Is the bank taking your Benefits ?

[johnwilsonstorey]

Perhaps it should be Claire Careless !

[Kelly_B]

I am so angry with Lloyds TSB so I'm going to have a mini rant! lol

 

My background: Up until recently I received JSA at £56.00 a week.

 

At the end of November, 2 Direct Debits were due to go out but the bank stopped them as it would have meant I'd be overdrawn by £11.25.

 

I'm not allowed an overdraft, I've asked several times if I could have an emergency one but the answer is still no, they'd rather charge me £35 a time lol

 

Anyway, 2nd January comes and I get charged £110. I was very shocked and upset by this as I really don't have that kind of money to repay. My benefit money was swallowed up by this charge and they then let out Direct Debits meaning I was now £58.63 overdrawn!

 

I called up Lloyds and asked them to explain the charges. I couldn't understand why they wouldn't let the Direct Debits go out in the first place (obviously, I know I'd have been £11.25 overdrawn) yet their charges meant I was now £58.63 overdrawn and with no money cos it had been swallowed up! Effectively they wouldn't let others have their money but they wanted theirs. They also told me I was sent a letter explaining the charges - I argued that I didn't. The woman on the phone was extremely rude and accused me of lying!

 

They explained there was nothing they could do about it and that the charges are fair and reasonable. I was nearly bloody crying on the phone as I have huge money worries and they just seemed to be helping to make it worse!

 

Anyway, there was nothing they could suggest apart from going into the branch to have a meeting with an account manager - and that wouldn't get my money back, they'd just "streamline" my account.....whatever that means.

 

I was so upset then.....now I'm plain angry!

 

I had absolutely no money for the next two weeks, had rent and other bills to pay. I realise it's partly my fault for not having enough money to cover the two DD's - but they could have taken one out saving me a little in charges!

 

Sorry, I'm going off on one a bit here lol

 

It's not the first time they've treated me like this over the years.

 

I've been banking with them since the age of 12 - I'm now 25. That obviously counts for nothing! I realise I'm not the perfect customer and I have let things slip before but I do believe they are not helping me or my situation one single bit!

 

Then I received another letter from Lloyds:

Charges for the period 2 December 2006 to 2 January 2007

 

OverDraft Interest £0.14

OverDraft Excess Fee £90.00

Unpaid Standing Order £35.00

 

Total £125.14

 

Then, again I got charged £125 on 2nd February 2007.

 

I do not have any other payments go into my account, except the JSA.

 

I do not have an overdraft so really they should not be letting me go overdrawn....I've cancelled DD's and SO's because I knew there was not enough money in there but I don't even have the money to pay them off now! The charges came out of my JSA..... as have all charges since September.

 

How can they keep doing this to me and others?

 

They know I'm on no income yet they are putting me further into trouble with their stupid charges.

 

I'm currently in the process of reclaiming my charges from the past 6 years. I've only just heard about the rights to my benefit money and it's a bit too late really as the charges have been taken and I'm not on JSA anymore.

 

I'm currently over £200 overdrawn and refusing to put any money into that account because I believe their charges are unlawful for two reasons: They should'nt have taken them out of my benefit and also they are not allowed to charge over £12.

 

So, I guess all I can do now is to write a complaint after the reclaim thing has finished. I doubt I'll get very far with the complaint but I am so angry with them. They are putting me in a worse financial situation by charging me so much every month and illegally!!!!!!!!!!!.... but the way I see it, they can keep charging me daily interest but they aint having the money!

 

Anyway, sorry for all that. Just wanted a little rant!

[JonCris]

Hi Kelly welcome

 

Have you seen the 1st post by Martin3030 If not cut & paste it & send it to your bank now with an additional letter of complaint about the nobody who upset you

[johnwilsonstorey]

Hello Kelly sorry to read about all you troubles but if you have read this site at any length then you will realise that all the banks are the same.

 

In my opinion they operate only to make as much money from the little man as possible, they especialy seem to single out the ones who they they think cant fight back, but they have dramatically underestimated the power of the internet. Before everybody thought they were the only ones it was happening too but now we are united.

 

Mr. Banker didn't reckon on this!

 

You didnt say how far you were with the claim you are making but if you haven't submitted papers to the court I think you should just add on the charges.

