Business account over 19,000 in bank charges.** SETTLED IN FULL ***

[andrew1]

Hi Dolfos, I've come in on this a bit late and I'm sorry if this has been covered before, but as this was a business account, was it by any chance secured by a charge on your self or property?

[dolfos]

Hi Dolfos, I've come in on this a bit late and I'm sorry if this has been covered before, but as this was a business account, was it by any chance secured by a charge on your self or property?

 

Hi Andrew1

 

No they tried to get my husband to sign a form back in 2002 regarding a charge on our home but he didn't and as it was in joint names also and I was a) nothing to do with business and b) never going to give such authorisation the 2nd charge they tried to get never came about so there was no security given. However we have had to sell our home and we are now in rented property as a result of all the financial headaches with the business. With regards to charge on my husband not as far as I know.

[dolfos]

It is odd though thatthey are quoting the business bank account which has been transferred to Max recovery. the business loan would be a seperate account number etc. The business account was overdrawn at the time of closure by about 2,000UKP and the business loan was just over 19K hence their claim in the IVA for approx 22.4K.(both added together as one debt)

[andrew1]

Oky, it might have made a difference when they sold the debt - no probs just thought I'd ask.. Good luck, but it sounds like you are getting some control back into the equation and I wish you all the very best.

[sarahpp]

I have spent a long time trawling through the "Business Banking Code" and come up with this

 

14.9 In certain circumstances we may pass your debt to another organisation or debt-collection agency.

We will always choose reputable firms which also agree to follow the Code when arranging

repayment.

Subscribers should follow a due diligence process when selecting third parties for debt management. This should

include third party compliance with the Data Protection Act 1998, the Consumer Credit Act 1974, Office of Fair Trading

guidance on debt collection and debt management and the code of the Credit Services Association.

Subscribers should use all reasonable endeavours to ensure that Code standards for handling financial difficulties

contained in paragraph 14.1 of the Code are applied by such agents. Code compliance standards should form part of all

third party contracts agreed on or after 31st March 2002.

Subscribers should pass on relevant information to enable third party debt managers to recover debts.

14.10 In other circumstances we may sell your debt. We will always choose reputable firms if we do this.

Subscribers should follow a due diligence process when selecting any third party for debt sale. Any new contract

entered into after March 2005 with such companies should ensure that the third party will comply with relevant

legislation such as the Data Protection Act 1998, the Consumer Credit Act 1974, Office of Fair Trading guidance on debt

collection and debt management, the code of the Credit Services Association and the Business Banking Code’s

standards for handling financial difficulties contained in paragraph 14.1 even if the debt purchaser is not a subscriber.

Subscribers should inform third parties of any relevant arrangements the customer is complying with.

It is common practice for third parties taking on a debt to request a new statement of income, expenditure and assets to

understand the customer’s most up-to-date position.

 

So, bearing in mind that this extract is from the business banking code does anyone know whether business bank accounts are indeed, covered by the CCA 1974 as this seems to imply?

[andrew1]

I have spent a long time trawling through the "Business Banking Code" and come up with this

 

 

So, bearing in mind that this extract is from the business banking code does anyone know whether business bank accounts are indeed, covered by the CCA 1974 as this seems to imply?[/left]

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Would that not depend on whether the business was a Limited Company, where I presume the CCa would not apply, or a sole trader/ self employed business where I would have thought it would apply.

[dolfos]

I have spent a long time trawling through the "Business Banking Code" and come up with this

 

 

14.9

In certain circumstances we may pass your debt to another organisation or debt-collection agency.

We will always choose reputable firms which also agree to follow the Code when arranging

repayment.

 

Subscribers should follow a due diligence pr

ocess when selecting third parties for debt management. This should

include third party compliance with the Data Protection Act 1998, the Consumer Credit Act 1974, Office of Fair Trading

guidance on debt collection and debt management and the code of the Credit Services Association.

Subscribers should use all reasonable endeavours to ensure that Code standards for handling financial difficulties

contained in paragraph 14.1 of the Code are applied by such agents. Code compliance standards should form part of all

third party contracts agreed on or after 31st March 2002.

