Memnoch vs Lloyds TSB (inc. Contractual Interest)

[lucid]

I think it's fairly unlikely, but not necessarily impossible, that people will be claiming charges back that don't consist of any overdraft excess fees (which can only be gained by exceeding your overdraft limit).

 

I suppose there could be claims made up of only returned item fees but I would think that's very rare. After all it only takes one charge to completely mess up your financial situation and can create problems in going overdrawn in the future.

 

Lucid

[lucid]

Just because you don't have an overdraft facility it doesn't mean they won't let you go overdrawn. By letting you go overdrawn they get to charge you £30 a time in overdraft excess fees and charge you interest at the unauthorised borrowing rate.

 

I'd say it's a definite no to splitting your claim, it's far too complicated and I think it would be unnecessary to do it.

 

Lucid

[lucid]

Yes that's what I'm referring to. I think, as Gary advised you in our thread, you need to double check your own account's T&Cs. Is yours a classic account? If it is then I think (my own opinion of course) that you would be entitled to charge them the unauthorised borrowing rate. But if, for example, you have a basic cash account then you need to check whether the T&Cs or rates are different.

 

Lucid

[lucid]

You can check out Lloyds current interest rates here. The authorised borrowing rate for the select plus is 16.8%. The unauthorised borrowing rate is the same for all accounts at 29.8%.

 

I'm sure anytime you have gone overdrawn they ahve charged you interest at the unauthorised rate, so yes you would be justified in charging them that rate. But you have to be sure of the argument you would present if it did go to court.

 

Good luck whatever you decide to do. Lucid