first time claiming for a business account - where to start?

[kao]

Hi everyone,

 

I'm looking for a point in the right direction in reclaiming charges on a business account if this is possible?

I've handled reclaiming in the past on personal accounts (with 100% success ) but this is my first attempt on a business account.

I've used moneysavingexpert a lot, and from a forum on there, I understand that different protocols apply with business accounts and someone posted that there was information on here, along with template letters. I can't seem to find the template letters - can anyone help?

 

What are the differences between claiming on a business acc and a personal acc?

 

I'm with Santander, and closed the business in March, however I've been in a vicious circle of charges since before the business closed. I paid in enough to bring the account just into credit last month (so I thought) and had miscalculated by 13p, so I got another 'unnaranged overdraft' charge!

 

Any help with this would be much appreciated.

Thanks in advance

[elsinore]

Hi kao,

 

Do you still have other accounts with Santander?

 

Were you a sole trader or limited company?

 

Els

[kao]

Hi Els,

 

Thanks for replying

I still have the business account open (charges pending) and this is the only account I've ever held with santander. It was opened for a limited company which is no longer trading.

 

My reclaiming successes were all with other banks

[elsinore]

Hi kao,

 

Presumably, you paid off the debit balance to stop further charges accruing. Unless you close the account, the bank will continue to impose charges ad infinitum.

 

I'm sure you thought you were doing the right thing in trying to clear the balance but, in reality, you would have been better off making the bank whistle for it.

 

Reclaiming charges on a business account is very difficult and thought by many to be impossible. There is no longer an obvious cause of action. There are no template letters. You will only be able to attempt to reclaim charges if the company has not yet been wound up, because it will be the company making the claim, not you personally. You need to look at the way the bank 'managed' the account, find inconsistent and contradictory behaviour, unfairness, etc. You may think you were unfairly treated but you have to try to prove it in court.

 

Is the total sum involved worth chasing?

 

Els

[kao]

Hi kao,

 

Presumably, you paid off the debit balance to stop further charges accruing. Unless you close the account, the bank will continue to impose charges ad infinitum.

 

I'm sure you thought you were doing the right thing in trying to clear the balance but, in reality, you would have been better off making the bank whistle for it.

 

Reclaiming charges on a business account is very difficult and thought by many to be impossible. There is no longer an obvious cause of action. There are no template letters. You will only be able to attempt to reclaim charges if the company has not yet been wound up, because it will be the company making the claim, not you personally. You need to look at the way the bank 'managed' the account, find inconsistent and contradictory behaviour, unfairness, etc. You may think you were unfairly treated but you have to try to prove it in court.

 

Is the total sum involved worth chasing?

 

Els

 

Hi Els,

 

Thank you for your help. Sorry my reply wasn't quicker, I've been very busy recently and have been away.

I'm not sure where to go next with this really. For me, any sum is worth chasing if it's rightfully mine and not theirs, but the total we're looking at is roughly £350, which I reckon is worth the gamble for the cost of a few letters.

There are a number of transactions I don't understand - such as a paid item fee?? I've heard of an unpaid item fee, but not the reverse!

On one particular day I was hit with £75 worth of charges which took the account over the limit and started the whole vicious circle of charges.

 

I haven't paid any more into the account since I tried to settle the balance. As I say I'd undercalculated by just 13p and as such there are charges accruing yet again.

 

With regards to your comments above, should I pay off the balance to stop charges accruing or should I make the bank whistle for it?

Although the company has now been dissolved, I haven't been able to close the account because of the negative balance, so they don't actually know that the co. is no longer trading. Does this help my case?

Also, if it is the company making the claim, not me, does the reverse apply with charges - i.e the company should pay the charges, not me? If so can they be written off now there is no company to charge?

 

I'm definitely going to write to them as it's at least worth a try, but as yet I'm not sure how I'm going to tackle it

 

K

[elsinore]

When the bank refuses to pay a cheque or DD, because there are not enough funds in the account, it charges you an Unpaid Item Fee.

 

When the bank pays a cheque or DD which takes the account balance into an overdraft situation (or above an agreed overdraft limit) it charges you a Paid Item Fee.

 

In other words, whatever happens, you lose!

 

Presumably, the account is in the name of the limited company, which is now dissolved. As long as you have not signed a personal guarantee, the bank cannot call on you to pay any debt on that account, as they are just another creditor of the limited company.

 

By the same token, the limited company cannot claim back the charges because it no longer viable, and you have no right to those charges as an individual.

 

If the company was formally wound up, the bank should have been advised as a creditor. If not, I think you should inform them and they will probably close the account and write off any debit balance.

 

Els:-)

Edited June 9, 2011 by elsinore
typo