Subscribers should pass on relevant information to enable third party debt managers to recover debts.

 

14.10

In other circumstances we may sell your debt. We will always choose reputable firms if we do this.

 

Subscribers should follow a due diligence pr

ocess when selecting any third party for debt sale. Any new contract

entered into after March 2005 with such companies should ensure that the third party will comply with relevant

legislation such as the Data Protection Act 1998, the Consumer Credit Act 1974, Office of Fair Trading guidance on debt

collection and debt management, the code of the Credit Services Association and the Business Banking Code’s

standards for handling financial difficulties contained in paragraph 14.1 even if the debt purchaser is not a subscriber.

Subscribers should inform third parties of any relevant arrangements the customer is complying with.

It is common practice for third parties taking on a debt to request a new statement of income, expenditure and assets to

understand the customer’s most up-to-date position.

 

So, bearing in mind that this extract is from the business banking code does anyone know whether business bank accounts are indeed, covered by the CCA 1974 as this seems to imply?

 

thanks for looking sarah,

it does sound like CCA may apply. the business was a sole trader trading as... so I have been told that this will mean he is treated like a customer and is liable like a customer. can anyone else confirm this?

[Guest Tracey284]

Hi Dolfos, and I thought my husband's £12k was high! Anyway, I can only advise what I have been told.......you can put in several claims, each one totalling £5,000 including interest. Split them down into years or months, this way they are kept under the £5,000 small claims threashold. I was advised this by the person who introduced me to this site. She claimed £5k and then £3k from the Halifax and won! Good luck and will continue to watch.

[dolfos]

Hi Dolfos, and I thought my husband's £12k was high! Anyway, I can only advise what I have been told.......you can put in several claims, each one totalling £5,000 including interest. Split them down into years or months, this way they are kept under the £5,000 small claims threashold. I was advised this by the person who introduced me to this site. She claimed £5k and then £3k from the Halifax and won! Good luck and will continue to watch.

 

thanks for your support x

[noomill060]

dolfos- I've PM'd a moderator for you.

[HSBCrusher]

Hi Dolfos, and I thought my husband's £12k was high! Anyway, I can only advise what I have been told.......you can put in several claims, each one totalling £5,000 including interest. Split them down into years or months, this way they are kept under the £5,000 small claims threashold. I was advised this by the person who introduced me to this site. She claimed £5k and then £3k from the Halifax and won! Good luck and will continue to watch.

With all respect, this is not the best advice.

The court will not like the fact that the claim has been split, this ammounts to abuse of the court system. The claim will have to be kept as one.

[sarahpp]

With all respect, this is not the best advice.

The court will not like the fact that the claim has been split, this ammounts to abuse of the court system. The claim will have to be kept as one.

 

Agreed.

 

Aww - I miss your dragon Crusher

[HSBCrusher]

Aww - I miss your dragon Crusher

Cyril will be back, dont worry!

[sarahpp]

Cyril will be back, dont worry!

 

Good - he was kind of hypnotic you know? Kind of soothing, a bit like Bookies eyes blinking when she was a worm - that was mesmorising as well.

 

I think I better go to bed - I'm obviously overtired

[dolfos]

With all respect, this is not the best advice.

The court will not like the fact that the claim has been split, this ammounts to abuse of the court system. The claim will have to be kept as one.

 

thanks for this yes I agree although scary the claim will go in as one. court costs initially 400UKP for our claim amount. I know legal representation is normal in multi track but I don't think cost wise this will be possible however I am not backing down. I imagaine HSBC will be expecting us to back down at court stage as they obviously no our finances are very tight! (largely contributed by them).

LBA letter due tomorrow still nought from HSBC.

[Andy9012]

Hi Dolphos,

 

Been looking at this thread as I have a friend who is looking into claiming back unfair charges from Barclays for his Ltd Co and we have a feeling that his claim will be in the same region as yours.

 

Personally I'm claiming 1500 against Lloyds for my personal account.

