Are Banks Exploiting Customers Through Overdraft Charges?

[Art]

But you can't blame a bank for people getting into too much debt. In order to borrow money, you have to be over 18, i.e. an adult. Why should the bank have to hold an adults hand when making a decision? If someone is not able to pay back the money borrowed, then they should have thought more seriously before borrowing the money.

And in this perfect world there should also be no crime so why not get rid of the police force?

If you think adults are capable of making informed financial decisions simply because they are adults (banks too for that matter) then presumably you are blissfully unaware of the current sub-prime banking crisis??

 

[Schrodinger's Dog]

And in this perfect world there should also be no crime so why not get rid of the police force?

If you think adults are capable of making informed financial decisions simply because they are adults (banks too for that matter) then presumably you are blissfully unaware of the current sub-prime banking crisis??

Funnily enough I haven't been following what banks are getting up to these days, except when they go bankrupt, then it's schadenfroider all the way. http://news.bbc.co.uk/1/hi/business/7007076.stm"

I'd quite happily get rid of idiots who believe that a computer should have more power than the bank manager.

 

[NeoDevin]

Is the interest x percent? Or is it not?QUOTE]

Again, I don't know for sure about the UK, but here the interest they charge on things like overdraft is based (at least in part) on the current interest rate the government set, which is subject to change without notice. You can get fixed rate loans, in which the interest rate doesn't change, no matter what the government rates do, but I've never heard of anything like that on overdraft.

 

[Schrodinger's Dog]

Again, I don't know for sure about the UK, but here the interest they charge on things like overdraft is based (at least in part) on the current interest rate the government set, which is subject to change without notice. You can get fixed rate loans, in which the interest rate doesn't change, no matter what the government rates do, but I've never heard of anything like that on overdraft.

I don't think it changed by that much overnight. Knowing them it was some hidden charge they neglected to mention that was going through in addition to the interest, I'll find out on my next statement. I just think the way I've been treated is shocking, I hope when people say not all banks are like these, they are correct.

I was talking to someone yesterday who built up £5400 pounds in charges, so he applied to a company (there are now companies that specialise in suing banks for this reason alone) and they said the amount of money he was paying was about the same as his wages going in. Jesus! Needless to say he got it all back.

 

[mgb_phys]

Again, I don't know for sure about the UK, but here the interest they charge on things like overdraft is based ..on the current interest rate the government set,

The UK banks got into trouble for very high charges in addition to the interest rate.
So if you go overdrawn by a very small amount they charge you £50 and then charge you another £50 if the previous £50 took you further overdrawn.
This recently was ruled illegal and the charges are now limited to the actual cost of telling you that you are overdrawn.

In the UK paying bills by automatic direct debit is much more common so it is very easy to go overdrawn at the end of a month when you are paid on 'last friday of the month' basis but your bills go out on the 28th because the bank regards that as the end of the month.

 

[Schrodinger's Dog]

I thought there was a test case going through at the moment over charges. If I'm not mistaken until this case is resolved there is no legal requirement as such. Although I could be out of date. That said I'd be doing this if it was legal or not. I don't mind paying if I accidentally go overdrawn once. But multiple times is just excessive, I genuinely have been trying as hard as I can to keep up with the charges, once I realized they were doubling them up, but I just can't. Like I say £200 or so pounds may not seem like a lot of money to be throwing into your account over a few months, but when you're not working it is an awful lot. It turns out I would of had to have put in £300 or so to cover it. I just don't see how it's reasonable to keep charging me, despite me telling them that I can't keep up? Anyway I'll see what the bank manager decides to do and take it from there.

 

[B. Elliott]

I thought there was a test case going through at the moment over charges. If I'm not mistaken until this case is resolved there is no legal requirement as such. Although I could be out of date. That said I'd be doing this if it was legal or not. I don't mind paying if I accidentally go overdrawn once. But multiple times is just excessive, I genuinely have been trying as hard as I can to keep up with the charges, once I realized they were doubling them up, but I just can't. Like I say £200 or so pounds may not seem like a lot of money to be throwing into your account over a few months, but when you're not working it is an awful lot. It turns out I would of had to have put in £300 or so to cover it. I just don't see how it's reasonable to keep charging me, despite me telling them that I can't keep up? Anyway I'll see what the bank manager decides to do and take it from there.

