mrflib v Halifax

[mrflib]

Hi guys! I want to start by saying thank you so much for setting up this website, I'm finally a believer that consumers can fight the corporations at their own "threaten legal action" game! Congratulations to all who have won their money back before me.

 

My background: I'm a student, I have been for the last four years. I'm due to finish this year around June, so hopfully I'll have a job pretty quick after that to start getting out of debt once and for all! This is a bit of a worrying endeavour for me as I do not currently have the cash to pay off my overdraft in full should they demand it.

 

I have a couple of questions if you guys have the time to answer, as this whole process is a bit daunting. I'm of limited funds right now, so I really want to get this all right first time.

 

I have requested all of my statements from Halifax for the last four years and have gone through them with a fine toothcomb. I've found two types of charges on the statement: "Charges as Notified" (which range from £2.50 to £28 - most being £10 and £20) and "Interest debited - notified last month" (ranging from 22p to £14). Am I able to claim all of these charges back?

 

I am supposed to be on an interest free overdraft as this is a student account, and the balance is within the arranged amount. My worry is I may have broken some terms and conditions somewhere as I do not pay my student loan in to this account - but to NatWest who seem to be less evil. Could this affect my claim?

 

I've got my first letter here typed up, with a total claim (of the above charges) for £492.68. I'm sending it to the following address:

 

CUSTOMER RELATIONS

HALIFAX PLC

PERMANENT BUILDINGS

COMMERCIAL STREET

HALIFAX

HX1 1BH

 

Is this correct?

 

I'm holding off on sending the letter in hope that you guys can answer some of my queries, so any help would be much appreciated.

 

Any other advice you can dispense would be of great value, too.

 

Good luck to all, and thanks!

 

Pete "Too Many Questions" Jenkins

[Bovvered]

Yes that's the correct address - you can claim unauthorised O/D interest, I believe as well as charges such as unpaid DDs, returned cheques etc, - anything that looks like a penalty charge....

[mrflib]

It literally just says "Interest debited - notified last month" - nothing about unauthorised. These feees add to around 1/5th of my total claim, so I'm wary whether to include them or not. These statements are ridiculously low in detail.

 

Many thanks for your reply.

[mrflib]

Ok, I think I've decided to just forget the interest, and just ask for the fees. It may well look good should it go to court that I've left the interest to cover the banks costs.

 

So, here goes! Posting the letter tonight.

[watccoe75]

If the overdraft is authorised, and less than £2100, it should be interest-free for students:

 

http://www.halifax.co.uk/bankaccounts/rates.shtml#currentover

[gomadnomad]

Your case will not go to court but you will have to issue summons which means that you will get the 8% interestanyway when Halifax write back to you a couple weeks from now with their snivelling little 'with no admission of liability' standard letter offering you all your cash back. Enjoy!

[jonni2bad]

....It literally just says "Interest debited - notified last month" - nothing about unauthorised. These feees add to around 1/5th of my total claim, so I'm wary whether to include them or not. These statements are ridiculously low in detail....

 

Aren't they just!

 

Anyway, just in case you are still unsure, I will post part of my 'cut and paste' reply to interest queries....

 

*************************************

 

You can claim for the interest that the bank applied to your account solely due to the charges, i.e. NOT for general interest which occured simply because you had gone overdrawn.

 

This, in my book anyway, is more complicated to work out because you should ideally know what APR they charged you for general overdraft rates and for 'over limit' rates - unless, of course, you are one of the 'lucky' ones whose statements break this figure down for you.

 

It can also be argued that by not claiming this (possibly much smaller) figure, that you are allowing the bank an amount you consider IS proportionate to the costs it incurred dealing with your failed Direct Debit / Cheque etc etc.

If you had to face the enemy in court, you would at least have an arguement to show you have allowed for actual cost. Remember though, you do not have to give them it.....

 

Another train of thought on this subject is as follows - If the interest is not itemised, then claim for ‘Interest Charges’ - i.e. the whole amount, and the onus will be on the bank to demonstrate the proportion they are entitled to.

 

The choice is yours........

 

 

Best of luck

A. Notherhalifaxhater

[mrflib]

Ok, letter sent recorded today. They have until 10th May to reply.

 

I included a request for the interest to be returned also.

[mrflib]

Received standard garbage letter saying they'll be in contact within a month.

 

I take it I should just ignore that and send them another letter on the date I specified.

[mechs]

Received standard garbage letter saying they'll be in contact within a month.

 

I take it I should just ignore that and send them another letter on the date I specified.

got it in one its on your terms not theirs

[mrflib]

Got an offer of £70 today. I have just sent off the LBA demanding the lot.

 

Fingers crossed!

[mrflib]

Ok, sending this letter today. I added a paragraph in frustration, I hope this will be ok.

 

2006-05-08

 

LETTER BEFORE ACTION

 

Dear Sir/Madam,

 

ACCOUNT NUMBER: XX

 

Thank you for your letter dated 1st May 2006 (reference XX). Unfortunately I am not able to accept the £70 offer you have made as a full and final settlement to this issue.

 

You state that the charges levied from my account are necessary to cover the “extra costs” you incur when you pay an item against an unauthorised overdraft. If this is the case, may I draw your attention to the charges taken as a result of a £5 payment on 14th November 2005. This payment took the account £2.55 in to an unauthorised overdraft, yet your subsequent ‘fees’ for this infraction totalled £89.95. If this is a fair representation of your costs, you will be pleased to break it down and show me how.

 

I now understand that the regime of 'fees' which you have been applying to my account in relation to direct debit refusals, exceeding overdraft limits and so forth are unlawful at Common Law, Statute and recent Consumer regulations.

 

I would draw your attention to the terms of the contract which you agreed to at the time that I opened my account. It is an implied term of that contract that you would conduct yourselves lawfully and in a manner which complies with UK law.

 

I am frankly shocked that you have operated my account in this way as I had always reposed confidence in your integrity and expertise as my fiduciary.

 

I calculate that you have taken £428.50 in punitive fines. I would also question the £64.18 you have taken in overdraft interest, as this is a student account within its limits there should be no such interest. As such, I require a total £492.68.

 

I require repayment in full of this money. If you do not comply fully within 14 days (22nd May 2006) then I shall begin a claim against you for the full amount plus interest plus my costs and without further notice.

 

Furthermore, I shall submit a Consumer Credit Act 1974 complaint to the OFT upon the basis that you have failed to comply with the OFT's direction of 5 April 2006 and are therefore not a 'fit and proper person' to hold a consumer credit licence under the 1974 Act.

 

 

 

Yours faithfully,

 

 

 

 

 

mrflib

[/Quote]

 

Could the mods change the title of this topic to mrflib vs. halifax? Thanks

[mrflib]

Phoned to ask what I wanted, I said everything. Accused me of being unreasonable. Once again asked the lady to break down the fines to show me how they reflect their costs - she said that she couldn't, and apparently nor could her manager

 

They offered me £150 as a final settlement, I declined.

[mrflib]

Halifax wrote to me again, this time offering £210 to settle the case "amicably". Court action starts on Monday!

 

Here we go!

[mrflib]

Moneyclaim form sent off, £80(!) court costs paid. Total claim now £649.57 including costs and 8% on charges.

[mrflib]

Halifax yesterday acknowledged the claim, giving them another 28 days to defend. Such a waste of time it's unreal.

[mechs]

Halifax yesterday acknowledged the claim, giving them another 28 days to defend. Such a waste of time it's unreal.

Hang in there you are well on your way now and good luck

[mrflib]

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