Would like some advice

[lee6370]

I have 2 accounts with lloyds TSB, a current account and a loan account.

 

The current account has an overdraft of approx £3'500, which lloyds would like me to repay, the loan has approx £350 outstanding (legal action has been mentioned by them)

 

Since the account was always overdrawn they have added interest to the charges and when calculating the interest that have been added to the charges i'm inclined to use their unauthorised overdraft rate (29.8%), since the charges pushed the overdraft over it's limit most months anyway (had £350 in charges in one month, until you see it written down you just don't realise).

 

However its fair to say that this rate would only have been charged on my account about 70-75% of the time. Using the higher rate they have added in charges and interst on the charges over £4'100 to my account.

 

The next problem is what do i do next, with Nationwide i sent them a letter, but my account was in credit so in that case they had my money, but with Lloyds they don't have my money they just claim that i owe them it and it doesn't seem so straight forward.

[alanfromderby]

Use exactly the same process for both - have you looked at the step-by-step guide:

 

http://www.consumeractiongroup.co.uk/forum/showthread.php?t=243

[lee6370]

Yes read this, I understand teh process, just not sure on the following points.

 

1. Should i assume that the interest added to the charges was at 29.8%, since this figure would have been used most of the time.?

 

2. Do you still calim as normal since, i haven't given them them £4'100 they have charged me, I have only given them about £200, the rest Lloyds claim I owe them.

 

i.e. Overdraft = £3500

Loan = £350

 

Charges added to account £4100+

 

So they owe me about £200, and then they need to reduce the overdraft and loan to zero.

 

This is what i'm unsure about

[lee6370]

My claim totals 4'184.25, when i add the 8% interest it totals just over £5'000.

 

Does the £5'000 limit apply to my claim or my claim plus 8% interest.

 

If it's the claim plus 8% interest can I just reduce the days i calculate interst from to bring it under £5'000?

[jonni2bad]

Just to the initial claim...... interest and costs are not included.

[lee6370]

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