 

It occured to me while reading some of the initial reactions from some posters saying that because of the amount they can't see HSBC giving in without a fight. Just wanted to say that while your claim is a hell of a lot compared to most of the others on this site, I can't see it making any difference to HSBC really, its still a drop in the ocean to them and I imagine there are hundreds of people claiming say and average of £1000 against them so yours is still a very small chunk in the big picture. What I'm trying to say is go for it! If anything the amount of your claim means you have a better chance! All the best.

[dolfos]

Hi Dolphos,

 

Been looking at this thread as I have a friend who is looking into claiming back unfair charges from Barclays for his Ltd Co and we have a feeling that his claim will be in the same region as yours.

 

Personally I'm claiming 1500 against Lloyds for my personal account.

 

It occured to me while reading some of the initial reactions from some posters saying that because of the amount they can't see HSBC giving in without a fight. Just wanted to say that while your claim is a hell of a lot compared to most of the others on this site, I can't see it making any difference to HSBC really, its still a drop in the ocean to them and I imagine there are hundreds of people claiming say and average of £1000 against them so yours is still a very small chunk in the big picture. What I'm trying to say is go for it! If anything the amount of your claim means you have a better chance! All the best.

 

Thanks.

I too don't think even with this amount the banks are gonna want to disclose in court which they would have to do real costs to returning cheques and DD's etc. Found some interesting stuff which may be of interest last night:

http://www.bytestart.co.uk/content/finance/small-business-borrowing-costs.shtml

http://www.competition-commission.org.uk/inquiries/ref2005/banking/summary_of_provisional_findings.pdf#search='investigation%20into%20business%20banking%2A'

http://www.competition-commission.org.uk/inquiries/ref2005/banking/banking_prov_sub_hsbc_group.pdf#search='investigation%20in%20to%20business%20banking%20uk%2A'

http://www.rte.ie/business/2001/0306/ukbanks.html

http://www.ft.com/cms/s/aa60af12-81a4-11d9-9e19-00000e2511c8,dwp_uuid=d89d6328-51da-11da-9ca0-0000779e2340,print=yes.html

http://news.bbc.co.uk/1/hi/programmes/moneybox/4198213.stm HSBC really support small business don't they?

http://www.competition-commission.org.uk/rep_pub/reports/2002/462banks.htm#summary

http://news.bbc.co.uk/1/low/business/6034179.stm

http://business.guardian.co.uk/story/0,3604,1427742,00.html?=rss

http://www.thisismoney.co.uk/small-business/article.html?in_article_id=413490&in_page_id=10

http://news.bbc.co.uk/1/low/business/6034179.stm Wonder if Mr DICKEY can prove his statment thats all we want. What do you think????

any comments?

[sarahpp]

Dolfos

 

You have been on my conscience.

 

I have PMd you.

[dolfos]

Ok quick update HSBC have still not sent any kind of response so LBA letter drafted today and shall be sent monday amount now 41,985.76and rising.

thanks to all who have supported me next step court which will be rather interesting I think.

[RETURNED TO SENDER]

Keep going.

[carolbarrie]

I wish you the very best of luck with this claim and, hope that you can soon look back on this time and be proud of how you have managed to fight for what is rightfully yours!!

 

Keep on going..........

 

Carol

[phatram]

Good luck, don't give up.

[dolfos]

Thanks for all support, not giving up.

It is so frustrating that the banks can ignore you and force you down the court route just to add more stress.

well they have 14 days from tomorrow and then i guess it wll be multi track here we come!

Thanks again guys I'm glad a few people are going for the business accouts now too. it is unbelievable how much pressure banks put on small business's as if there were enough issues.

Will keep you all posted!

x

[HSBCrusher]

Great news that you are pressing on...

I cannot believe they have not replied to a letter demanding over 40 grand!

[Guest Tracey284]

Wishing you lots of luck and I am watching. About to have success with HSBC. They filed a defence 24 hours before judgement and I received the AQ but then in came the offer which I queried the interest amount and then they upped it. Just waiting for the cheque!!! Will reveal all once cheque cleared. Only problem - they are making lots of cheques, standing orders, direct debits etc. go rubber on my husband's business account. About to start with this one so will just add them on!