response, really.

 

I know that it probably took someone who has been in this situation to realise exactly how manipulative and careless bank staff can be when trying to chase a buck or two. Even though they are attempting to be patient with us on one hand, they have made sure that they have left our damaged credit file on the other.

 

Anyway, I have included links to the overdraft agreement anyway, in case there is something glaringly wrong with it. It's not a standard credit agreement, and doesn't even mention which law governs the agreement. It's not personally signed by myself, or my business partner, although he seems to remember sending something signed back to them. I definately didn't sign something, though. We have exceeded the overdraft limit, which he allowed until it got to an unmanageable level for him, and then he denies allowing it. For this reason alone, I wanted to check over the agreement, as I don't even understand which laws govern the bank's behaviour. This is one of two 'agreements' we have with the bank, which total over £100k. Of course, as you can see, the interest rate is now extortionate, and it would have a disastrous effect on our business, if they suddenly recall it. Therefore, any defense could buy us much needed time.

 

Regarding a claim for bank charges - if we made a claim, they'd definately recall the lot.

 

We're still smiling, though.

 

I'd really appreciate your comments, or anyone else's really.

 

Many thanks. Here come the links:

 

http://i719.photobucket.com/albums/ww200/runmonkey/Barclays1b.jpg

http://i719.photobucket.com/albums/ww200/runmonkey/Barclays2.jpg

http://i719.photobucket.com/albums/ww200/runmonkey/Barclays3b.jpg

Edited June 13, 2009 by iddles10

[slick132]

Hi Iddles,

 

Having looked through the o/d "agreement", there's nothing which appears out of the ordinary.

 

As you say, it's not signed and I believe it just informs you of the terms which govern the o/d facility made available to you.

 

As I suggested earlier, it clearly states that the o/d facility may be withdrawn, without notice or reason. It also warns of the crippling interest rate to be applied to any balance in excess of the agreed facility.

 

You can certainly reclaim personal a/c bank charges from the last 6 years as I posted earlier. However, I doubt this will make much of a dent in the amounts owed on the business a/c or o/draft.

 

If you have a joint a/c with your business partner, you'll both have joint and several liability for any debt, but I'm sure you know that already.

 

Work hard on maintaining a dialogue with the business team at the bank so you have someone working with you. Without their co-operation, they can pull the plug at any time.

[iddles10]

Well, thanks for looking through it. It was worth asking, just in case.

 

I'd better remember Christmas and birthday cards. I'll send them recorded delivery.

Edited June 13, 2009 by iddles10

[iddles10]

So, how are overdrafts regulated, then? I read somewhere else that they have exemption under section 5, but have no idea what that means yet.

 

(Still cramming as much info in as possible )

 

How does it differ from a credit card agreement, for example?

 

I'll carry on searching, but if anyone can explain that, that would be good to understand.

 

[slick132]

My understanding is that o/d's are an informal arrangement which the bank will allow you until they get jumpy, at which stage, they'll recall the amount owed and use DCA's to chase any balance after an a/c is closed.

 

A credit card or Loan Account differs in that they are based upon a Credit Agreement which MUST conform to the various regulations set out in the CCA 1974.

[iddles10]

Hmmm. Thanks Slick.