I know exactly what you are talking about. This happened to me over a year ago and I just recently fully recovered from it. I've never studied up on how money actually flows through the bank, but some of the penalties seem more like schemes. ie; when/if someone makes a mistake, they nail you to the wall with charges regardless if you are habitual or not. I came to the conclusion that the smaller "hometown" banks aren't near as bad. They appreciate your business vs. a large corporation where you're just and Acct# and that's it. That's why I refuse to let a large corporation make more dollars using my money. I'd rather it go to the people that truly appreciate me being with them.

No to stray off topic, but this thread reminds me of Louis CK...

 

[cristo]

And in this perfect world there should also be no crime so why not get rid of the police force?

Well, that's completely irrelevant.

If you think adults are capable of making informed financial decisions simply because they are adults (banks too for that matter) then presumably you are blissfully unaware of the current sub-prime banking crisis??

Quite frankly, it doesn't matter whether adults indeed are capable of making informed financial decisions, but the important thing is that they should be! Why should I have to pay solely due to the fact that some people are too irresponsible with their money? I'd much rather that fees were charged to the people that break the terms and conditions of their contract than fees are charged to everyone to cover for the fact that some of these people will break the terms and conditions of their contract.

I'm sorry, but the answer to the problem of fees is: if you don't like them, then don't go overdrawn!

 

[Schrodinger's Dog]

Everyone goes overdrawn, they don't expect, nor should they be expected to be charged twice for it. I don't make a habit of it. But like most people, I'm not going to be ripped off by people who have little or no consideration for my financial position. There's a reason why this sort of thing is being brought before the courts, and guess what, it isn't because some people are bad with their money. I don't see how anyone else is affected by my charges anyway. I'm not asking them not to charge me if I go overdrawn, I'm asking them not to rack it up, because I can't keep up with the charges.

I don't see how going £1 overdrawn once in a blue moon is being irresponsible with your money anyway. It's hard to keep up with the ins and outs of an account sometimes and mistakes are made. If I was doing it persistently, I could understand. In 8 years I've gone overdrawn 3 times. That's hardly irresponsible.

Although it's a side issue I think the fees are patently unfair anyway. It costs them mere pence to process an overdrawn account, I don't see where the £28 comes in there, do you?

 

[montoyas7940]

Fees are one of the most effective ways for a bank to profit. They take advantage of peoples poor money habits. And plenty of people have very bad money habits.
My bank does this thing that drives me nuts. They post debits largest to smallest so if someone overdraws it is more likely to generate multiple overdrafts. I think that is just wrong.

BUT!

If you are repeatedly finding yourself frustrated with your bank over your overdrafts maybe a slight modification to your behavior is in order. Have you considered keeping a pad (emergency fund) of extra money in your account. Pretend it does not exist. And don't spend it no matter how bad you want something. It is hard at first but it gets easier.

 

[Schrodinger's Dog]

If you are repeatedly finding yourself frustrated with your bank over your overdrafts maybe a slight modification to your behavior is in order. Have you considered keeping a pad (emergency fund) of extra money in your account. Pretend it does not exist. And don't spend it no matter how bad you want something. It is hard at first but it gets easier.

It would be hard to keep to it when funds are short. I tend to reduce my overdraft to £50 when I'm in work anyway. And then start paying into my ISA, usually a good back up. But it's currently empty.

It's not a repeated thing anyway. I wouldn't say going overdrawn 3 times in 8 years is a problem.

 

[cristo]

There's a reason why this sort of thing is being brought before the courts, and guess what, it isn't because some people are bad with their money.

But then anything gets taken to court nowadays-- there was a guy who took Ladbrokes to court when he found himself with hundreds of thousands of pounds of gambling fees saying that the company "didn't stop him from gambling." Of course, the judge dismissed that case since he was an adult, and shouldn't expect to be bailed out in life.

I don't see how anyone else is affected by my charges anyway.

The point is, though, that if this goes through the courts, and the judges decide that the charges are unfair, then that will be an end to free banking. The banks will have to start charging for bank accounts in order to make their money that would otherwise be made from fees from people breaking the terms and conditions.