If you are past that stage then once the first case is over sue them again and in the meanitime if the bank wont give you your benefits back (Which I doubt) write to them saying the account is in dispute, that way it should be frozen and no further charges added.

[maybelline]

sorry to hear you have had this trouble with your bank but it is all too familiar, I was treated very bady by Halifax and practically accused of lying, stealing or something unpleasant while on the phone in tears at christmas past, asking why all my benefit had been swallowed up by charges, its about money making for them, so claim back what you are owed as it is your money, best of luck:)

[JonCris]

Phone them back using this service http://www.rectel.co.uk/destination.cgi & try & speak again to the nobody who upset you..........Their ID & when they phoned will be on file

 

It will record the converstaion for you & allow you to download it for use later when you call them to book............You do not need their permission to record the call to which you are a party...........remember Met Police Commissioner Ian Blair & his secret recording of Charles Clarke..Home secretary

[Fox Mulder]

Perhaps it should be Claire Careless !

 

Excellent quip! Made me cackle, anyhow!

 

I am now in the absurd situation whereby whenever I asked for an overdraft extension over the past three years, it was always denied. I have now had a £200 extension forced on me, that I did not ask for and did not want.

 

This is because the bank says it needs to consider what I wrote about benefits. It won't just pay them back to me.

 

I then get a form letter informing me of the interest rate on that un-asked-for overdraft extension! It wasn't needed if they hadn't taken the money in the first place!

 

Does anyone know if and HOW I can work that overdraft into my overall claim, as I do not intend to pay ANY interest on that extra £200 given that it was (a) not asked for, (b) in response to my telling them they'd taken my benefit, which should have been refunded to my account NOT simply put there in cash terms by hiking the overdraft?

 

Can a bank legally 'force' an overdraft onto you in this way? Can it ever be considered an acceptable means of addressing the fact that they took money they had no legal right to?

 

Today was the day the 14 day period on my first claim letter ran out, so I've now got to formulate my second and final demand letter. I'm just wondering how to work this benefits/overdraft situation into the mix...?

[basil the birman]

Visited Barclays yesterday to demand a refund of my benefits which they took last week, I handed them the following letter.

 

Dear Sir/Madam

It has come to my attention that between XXXX and XXXX, you have taken monies totaling XXXX from my account in the form of bank charges.

 

These monies were taken from benefits received from the Department of Works and Pensions, such payments clearly marked as originating from the DWP.

 

It is illegal for you to appropriate such benefits, and as such I am demanding an immediate refund of these charges. The taking of my benefit money has left me without the facility to pay bills and utilities and buy food - the precise reason for these payments by the government. (Please see below for SOCIAL SECURITY ADMINISTRATIONS ACT 1992).

 

Regarding the illegality of taking benefit payments - please do not insult my intelligence by saying you are unaware of this law. It is a matter of public record that there has been correspondence between the Secretary of State and the British Bankers Association chief executive regarding this matter.

 

Failure to provide an immediate refund will give me no alternative but to report you to the Banking Ombudsman and the Department of Works and Pensions. I also have an appointment with the local newspaper regarding this matter; only an immediate refund will cause me to cancel said appointment.

 

187- Subject to the provisions of this Act, every assignment of, or charge on-

(a)benefit as defined in section 122 of the Contributions and Benefits Act;

(b)any income-related benefit; or

©child benefit,

and every agreement to assign or charge such benefit shall be void; and, on the bankruptcy of the beneficiary, such benefit shall not pass to any trustee or other person acting on behalf of his creditors.

 

Yours Faithfully

 

 

I also gave them the right of appropriation letter.The women I spoke with said she had to hand them up the line, and faxed them off. She told me someone would be in contact with me that day, and, as I was preparing to leave she asked if anyone had tried to help with my problems.

One hour later I was offered a temporary overdraft facility (something they have been unwilling to give me for the past 15 years); I find this rather rich considering the reason I'm now massively overdrawn is due to them taking all my benefit in charges!

This probably comes as no surprise - NO-ONE CALLED ME YESTERDAY, NO-ONE CALLED ME TODAY AND I DOUBT ANYONE WILL CALL ME TOMORROW.

