Overdraft arrangement fee...

[Monseedin]

Hi,

My partner just got charged twice (once in March and now) for overdraft!

All £395!

Bank manager said it is because the business is not doing well and not running account smoothly and they had to do more work??

I really need to try to get the charges back for him as his business will be doing really bad if the bank keeps charging him for nothing.

Does anybody knows if he could claim that charge back?

I am going to view account today for all the charges, but which ones he can claim?

What about interest?

Please drop in the links that could help us.

I would be very grateful.

Suzie:???:

[BankFodder]

there is probably nothing that you can do about this.

Firstly, you are talking about a business account and therefore any rules relating to fair treatment do not apply to you. (Not that the bank is fair to ordinary consumer customers either)

 

The bank's business model is calculated to make money out of people in difficulty. It goes something like this: –

You need an overdraft to tide you over a temporary period of difficulty.

The bank realises that if they can extend this temporary period into something longer – and may be a permanent period of difficulty, that they will make more money out of you because most of their revenue comes from excessive charging.

you asked for an overdraft and immediately the bank takes advantage of your need and your vulnerability to levy an excessive overdraft arrangement fee.

The excessive fee is intended to push you further into difficulty.

As you struggle to cope with the difficulty you incur further charges.

The further charges are also excessive. They contribute even more to the banks profit and they have the added benefit of pushing you even further in difficulty so that your chances of getting out are slim and therefore the banks revenue stream is guaranteed.

The bank will then compound your vulnerable situation and your difficulties at every possible moment thereby getting maximum benefit from you – because you are now a cash cow.

When your udders are used up and empty and dry, the bank will arbitrarily close your account and so you onto the rubbish heap.

In order to milk that last bit of money out of you, they will sell your account/debt as scrap to the debt collection industry which will then take their turn to hound you and harass you and to pick your bones until they all certain that there is nothing left.

actually, this is very efficient because it means that your business and your energies have been recycled. It is a very green thing to do.

 

The bank's business model is predicated upon your failure. If you don't fail then the bank makes very little money. It is in the banks interest to make you fail and keep you failing.

If you approach the bank with a similar kind of business plan, they would laugh at you and refuse to give you any backing.

[Monseedin]

I do know they do not apply to me but apply to my partner. :/

Just trying to help him and of course the actions would be taken by him.

The question is: can he do it?

I heard you can claim charges back on business account but which once you can claim and which ones you can't?

.....