Oh, and no, "everyone" doesn't go overdrawn!

 

[Schrodinger's Dog]

Alright everyone except you. And I don't see other countries charging exorbitant amounts for going overdrawn, or stacking them up either for that matter.

It's going to court as a precedent test case, that's not an ordinary case. If it fails it will go to the EU, you can guess what they are going to rule. Basically you can't charge £28 pounds+ for a few pence in cost incurred. That is at the heart of these cases.

I don't see how it's going to be an end to free banking when as far as I can tell most countries charge sensible amounts. I mean \simeq $6 in the US, I don't see their system collapsing around their ears.

 

[cristo]

I mean \simeq $6 in the US, I don't see their system collapsing around their ears.

But is banking free in the United States? In the UK you can get a free bank account regardless of your circumstances, but in the US I think there are some restrictions on free bank accounts; namely minimum monthly deposits, or something like that (see here for e.g. .. a checking account is the US equivalent to a current account.) Also, you're not comparing a like for like system: when was the last time you were charged for using an ATM that didn't belong to your bank? Finally, I can't comment on your "$6" figure, since you've plucked it out of the air without giving sources.

 

[Schrodinger's Dog]

Source was Greg Bernhardt, he said that earlier, actually it was $5. If anyone knows of any accounts that charge in the region of $60 for going overdrawn I'll be glad to hear. I doubt I'm going to find sources for it anyway. Charges are not something they are likely to advertise on their web sites.

I don't see that there's much of a difference to be honest. I'm sure banks have low interest current account equivalents, remember you actually make a loss on the money in a current account as it's not index linked. I also don't hear of any thing like these sorts of charges in Europe. And I'm pretty certain they have current accounts of equal types. I think your idea that free banking - as ironic as that term is - would collapse if the fees were removed is a bit of a straw man.

Also, you're not comparing a like for like system: when was the last time you were charged for using an ATM that didn't belong to your bank?

Didn't they abolish that for the same reason that the UK was one of, if not the only country in the EU to still charge for using someone elses machine. It's not necessary to do that with the system being easily able to link up.

And do you really want me to go through the whole internet and try to find a like for like system I'm pretty sure that they exist on the continent. But if you really want me to show the inevitable then I will.

We shall see anyway, the gratuitous overcharging seems set to become a thing of the past.

I'd love to see how phlegmatic you would be, if you got charged £300 for effectively going £1 overdrawn. I think you are taking the line of, I am always in the black so I shouldn't care about what is fair.

 

[cristo]

Source was Greg Bernhardt, he said that earlier, actually it was $5.

But, to the best of my knowledge, over draft protection fees in the US (like the $5 greg quoted) aren't the same as charges for going over drawn in the UK. Overdraft protection fees are fees paid for the bank to transfer the required amount of money from your savings account, or credit card, in order to cover the transaction in your checking account. In your case, this wouldn't help you.

I'd love to see how phlegmatic you would be, if you got charged £300 for effectively going £1 overdrawn. I think you are taking the line of, I am always in the black so I shouldn't care about what is fair.

By the way, I never said I haven't gone overdrawn, I'm just saying the fees aren't "unexpected" or "unfair." When I went overdrawn I just transferred at least twice the amount of the impending fee into my account and left it there for a few months, so as to avoid the recurring fees.

 

[Schrodinger's Dog]

Lucky you for having the money to cover it. It doesn't make the amounts any more fair, or the fact that they double the charges up, easier to take. I could not cover it if I wanted to. I simply did not have the funds available, and thus £300. As I said before I tried putting in £200, but it was never enough.

And anyway, can you suggest a European bank that operates in the same manner, with charges of £30, well effectively £60 for going overdrawn. If your bank is able to make the move to discuss issues and resolve them, good for you. Mine is not, the computer won't allow them to make decisions for themselves. How and why this is the case I haven't thought to ask? But I will.

I don't think many Americans would be too pleased with having to pay $120 dollars for going overdrawn either. Nor would any Europeans I think. It's not really going to stand up to legal proceedings, there's a good reason for that.

 

[B. Elliott]

Source was Greg Bernhardt, he said that earlier, actually it was $5. If anyone knows of any accounts that charge in the region of $60 for going overdrawn I'll be glad to hear. I doubt I'm going to find sources for it anyway. Charges are not something they are likely to advertise on their web sites.