I'm perfectly prepared to do what I said in my letter and will be dealing with it tomorrow, but what I really want to know is this:

 

1. How can they do this if it's against the law?

2. Can we involve the police and/or a solicitor? (after all if WE took their money illegally or under false pretences, THEY would have no qualms dropping the police and a fraud charge on us).

3. Why don't they give the money straight back when confronted with their actions?

4. Is there anything else I can do to get this cash back - I am desperate.

 

[Fox Mulder]

That's an excellent letter.

 

I don't have answers to your questions, other than to say that big business is not challenged. Anyone else? Some would argue big business gets away with murder, literally and metaphorically - consider how the elderly die from hypothermia because of massive fuel bills they can't pay, or how UK businesses conduct themselves abroad at times. Then add in forced opt-outs of your rights under EU law regarding work hours - you have a 'choice' of course - sign away the right to a 40 hr week or less, or you don't get the job and you're unemployed. Some choice.

 

Mostly, the banks are way too powerful. They think they can do what they want. Our collective actions are about breaking that arrogance and showing them they can't. Best of luck!

[TideTurner]

Basil,

 

An absolute inspiration, the more people stand up for themselves the better. I was left in Central London with no money or transport when they helped themselves to my account to pay for an old loan. I went into the Branch, and told them if the money wasn't in my account in ten minutes I was going to phone the Police and have them attend. That was 5 years ago, and I phoned my Solicitor at the time from the Manager's office, who advised it was theft.

 

10 minutes later, the money was back in my account.

 

I am not saying you should do this, merely trying to point out what they're capable of.

 

Look at the definition of Fraud (the production of an instrument...Theft Act 1968). The Police have a division called the Serious Fraud Office (frauds must be more than £1m) for them to get interest, and the best way to get them interested is by complaining to the DTI or ICO. You won't get far by yourself, but they will work on volumes of complaints.

 

Tide

[basil the birman]

Thanks Tide Turner, your info is a great help, it gives me a new avenue to explore; cant do any more on this till next week now, but I think I'll give your method a try.

I'm sure it wont surprise anyone to hear that I've still heard nothing from Barclays, despite the 'personal banker' (PB) saying I'd hear the same day (tues) and the complaint acknowledgement (CA) saying the next two working days.

Speaking of the CA, the PB said there was a phone number on it in case I needed to contact them about it; I didn't get to read it till I was home but guess what - THERE WAS NO NUMBER. Also, at the end of the CA, it says it should be read in conjunction with a booklet called 'don't hold back' - I WASN'T GIVEN THIS EITHER!

 

I went to the citizens advice (CAB) today on an unrelated matter, but took advantage and discussed this problem while I was there. She was very impressed with my letter of demand, and the other info I gave her on this subject - she said I should come and work for them:lol:. Anyway, upshot of meeting is that she is going to contact the local rag and get them interested in the story. She also agreed I should go back to Barclays and confront them again; which I can't wait to do especially now I've had Tide Turners input.

I think it's time this issue had the same exposure as reclaiming your bank charges.

 

You know, normally I'm a very quiet, non-confrontational person, but there's only so much you can take before you blow; I have reached my limit. I am tired of being used by these people; of them acting like they've done ME a favour when they offer an overdraft to cover the debt THEY put me in; of them ignoring me cos they think I wont have the guts to follow through with my threats; of being walked all over because they think the 'little man on the street' isn't worth worrying about.:-x:-x

 

Wake up and smell the coffee Big Banks - THE LITTLE MAN AINT LYING DOWN FOR IT ANYMORE!!

 

Thanks for listening - I feel a bit better now;).

P.S. for anyone interested - I'm female, Basil is one of my cats and he's a Birman.

[molly316]

Wow this is truly inspirational and yes great letter, any objections if I use it as well please?

 

Having been given the usual flannel responses to my first letter, I was looking at LBA's to get charges back. On a few occaisions they have taken monies off my benefits and left me nothing. Rather than continue this route, maybe I should be looking at this option for my bank?

 

Good luck gal and do please let us know how you get on, if I hadnt read ur post I dont think I would have thought of this

 

Molly x

[basil the birman]

Hi Molly, thanks for the comments, much appreciated. Feel free to use my letter, I hope it helps.

