WARNING - FD are being NAUGHTY!

[Bookworm]

Like all other banks, FD has been trying to restructure their fees so they could still charge us pretending it's not a penalty. Amongst the changes, in case you haven't noticed, there is now a £25 formal OR informal overdraft arrangement fee.

 

Now if those fees are for going over limit, you will know that, pending OFT's test cases result, we still hold them to be nothing more than a thinly disguised penalty and you should still go after them.

 

The interesting (!) thing that came to my notice today, however, is that if you have had the misfortune to go over, even if only once, in the 6 months prior to your o/d's renewal, you will then automatically get hit with the authorised overdraft arrangement fee! So not only you'd get whacked with the penalties at the time of the transgressions, but you'll end up getting charged again even for when you've done nothing wrong.

 

In my case, I found that on xmas Eve, unnoticed by me, I had gone over by £7.

 

Wait, it gets better. They charged me a fee, then removed it (for reasons unknown) so that I didn't get charged, I didn't get notification, and it doesn't show on my statement, all that shows is me £7 over.

 

The first I knew is when checking my account today, I saw the £25 o/d renewal fee. Got the letter out and it said "6 months charging period", so I called them and said that theone and only time I had had a problem was in September and they had refunded that, so what was going on? Even the girl at the other hand had to go digging to find the December infraction as she couldn't see why I had been charged the fee!

 

Cut a long story short, I kicked and complained and threatened to close my account because of what I saw a particularly sneaky way of doing things and after 35 mns, they agreed to refund me my £25. Hooray!

 

However, the moral of this story is: Be very careful and check that FD are not doing the same to you, and if they are, challenge, challenge, challenge! ;-)

[citizenB]

I have just noticed HSBC have done this as well Bookworm.

[CompactD]

If FD have the same policy as HSBC then if you go less than £10 over then they don't charge you so that might be why you weren't charged for going over by £7.

[OBMCFC]

If FD have the same policy as HSBC then if you go less than £10 over then they don't charge you so that might be why you weren't charged for going over by £7.

 

I have gone £4 over my overdraft of £500 and when I rang next day to say was oversight on my part and asked could I have formal extension of increase of £50 until payday they said 'would charge me £25 for going over and £25 for increase'. When I said 'that would be the £50 gone and I would still be over would they increase it by £80' by end of conversation they have asked me to contact CCCS as they are withdrawing finanical services due to the fact I have Payday Loan out and reckon I am struggling with payments. This was first time I have gone over my limit in over a year. I also have a First Direct credit card which is about £300 under the limit and never miss a payment.

 

Have opened a new account with different bank and have Right of Apporpriation letter to hand in. Not sure what to do with letter as they don't have branch to take to.