why cant you claim interest straight away

[anthony3393]

many people have been fined lets say 20 pounds around four years ago i dont know in real terms what 20 pounds in todays money is worth nor do i know how to calculate it, but im sure £20 pounds in todays money is worth less than £20 four years ago. so i am at a loss to understand why everyone cannot claim this unless it goes to the small claims court

 

if this has already been answered i am sorry but i have searched until my head has become foggy for the answer to my query

[happyolddog]

Hi Anthony,

 

Welcome to the forum.

 

Please take time to read the faq's

Please find your banks forum and start a thread;;

(your user name) V (banks name)

use the template letters.

 

LINKS....

FAQs....

Templates Library....

There is also live chat, visit if you need any quick advice.

http://www.consumeractiongroup.co.uk/forum/chat/flashchat.php

Finally good Luck.

Happyolddog.

 

If my advice helps please tip the scales, left.

[livelylad]

many people have been fined lets say 20 pounds around four years ago i dont know in real terms what 20 pounds in todays money is worth nor do i know how to calculate it, but im sure £20 pounds in todays money is worth less than £20 four years ago. so i am at a loss to understand why everyone cannot claim this unless it goes to the small claims court

 

if this has already been answered i am sorry but i have searched until my head has become foggy for the answer to my query

 

You can claim interest straight away if you claim for contractual interest. This is more complicated to reclaim and you would need to understand the process before trying this.

 

If you chose not to try for contractual interest, should they not repay all your charges before you file the claim with the court the court the court awards you 8% .

[anthony3393]

i am confused here are you saying you can claim interest when you send your first preliminary letter

[Varangian3]

Anthony

 

You must study the FAQs carefully as everything is explained there.

 

This section deals specifically with interest

http://www.consumeractiongroup.co.uk/forum/faqs-please-read-these/25457-guide-reclaiming-bank-charges.html?garpg=4

 

Basically, if you put all the details into the advanced spreadsheet then all the interest (overdarft and the 8%) is automatically calculated for you.

 

With the letters you request the overdraft interest as well as the unlawful charges. The 8% interest doesn't get added on in the initial request letters as they may offer to settle before court stage. However, if you file at court then the court will allow you to add the 8%, calculated by the spreadsheet on a daily basis since they took each item of your money.

 

Varangian Guard

[livelylad]

I have added to post 3.

[anthony3393]

ok i know it says do not ask for interest on your bank charges until and if it goes to court and i accept what CAG say if you do include interest in your prelim and LBA letter it will be obvious to the banks that i dont know what im doing, but i just wish to know the reason why you cant claim interest early on, because i think its only fair that i should be able to get interest even if it is settled before court action is taken so that depreciation is taken into account

 

let me put it like this imagine you fine 1million people in the country 30 pounds each then 3 years later you have to pay them all back £30 pounds each or they will take you to court so after havin all that money in my account for 3 years earning interest so it doesnt depreciate, i pay everyone back £30 and after every one is paid i have a surplus and the reason i have a surplus is cos even though you pay every one back the same denomination you fined them techniacally the 30 pounds you refund everyone with is worth less than the £30 fine they paid is that fair !!!

 

please do not reply with an answer along these lines you cant claim interest until it goes to court and then you claim 8% as my question is why cant you include the interest right off the bat and is it only me who understands my reasoning

sorry for the slightly sarcy tone but i have already posted on this issue before and know one seems to have really listened to my point

[jonni2bad]

Threads merged.

 

The point about 'standard' interest is that it is actually Statutory Interest and is awarded by the court, at their discretion.

 

GaryH has explained that you can claim for interest straight away, but this is if you claim for contractual interest. It can be far more complicated and indeed can even be a 'risky' claim to make, but you are only asking about "why not straight away", so I won't go into that here.

 

Another site does suggest claiming straight away. We believe this is misguided because it may form the opinion of some users that they are in fact entitled to it, and so then refuse offers that do not include interest. This would be a very worrying set of circumstances and places the user at risk when it does reach court.

 

I hope that this shows you why.

[anthony3393]

thats great now i know why its best not to go for interest unless it reaches court and i think CAG has made the right choice in directing us that way. but i do think it should be put in in the FAQ as many people must not, like me understand why they are told not to claim for interest in the beginning. thanks very much for your reply and il get my prelim letter sent out tommorrow cheers anthony