I don't see that there's much of a difference to be honest. I'm sure banks have low interest current account equivalents, remember you actually make a loss on the money in a current account as it's not index linked. I also don't hear of any thing like these sorts of charges in Europe. And I'm pretty certain they have current accounts of equal types. I think your idea that free banking - as ironic as that term is - would collapse if the fees were removed is a bit of a straw man.



Didn't they abolish that for the same reason that the UK was one of, if not the only country in the EU to still charge for using someone elses machine. It's not necessary to do that with the system being easily able to link up.

And do you really want me to go through the whole internet and try to find a like for like system I'm pretty sure that they exist on the continent. But if you really want me to show the inevitable then I will.

We shall see anyway, the gratuitous overcharging seems set to become a thing of the past.

I'd love to see how phlegmatic you would be, if you got charged £300 for effectively going £1 overdrawn. I think you are taking the line of, I am always in the black so I shouldn't care about what is fair.

The most typical here in Tennessee/Georgia is $25-$30 per OD fee. I've seen some higher than that depending on the frequency. I have friends with excellent credit and they don't even get cut any slack.

 

[Schrodinger's Dog]

The most typical here in Tennessee/Georgia is $25-$30 per OD fee. I've seen some higher than that depending on the frequency. I have friends with excellent credit and they don't even get cut any slack.

It's not quite $120 though is it?

£12.50 or so sounds fair enough. I'm assuming they don't roll the charges over.

 

[chroot]

You've already squandered hundreds of pounds in needless overdraft fees, yet somehow you claim that you couldn't manage to keep a hundred pounds in the account as a pad? That doesn't make sense. You should strive to have at least one month of living expenses in your checking account, preferably three or more.

If you find that you cannot deal with the bank because you cannot abide by the terms of the contract you signed, then stop working with banks. Get your paychecks cashed, and just live on cash. You seem to have incredible self-control problems if you're always teetering right on the very edge of overdrafting.

I agree with others that you're a miserable customer, and the bank probably frankly doesn't really want you, which is why they're so unwilling to work with you. I find it interesting how little responsibility you take for your own actions.

I bank with a credit union that gives me 5% APR on my checking account, pays my ATM fees at any ATM worldwide, has never given me a fee for anything (they even give me free checks), and has never been less than gracious with me. I have overdrafted once in the last 8 years, and one of the ladies called me at work and told me that if I could come in and make a deposit before the end of the day, they would try to clear the check again the next day, and it would be like nothing had ever happened.

Maybe they're so gracious because I've been a valuable customer that has never given them any kind of a headache. You say you've been a long-time customer, as if that should automatically give you some kind of preferred status. The truth is, you've been a lousy customer the entire time, so what's in it for them?

- Warren

 

[Schrodinger's Dog]

You've already squandered hundreds of pounds in needless overdraft fees, yet somehow you claim that you couldn't manage to keep a hundred pounds in the account as a pad? That doesn't make sense. You should strive to have at least one month of living expenses in your checking account, preferably three or more.

I think you miss the point, I could never cover the charges. I put in all I could.

Yes I'm sure everyone strives to try and keep up with $120 dollar charges when they are unemployed. I couldn't, I guess that makes me evil.

3 months I take it you have been unemployed for 5 months and found that you could easily not dip into savings? I guess also if you didn't have them you would find it equally easy to do so?

I'm not expecting anyone to understand, the fact is the banks are being sued left right and centre for their practices and successfully too, like I could care less. The charges are stupid and they are about to be pronounced so in law. As far as I'm concerned that's a victory for common sense.

Maybe they're so gracious because I've been a valuable customer that has never given them any kind of a headache. You say you've been a long-time customer, as if that should automatically give you some kind of preferred status. The truth is, you've been a lousy customer the entire time, so what's in it for them?

- Warren

So banks actually are gracious because of how wealthy you are. And I'd hardly say I've been a bad customer for going overdrawn twice with them in 8 years. Basically they are nice to you because you have lots of money. They are nasty to me because I don't, I hardly find that to be a reason to change your attitude. Like I said before when I was a student they were nice as pie. The moment I became a low earner or unemployed they turned nasty.

