Can I sue my bank?

[lazoon]

Some 3 years ago my small business died.

 

It was a Ltd Co.,

 

I was sole director/shareholder and it was registered with Companies House.

 

It failed with an overdraft of some £7,000.

 

The bank pursued me personally for the debt and i'm currently paying a token amount each month.

 

I recently queried the bank about this suggesting that they should have taken action against the company rather than me personally

and was told that I would have signed a form at the time taking personal responsibility for any granted overdraft.

 

I don't remember doing this ( it was 4 yrs ago) but accept that it's likely that I did.

 

Can anybody enlighten me as to whether I have any legs to stand on if I revisit the case and sue for wrongful pursuit?

[havinastella]

I think an SAR to the bank may be the way to go.

 

Natwest are well known for having a form where you sign away ALL your rights.

[BazzaS]

Some 3 years ago my small business died.It was a Ltd Co., I was sole director/shareholder and it was registered with Companies House. It failed with an overdraft of some £7,000.The bank pursued me personally for the debt and i'm currently paying a token amount each month.I recently queried the bank about this suggesting that they should have taken action against the company rather than me personally and was told that I would have signed a form at the time taking personal responsibility for any granted overdraft.I don't remember doing this ( it was 4 yrs ago) but accept that it's likely that I did.

Can anybody enlighten me as to whether I have any legs to stand on if I revisit the case and sue for wrongful pursuit?

 

Did you sign a personal guarantee?.

 

If you didn't then you aren't personally liable (save deliberate malfeasance).

If you did, on what grounds do you feel it is "wrongful pursuit" : signing a personal guarantee grants them the right to sue the individual for the company's debts

[lazoon]

I was told that generically I would have signed a personal guarantee.I honestly don't recall.It's a sticking point and I guess that my only way of checking would be to ask for a copy of that form.

[dx100uk]

SAR them

 

dx

[filrobbo]

Ask for proof of debt is there any charges added on to this debt

[BazzaS]

Ask for proof of debt is there any charges added on to this debt

 

Proof of debt? It is an overdraft : did the business draw funds that it did not have at hand?.

 

Charges are an avenue that could be pursued, but since it was a business account : the business may have agreed to those charges.

 

The key is the presence or absence of the personal guarantee, which the SAR should resolve.

[Conniff]

SAR them