NatWest- Why do we close bank accounts?

[Guest NATTIE]

Most of you on here know that I am a member of staff for the Bank. I know that some people ask either why has NatWest closed my account or do NatWest close accounts if you are claiming charges? I hope to explain the reasons for closing accounts, not all of them will apply to many people but it may help explain why.

 

1) Customer Request- This is where you go into the branch or post a request to close the account. The account can only be closed if the balance is at zero or brought to zero if account is overdrawn.

2) Dormant account- This is when the account has not been used for a number of years and attempt to contact the customer has been fruitless.

3) Account Opening Irregularities- This is when the identification used has not been in accordance with bank procedure or where information on the account opening form does not tie up. The account is closed within 24 hours of opening.

4) Credit Management Services- This is where the account has been incurring charges and has gone past the point in which it considered that it can be maintained by the customer. The account is transferred to them and the account is closed once the balance has been paid off.

5) Breakdown in Relationship with customer- This can include threats to staff, other customers in the branch and telephone threats.

6) Declared Bankrupt- This is bank policy that if someone who is a Bankrupt or made Bankrupt will have their account closed.

7) Dubious account activity- This includes using the account for fraudulent purposes.

8) Government Sanctions- This is my terminology, where the Government ask for account to be closed because of terrorist activities, global sanctions and the like.

9) A second Gesture of Goodwill Payment- This is a rare occurrence that after 2 gesure of goodwill refunds that the account is closed.

 

This are the main reasons for account closures. I am sure someone will say what about this but most will fall within the 9 reasons and not all examples will fit your exact circumstances.

[lnmrobinson]

Thanks nattie for your info on these issues.

 

I am a little confused though, I have recently been told during a telephone conversation by collections dept that my account is now dormant, although I have paid money into it, as little as 3 months ago, trying to pay off the overdraft, this was took straight away in charges and the debt is building, purely in charges.

My thought is:

Can the account be dormant if I have used it regularly until as little as 3 months back?

if the account is dormant, should I have not been informed officially (ie not by just dropping it into conversation).

Also, can natwest still apply charges to a dormant account? Surely if its dormant, then no activity should be taking place at all?

 

 

Your help is much appreciated.

[Guest NATTIE]

dormant can mean many things, but your account will not be closed becasue it has been dormant for three months

[muggins73]

4) Credit Management Services- This is where the account has been incurring charges and has gone past the point in which it considered that it can be maintained by the customer. The account is transferred to them and the account is closed once the balance has been paid off

 

NATTIE,

Seeing as though you are the man who's definately in the know, amy I ask you this?

You may be aware, I'm not sure, but I have called in the Citizens Advice Bureau (CAB) to deal with my 'debt' problem (mainly Nat-freaking-West) just incase my court claim went belly-up.

Anyho, I have dealt with a nice lady in the Birmingham Customer Care Team (LOL) whom, following several letters including that of harrassment and notice revoking their right to process or disclose personal subject data to third parties, she has advised me that as a result of my court action they are holding off any action/proceedings for the time-being.

Following a subsequent conversation on the telephone, she has also cancelled the interest that was due to come out of the three accounts (2 x sole mine and my partners, and 1 x joint) at the end of this month. However, the CAB have written to her asking that they cease the interest immediately. Which apparently Natwest are not obliged to do so, unless, that is, I take them to the small claims court!!! Is this correct?

The other thing is with the help of the CAB and a prepared financial statement I can only afford to pay them £1.00 per account, this amount they have said is an unsatisfactory repayment arrangement, one that their dept is unable to accept, but the CMS may do:confused: I have since learnt that in order for our accounts to be transferred to the CMS dept they will have to default them and then pass them over, which is precisely what I am trying to avoid, considering it is Natwests' charges that have contributed to the amounts we owe. I know this is rather long-winded, and you'll probably need an age to digest the information, but you thoughts on the situation would be greatly appreciated.

muggs

[mich7k]

hi can anyone help just got a letter out of the blue stating that after a review of my accounts Natwest regret to tell me they are closing my accounts, i have 2 step accounts and a isa account account is being maintained ok and i have all of my salary and tax credits etc paid into my account as its a bank holiday i called the actionline and they said they cant help as they can see nothiing wrong with my account and i should call back on Tuesday any ideas?

[revolting peasant]

It's not much help I know but calling back on Tuesday is about your only option at the moment

[sea-sidelady]

Mich7K,

 

You should start a new thread, as it can be hard to get seen when you post on an old one.

 

Call on Tuesday, and let us know the response you get.