Halifax Overdraft - Changes to Accounts £1 a day

[cadex]

I just got my letter through today and it's the final straw!

I recently got charged a total of £63 for going £3.79 into an unarranged overdraft for one day by Halifax and thought that was disgusting enough. Now they want to charge me £1 a day because I live in my overdraft? Even when I get paid I'm still in the red!

There's no way I'm taking out another loan to pay off this so I'm going to have to call on my family to see if I can borrow enough to pay off this overdraft and close this stinking account. At the end of the day I'd rather be paying my family back for the next year or so than Halifax.

 

Goodbye Halifax, you've shafted me for the last time.

[Bookworm]

Hello Bookworm,

 

Out of interest, what is your opinion on the legality of these new charging structures? Surely we cannot go with Test case take 2 - although stranger things have happened. I agree with your earlier post, it certainly seems to be an unfair term.

 

TFT

Hi, TFT.

 

See the template complaint letter I wrote, link higher up for my opinion, I've gone into details.

What I haven't said in the letter as irrelevant in a complaint letter of that kind is that I believe that the £30/£60 a month will be reclaimable under the UTCCRs as there is no doubt they are unilaterally imposed, impose an unfair burden on one of the parties with nothing in exchange: How is the change in a contract, charging for something that was previously free(ish) going to be anything but detrimental? I mean, there is NOTHING in those new terms which is going to be to the consumer's advantage except the supposed "clarity" of the terms, and as I pointed out, they are anything but... I believe that the OFT has made it clear that terms should include what the APR and AER are for starters, and as we know, Halifax has been more than coy about that...

 

Sorry if the above is not clear either, I had a tooth out about 1 hour ago and am zonked on adrenaline and painkillers.

 

Bookie, out for now, I think.

[the_freedom_trail]

Thank you very much Bookworm.

 

I have had a look at the template and will be sending it off tomorrow.

 

I must say, you certainly do know your stuff.

 

Best Regards,

 

TFT

[Bookworm]

I have been hanging around here too long, some was bound to sink in sooner or later, lol.

[dovboy]

my wife and i recieved letters yesterday regarding our accounts:(

 

we each have our own account and one joint account(all will be effected).

 

luckily i'm in a position that i could clear off two of them,probably before the deadline but why should i!?

 

by the way if they try to move you to a royalties gold acc,DONT LET THEM!

(it works out just as expensive).

 

 

i realy feel this is a kick in the teath to the very people who bailed them out.

 

i would seriously consider moving banks,is there any descent ones out there??

 

 

bookworm,good work on the letter!

[Bookworm]

"decent" and "bank" in the same sentence? Excuse me while I chortle!

 

No, there are no decent ones out there, even the so-called "ethical" ones seem to think ethical behaviour applied to people elsewhere than in the UK.

 

I think First Direct has an incentive where they give you £100 if you move to them, but check first as I don't know if they still do it.

 

Natwest has been trumpeting their lowering the charges, but the £5 is for bounced cheques and the rest of the structure is not that different from the others'.

 

Barclays WITHOUT the Reserve is a fairly standard account, if within o/draft you only pay interest, if you go over they'll bounce items and charge you £8 a pop.

 

I don't know about others. My advice is do your research and work out what will work out the best. You could have a look at MSE, see if there are any good deals to be had.

 

If and when you move, make sure you let Halifax know the reason you are going. If enough people do that, maybe the message will get through.

 

And thank you for your kind words.

[sigsoldboy]

I've spoke with Watchdog and they are definely doing a show on this. Not sure if its this week but they filmed on Monday so it may be. Lets see if they can offer and advise also.

[rhos123]

the halifax are" allways giving you extra" as thier logo says. well they can stick the £1 a day o/d fee right up thier ass!!!!!!!!!!

[indebtstudent]

Sorry to keep baning on about this but SURELY if they have changed the contract then you are entitled to cancel it and INSIST that the balance is paid off on the terms you agreed to EG the £6 a month for the the person that applied to not the £30/month they will now charge.

 

Re good banks I'm nervous about recommending them, cos there service can be poor (I've mostley managed ok though). Alliance & Leicester were giving away £100 subject to certain usual conditions like minimum amount credited.

 

I have a 0% OD with them but after a year that reverts to £5/month. this is still better than interest I get charged by other so if this offer still about its worth considering if you are often in the O/D.

 

Another word of caution though they are now owned by Santander. I remember the queus out of the door of my local Abbey branch when they changed the computer system, so potential nightmare when they migrate A & L accounts.

[sigsoldboy]

Petition is on-line

 

Petition to: As 43.4% Shareholders in Lloyds Banking Group should the government allow Halifax's new Overdraft charges. | Number10.gov.uk

[Docman]

Hi guys & gals

 

I usually post in th 'Debt' area as I have had a few battles with the banks over credit card debts. However, today I'm posting on behalf of my OH who in the past hasn't been too impressed with my stance over credit cards.

 

She has been a Halifax customer since she was at school 40 years ago. Even after having a student account whilst at uiversity, she moved everything back to the Halifax. Over the years, they have applied some bank charges but she has never complained. I have been telling her to change banks but no, she has stayed loyal to the Halifax.

 

This morning she received the letter from the Halifax telling her that they will be charging £1 per day for her arranged overdraft of £1000 that was renewed at the end of September. Guess what? This is the last straw - she's moving banks!

