important offer from Lloyds 12%p/ainterest refund

[The Capitulator]

Hi all

 

Going through paperwork came across this letter, it was sent before I raised any concerns about charges.

 

In a nut shell it says -Sorry we seem to have overcharged you 3 times @£12.5 over last 28 months, please accept this back plus 12% pa for interest.

 

My point is :- if they offered 12% pa then this could be used as a bench mark for submissions to Court.

 

Happy to send E-mail of original letter to any one who wants one for their own use.

 

THE LETTER IN FULL.

 

Dear Mr xxxx 26/08/06

 

I am writing to let you know that we will shortly be crediting your account with a refund of charges.

 

We've found that , unfortunitely, some customers were incorrectly charged an unauthorised borrowing fee when their account went overdrawn or above their overdraft limit without prior agreement. As you may be aware, our policy is that we do not charge in such situations when the amount involved is £50 or less.

 

Please accept our sincere apologies for this error.

 

In calculating your refund we have reviewed our system records which date back to September 2001 (my account started Feb 2002) On this basis your refund amount which includes interest at 12% P/A gross is as follows:-

 

Refund of unauthorised borrowing fee £37.50

Interest since the date of the incorrect charge (gross) £12.19

Total amount £49.69

 

We have arranged for your account xxxxxxx to be credited with the total amount immediately. If you have any queries or concerns, please telephone 0845 603 7259 between 9am and 5pm Monday to Friday.

 

We aim to provide the highest level of customer service However if you experience a problem (I know about 100,000 of other's that have.) we will always seek to resolve this as quickly as possible. A copy of our "How to voice your concerns" leaflet can be obtained by contacting us. The procedure is also on our website WWW.lloydstsb.co.uk/buisness/contactus

 

Once again please accept our apologies for this error.

 

Yours sincerely

 

Stephen Gildert

Head of customer support

 

My point is not the fact that it concerns the amount overdrawn is less than £50 (although this may be of interest to many on here) but the fact that they offered 12% interest refund so this could be used by a claiment to justify a claim of interest.

 

I was thinking of ringing the chap up on Monday and thanking him for the 12% but pointing out that I had paid 29.8% on this error and would he like to refund the difference!!

 

What do you guys think about this?

[RedDeath]

Weird. Pre-emptive strike maybe? Would rather wait for the opinions of a mod on this one. I'll be waiting for the postie with a letter from LTSB offering all my money back. How kind of them.

 

Banks never give money out unless there is an ulterior motive and even then they grudge the payment.

[The Capitulator]

Hi Red

Agreed -no such thing as free money even if it is ours anyway.

but I did recieve that letter on 25-8-06 and I first went to the bank on 29-9-06 to beat my drum. only found the letter when putting everything neat ready for my claim starting.

[Mindzai]

No you cant use any rate for interest other than 8% statutory interest, or contractual at the rate(s) stated in the contract. For Lloyds this is 29.85% and 18.2%.

[The Capitulator]

Hi Mindzai

 

Thanks for your comment, I know you cannot change S69 @ 8%, I pointed this letter out simply to highlight that LTSB have now acknowledged (in writing) that anyone deprived of funds is entitled to receive interest refunded. I am not aware of LSTB having done this to date.

[Mindzai]

Ok sorry I misunderstood your post. I would certainly write about the difference in rates!

[BankFodder]

I don't think that there is any gneral significance in the letter. However, if they have had the use of the money then I would certainly suggest that you go and get the balance of the interest at the unauthorised rate.

[The Capitulator]

Hi BF

Thanks for your comments,

 

I contacted LSTB this morning as you suggested.

I reminded them that they had taken 3 payments in "error" and had offered these back with interest at 12%,

I pointed out that they had charged me 29.8% during the same period and that the difference from their 12% offer and my 29.8% calculation was £26.66.

The very nice chap phoned me back 1 hour later and agreed.

He also said as I had to chase this up he would round it up to £50 to cover my time spent on the phone !!

 

Anyhow this is not about the £26 -it is about now I will have a letter that says they agree to refunding 29% which I hope will boost my main claim from £4k to £9k when I hit them with it.

 

If a judge ever gets to see the letter, I doubt SC&M or their heirs will have much to say by way of augument!!!

 

Every epic journey starts with a single step:confused:

 

Now my journey really begins