I will definately keep you all updated on the subject.

First job Monday is contacting my solicitor for their take on this, then Barclays here I come .

[johnwilsonstorey]

Go in just before they close and delay them as much as possible, this will really annoy them.

Watching the news this morning there have been many references to 0870 telephone numbers and how much they cost, perhaps we should all prearrange a time to call into our local branch to complain,firstly about how much it costs to phone them to complain about their charges and then complain about the charges themselves. If everybody did this at the same time it cause cause riots! Anyway why should the Banks make more profit from us,by us phoning India etc. on their 0870 premium rate numbers. This by the way is probably what pays for their call centers.

By the way 'Basil' my wife and I keep Ragdolls.

[johnwilsonstorey]

Almost forgot perhaps it would be a good idea to go with the info on the links of post 88 by old bear then it can show that the banks did know about the legality of making deductions from benefits.

[basil the birman]

I WON, I WON!!!! :D:D:D

 

Oh happy day; have faith everyone, another strike by the little man hits paydirt.

Just got the post and there's a letter from dear old Barclays. Also enclosed is the missing booklet 'don't hold back'.

 

"Your complaint shows you are unhappy with the charges on your account and would like these refunding. Blah blah blah. I have reviewed your account and noted the comments made in your complaint. On this occasion, as a gesture of goodwill, I have credited your account with XXXX. Please be aware that further refunds will be actioned at the banks discretion. Blah blah blah."

 

Now I'm off to buy some food!!

COME ON EVERYONE, COPY MY LETTER AND GET DOWN TO YOUR BANK.

Thanks to everyone who listened and helped - may you all get your benefits back as quickly as this.

 

Jonwilsonstorey, Birmans and Raggys rule! (not the brightest buttons in the box but love em to pieces.)

[TideTurner]

Spot on Basil, I've recommended loads to this site and will point anyone on benefits to your thread if that's OK. Congratulations mate.

[Fox Mulder]

Well done Basil! I'm really pleased for you. x

[less2303]

With regard to this, has anyone reclaimed these charges and subsequently had their accounts closed?

 

I know it happens when people have ordinarily reclaimed their bank charges, but is this different?

 

Looks like I spoke too soon!

 

My Ex has also successfully claimed back benefits taken, and submitted the letter to claim back a further £130 of benefits previously taken, to which she has had no reply.

 

She has now received a letter requested the return of her card and cheque book, as her account is overdrawn and `despite previous reminders` failed to return it to a credit balance.

 

Her account would be in credit if the benefits that have been taken for charges were returned to her.

 

She has been into the local branch and spoken to one of the assistants, who from looking at her account agrees with her, and said someone would contact her within 48 hours, but this hasnt happened.

 

Does the fact that this debit balance was as a result of their unlawful actions make any difference?

 

Is it possible for her to take this matter further?

[less2303]

Also she has been to the bank today as no one has called her back. She has been told, yes, they have agreed to refund the £130, but it will take 14 working days to come through!

 

She has no had to cancel forthcoming standing orders and direct debits, as now the money will not be in on time to meet them.

[TideTurner]

I would tell them that you consider their their threat to close your account as vexative. The Nationwide were recently fined £125.00 for closing somebody's account for that very reason. It was either by the Financial Ombudsman Service or the Office of Fair Trading, can anyone confirm?

 

Ask the bank for the specific reasons why they are closing your account.

 

Then write to the FSO or telephone with your complaint. They should intervene and get this stopped.

 

Tide

[Fox Mulder]

My bank, FD, is misbehaving now. It's told me the OD extension I never asked for - because they were supposed to give back my benefits, not simply add to the overdraft facility - will now be removed March 2 meaning I will be back into actually deeper unauthorised overdraft.

 

My LBA is with them, and days counting down....

[TideTurner]

Fox, If this is going to give you severe problems, you should phone the DTI and see if they could intervene and email or phone your bank. They are more aware of this than ever now.

[Fox Mulder]

Thanks TideTurner - I appreciate the advice - I'm assuming I can get the number from the site here somewhere? I will call them tomorrow.

[TideTurner]

Here you go Fox

 

http://www.dti.gov.uk/administration/contact/index.html

 

Good luck

 

Tide