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Ombudsman vs small claims court


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I've just received a letter from Lloyds TSB offering me £750 even though I'm trying to claim back nearly £1,700. They have said that they will not enter into any further correspondence regarding my claim and have referred me to the financial ombudsman if I'm still not happy. I'm unsure whether to take this route or whether to press ahead with court action. Does anyone have any thought or feedback on this as I really don't know what to do!

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Hi Partybag,

 

Welcome to CAG!

 

The letter you have recieved is Lloyds standard response letter to a preliminary letter. They are also paying a Gesture of Goodwill to most people - usually £750 if your claim exceeds that figure.

 

Don't worry, just continue with your claim. :)

 

I would send them a letter rejecting the £750 as settlement. Click on the link below for a template.

http://www.consumeractiongroup.co.uk/forum/bank-templates-library/25716-rejecting-offers.html

 

Hope this helps you!

 

Pondfish

  • Haha 1

LloydsTSB - Current Account claim £5,554 settled unconditionally 25.4.2007 :D

If the Pondfish has helped click his scales! ;-)

 

Please donate to this site if you can! :-)

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Thanks for the click!

 

I'm no expert, but i'm glad to be of any help i can! :)

Don't be afraid to ask any questions - however trivial you think they are! We were all in the same boat when we started out, and everyone here does their best to help. So, no need to be alone in your fight against these bullies.:D

 

Pondy

LloydsTSB - Current Account claim £5,554 settled unconditionally 25.4.2007 :D

If the Pondfish has helped click his scales! ;-)

 

Please donate to this site if you can! :-)

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The ombudsman route is likely to take longer and they may not offer you the full amount - court claim is the best way forward IMO.

Please remember to DONATE! Help CAG keep up the fight!

 

 

Any advice or opinion is offered informally & without liability. Use your own judgment and if in doubt seek advice of a qualified and insured professional.

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  • 4 months later...
The ombudsman route is likely to take longer and they may not offer you the full amount - court claim is the best way forward IMO.

 

The Ombudsman will take about 4-6 weeks to get an offer for you and you can reject this until the bank offers charges + stat 8% interest. That is as far as the Ombudsman will normally take it. There is hardly any work for you to do for this as they handle everything.

 

The court process is daunting and not as easy to go through first time, and it takes much longer (maybe 4-6 months). In the end you will get charges + stat 8% interest but will have done a lot of work for it.

 

You can go to court after the Ombudsman but not to the Ombudsman after court.

 

It's your choice.

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