 

After reading the excellent posts above, I have advised her to take the following steps

1. Open an account at another bank (doesn't matter which one, they are all thieves IMO but we have to use them;

2. Close all the Halifax savings accounts including the kids accounts and redirect her income to the new bank from the end of November.

3. Write to Halifax telling them she soes not accept the new terms & conditions but to leave the overdraft where it is and repay it over the next 12 months.

4. Complain to FOS, the OFT and our local MP.

 

I suppose I should congratulate Halifax. They have finally got my OH to do what I have recommmended should happen for the last 30 years - leave the Halifax!

[Docman]

I've just noticed the number of guests viewing. I wonder how many are based in the Halifax HQ in Leeds!!

[pob_1984]

So:

1. Halifax charge me hundreds of pounds for being slightly overdrawn for a weekend this summer

2. Ends my student overdraft status before I graduate

(=Effectively doubling my overdraft, to a level I cannot afford to pay back)

3. Now they will charge me at least £30 a month in fees for that overdraft.

 

Seeing that I currently contribute £35 a month to repaying it, I should have it cleared sometime after 2021

 

Unfair? Sounds like a [problem] to me.

[cath3672]

I was prompted to join forum today after i too received the dreaded Halifax letter - I have two accounts with them (plus two for my children), they have only small overdraft facilities (one is £100 and the other £300) and although I dont 'live in' them I use them often as a buffer. There is no way now that I feel I can stay with them - if I go into my overdraft for just a week then thats £7 they are going to take off me for going into an overdraft that I have agreed with them !!! I have been with them for over twenty years and like everyone else feel completely let down and more than a little peeved at the hassle of moving banks - but the hassle I hope will be worth it just to say to halifax - stick your charges up your @~&*!!!!!!

Cath

[jiminy678]

we must all use the template letters that bookworm so kindly set out and kick up a big stink about these new unacceptable charges which none of us agreed to anyway. the more people doing this the better

[Bookworm]

I've just noticed the number of guests viewing. I wonder how many are based in the Halifax HQ in Leeds!!

I don't think that many, more likely people are getting their letter, google it up, find this thread, view it, hopefully copy the letter and write to Halifax. Out of those, a few will actually join in and say a few kind words, and thank you to those who have done so and a warm welcome to CAG. I only regret that this is what made you find us. :-| May you long stay with us now you have joined.

 

Edit: Just checked and this thread is at position 2 if you google "Halifax overdraft £1".

[coolchris]

Petition is on-line

 

Petition to: As 43.4% Shareholders in Lloyds Banking Group should the government allow Halifax's new Overdraft charges. | Number10.gov.uk

 

Signed. Ive also posted the link on my Facebook page

[Docman]

I don't think that many, more likely people are getting their letter, google it up, find this thread, view it, hopefully copy the letter and write to Halifax. Out of those, a few will actually join in and say a few kind words, and thank you to those who have done so and a warm welcome to CAG. I only regret that this is what made you find us. :-| May you long stay with us now you have joined.

 

Edit: Just checked and this thread is at position 2 if you google "Halifax overdraft £1".

 

 

Maybe you're right, so welcome to any guests. I hope you decide to stay and carry on to improve consumer's rights.

 

BTW, #1 on google is Halifax's own paid advert.

[coolchris]

I've spoke with Watchdog and they are definely doing a show on this. Not sure if its this week but they filmed on Monday so it may be. Lets see if they can offer and advise also.

 

 

Nice one! Lets hope its not a 30 second job with no real solutions.

[cath3672]

Petition is on-line

 

Petition to: As 43.4% Shareholders in Lloyds Banking Group should the government allow Halifax's new Overdraft charges. | Number10.gov.uk

 

signed

[sunsh1ne]

I had another letter today off Halifax - giving me info on their personal loans - "We can help you get your hands on what you need! -- aww thats nice of them!!

 

Coincidence??

[count orlok]

£30 a month, would be nice, we have 3 Halifax accounts that where taken over the overdraft limit by charges when we got no pay for a month due to change of ownership at work, We are now going to be charged over £450 a month! Thats more than the rent and council tax combined. Needless to say they won't be getting that, just a strongly worded letter.

[nilocjr]

Hi all I would just like to say thank you to all for all the info as I to have got one of these letters effectively doubling what I will pay for my overdraft.

 

I have also signed the petition and today sent 3 letters, 1 to Halifax, 1 to OFT and 1 to FOS.

 

For any one interested yesterday I phoned alliance & leister as I had an old account with witch I have not used for some time so it is now closed. They are as previously mentioned offering to new customers 0% overdraft for 12 months and then £5 per month (50p per day to a max of £5).

 

On the phone I asked if they would match my current overdraft. They said most likely if I can show proof of limit and that I have been in credit for a min of 2 consecutive days in the last 3 months. If not they will proberly offer a much smaller one.

[180]

I have also received this letter, just a few days before receiving £63 in charges for going "slightly" over my arranged overdraft limit of £1200.

 

The letter template, I'm sure will prove invaluable, but one question I have which I'm still unsure of is; If I arrange with the bank to repay my overdraft at my current interest rate and close the account, how (if they will at all) will they refund my bank charges which I have previously claimed for?

 

Answers on a postcard...

[jiminy678]

i have sent letters to halifax and OFT and i have just been in touch with watchdog as well, the more people doing this the better. we need to get as much coverage as possible so we get noticed