Bank charges

[steve.c]

Is there a thread running regarding this latest news item?
http://uk.news.yahoo.com/21/20090226/tuk-banks-los...

[rickyhad]

Well that's the end of free banking then.

[Boozy]

No chance, the banks will appeal to the European courts and so on and so on, it'll drag out for years

[Mrs Grumpy]

And this is only to see if they come under the regulation of the OFT - no decision has actually been made on the fairness or otherwise of fees / charges or what level they should be set at.

[s111dpc]

Mrs Grumpy said:

And this is only to see if they come under the regulation of the OFT - no decision has actually been made on the fairness or otherwise of fees / charges or what level they should be set at.

Correct, and the Banks will petition the House of Lords to appeal the Court of Appeal decision even though the CoA said they couldn't!!

[LaSarthe+Back]

rickyhad said:

Well that's the end of free banking then.

Why should you expect something for nothing? They have provided a service for you, why should they not be expected to charge for it?

[esselte]

LaSarthe+Back said:

rickyhad said:

Well that's the end of free banking then.

Why should you expect something for nothing? They have provided a service for you, why should they not be expected to charge for it?

Actually they do make money from me...takes a few days for payments to go through where's the money for this time...also the banks will be using the cash in my current account too....

[MrV]

LaSarthe+Back said:

rickyhad said:

Well that's the end of free banking then.

Why should you expect something for nothing? They have provided a service for you, why should they not be expected to charge for it?

Well as they get to lend my money out for more than they pay me for it I would say they are already charging me for any services they provide me.

Banks brought free banking in they didn't have their arms twisted and made to do it.

[Jdavis]

doesn't the tax payer own half of most of the banks nowadays. be nice to get some money back from the banks! robbing gits!

[Hedders]

"If upheld, the court's judgment could cost banks £2.6 billion a year in lost revenue and lead to them having to make refunds of up to £1 billion."

I don't get it.

They have been making 2.6 billion every year for a good while in 'illegal charges' yet they would only give back 1 billion of the proceeds of crime?

Surely they have the records of who they stole from, why don't they refund it all?

Anyway, as others have said it will never happen. I have so much faith in it never happening i have not even filed for approx 3k of charges from five years back.

Edited by Hedders on Thursday 26th February 23:20

[Ry_B]

I work for Natwest...I see people with many charges on a daily basis. Whilst I agree they are excessive, there needs to be some charging. And people that get the charges mean free accounts for the rest of us. I'll have a free account as long as I work for Natwest but if I ever leave (more of a matter of when not if) I'll be paying for my account due to people that can't look after their money properly!

[Ry_B]

Hedders said:

"If upheld, the court's judgment could cost banks £2.6 billion a year in lost revenue and lead to them having to make refunds of up to £1 billion."

I don't get it.

They have been making 2.6 billion every year for a good while in 'illegal charges' yet they would only give back 1 billion of the proceeds of crime?

Surely they have the records of who they stole from, why don't they refund it all?

Anyway, as others have said it will never happen. I have so much faith in it never happening i have not even filed for approx 3k of charges from five years back.

Edited by Hedders on Thursday 26th February 23:20

3k worth of charges, wtf!? How can you be so incompetent, i can understand the odd unpaid item here n there but 3k?

[MrV]

Ry_B said:

I work for Natwest...I see people with many charges on a daily basis. Whilst I agree they are excessive, there needs to be some charging. And people that get the charges mean free accounts for the rest of us. I'll have a free account as long as I work for Natwest but if I ever leave (more of a matter of when not if) I'll be paying for my account due to people that can't look after their money properly!

Thats the crux of the problem though ,not that I have had an OD letter for many years iirc it goes letter stating you did not have enough funds to pay a DD with a charge of £35 for that letter followed by another the following telling you you have been charged another £35 for going over drawn.Now the first letter is automated and costs say 50p plus the postage giving the Bank a nice healthy profit of £34.50,I might be wrong but seems rather overboard.

[esselte]

MrV said:

Ry_B said:

I work for Natwest...I see people with many charges on a daily basis. Whilst I agree they are excessive, there needs to be some charging. And people that get the charges mean free accounts for the rest of us. I'll have a free account as long as I work for Natwest but if I ever leave (more of a matter of when not if) I'll be paying for my account due to people that can't look after their money properly!

Thats the crux of the problem though ,not that I have had an OD letter for many years iirc it goes letter stating you did not have enough funds to pay a DD with a charge of £35 for that letter followed by another the following telling you you have been charged another £35 for going over drawn.Now the first letter is automated and costs say 50p plus the postage giving the Bank a nice healthy profit of £34.50,I might be wrong but seems rather overboard.

That's the problem isn't it..it's a punitive charge totally unrelated to what it costs the bank if you go overdrawn for a couple of days...

[Hedders]

Ry_B said:

3k worth of charges, wtf!? How can you be so incompetent, i can understand the odd unpaid item here n there but 3k?

I have explained my circumstances on here before, bank charges add up very quickly once you get into the debt spiral. I was getting half a dozen £30 letters a month at the lowest point.

In approx one year i will be free of all personal debt for the first time in ten years, fingers crossed.

[Ry_B]

I do sympathise in a way that I agree £38 (for an upaid item with Natwest) is OTT, but I think there has to be some penalty. What the limit should be at..I couldn't tell you

Good luck getting it sorted

[esselte]

Ry_B said:

I do sympathise in a way that I agree £38 (for an upaid item with Natwest) is OTT, but I think there has to be some penalty. What the limit should be at..I couldn't tell you

Why not just charge what it actually costs the bank?

[AlexKP]

esselte said:

Ry_B said:

I do sympathise in a way that I agree £38 (for an upaid item with Natwest) is OTT, but I think there has to be some penalty. What the limit should be at..I couldn't tell you

Why not just charge what it actually costs the bank?

Or even double the £2.50 - let's call it five quid.

No need for the banks to be greedy is there?

[Maxf]

I'd sooner there were no charges but it was impossible to go overdrawn without prior arrangement. Not enough money in your account = the bill doesnt get paid = the ultilty company/cc company etc come after you directly.

[Somewhatfoolish]

esselte said:

Ry_B said:

I do sympathise in a way that I agree £38 (for an upaid item with Natwest) is OTT, but I think there has to be some penalty. What the limit should be at..I couldn't tell you

Why not just charge what it actually costs the bank?

Because the whole can be greater than the sum of its parts... allow everyone to get away with it and why on earth bother keeping an account properly maintained... in which case the bank needs greater reserves and thus the average cost to the bank will increase anyway, most likely to these levels.