 

[chroot]

I think you miss the point, I could never cover the charges. I put in all I could.

You can check online or via telephone to get your balance up-to-the-minute, right? So whenever you write a check or use your debit card, you should know exactly whether or not you can cover it. With the advent of electronic banking and instantaneous balances, there's no longer any excuse for overdrafting -- which is probably why the banks jacked the fines up so high. It's not like the old days when all business was conducted via checks that took 5-10 business days to clear, and overdrafting was sometimes unavoidable.

Yes I'm sure everyone strives to try and keep up with $120 dollar charges when they are unemployed. I couldn't, I guess that makes me evil.

Don't put words in the mouths of others. I never called you evil, but I definitely think you need to wise up a bit here. You can stop this overdraft problem, so do it. Stop trying to make it the bank's fault. You know exactly what will happen if you overdraft again, so stop doing it.

- Warren

 

[Schrodinger's Dog]

It is though. So you approve of charging people beyond their ability to pay? I'm sure every time people use their debit cards, or a cheque they check up on their account, oh come on, like you have never made a mistake about your finances?

It was a one off mistake, it happens, I don't see the logic in doubling up charges because of a simple mistake. And I am not a bad customer anyway.

Stop making mistakes. Sorry boss. I'm as careful as the next man, in fact often very careful, but sometimes interest goes through, or an expense you weren't expecting. That happens to everyone. The difference between me and you is when it happens to you, you have the money to cover it because you have money above and beyond all the time, and that's about it.

 

[chroot]

So banks actually are gracious because of how wealthy you are, and I'd hardly say I've been a bad customer for going overdrawn twice with them.

I don't understand. First you're claiming that you overdrafted so many times, and collected so many fees, that you had to literally walk away from the bank. Then you did the same thing to another bank, and went back to the first one, and are now in the same predicament all over with the new one.

Now, you're claiming that you've only overdrafted twice, and are otherwise a model customer. What's your deal? I get the feeling you're painting a far rosier picture of yourself than you should.

Basically they are nice to you because you have lots of money. They are nasty to me because I don't, I hardly find that to be a reason to change your attitude. Like I said before when I was a student they were nice as pie. The moment I became a low earner or unemployed they turned nasty.

There's a whole lotta personalization going on here. Do you realize that? This is about the tenth time you've repeated this mantra that somehow your wage status makes them think less of you and treat you especially poorly. You're grasping for some nebulous reason to think the bank is against you, rather than just accepting that you screwed up and owe the fees that you agreed to in your contract. I get the feeling that you have adequacy issues, and want us all to believe this is some kind of mistreatment based on your socioeconomic status, when it just honestly, clearly, is not. You wrote a check you could not cover. Wake up.

- Warren

 

[cristo]

It's not quite $120 though is it?

£12.50 or so sounds fair enough. I'm assuming they don't roll the charges over.

You can't just compare prices like that-- you can't say the £30 fees in the UK is equal to $60 fees in the US. Being charged $25 bank fees on a US bank account is equivalent to being charged £25 bank fees on a UK bank account. If you go to the US you don't see things that in the UK cost £10 costing $20.. they cost $10 (OK roughly speaking).

 

[Schrodinger's Dog]

I was charged for being charged, then charged for being charged then charged for being charged, because I couldn't keep up, I hardly find myself at fault for being unable to pay charges that are ludicrously inflated anyway.

You can't just compare prices like that-- you can't say the £30 fees in the UK is equal to $60 fees in the US. Being charged $25 bank fees on a US bank account is equivalent to being charged £25 bank fees on a UK bank account. If you go to the US you don't see things that in the UK cost £10 costing $20.. they cost $10 (OK roughly speaking).

Well they don't do it in Europe either, but as you well know, banks aren't going to publicise their fees.

There's a whole lotta personalization going on here. Do you realize that? This is about the tenth time you've repeated this mantra that somehow your wage status makes them think less of you and treat you especially poorly. You're grasping for some nebulous reason to think the bank is against you, rather than just accepting that you screwed up and owe the fees that you agreed to in your contract. I get the feeling that you have adequacy issues, and want us all to believe this is some kind of mistreatment based on your socioeconomic status, when it just honestly, clearly, is not. You wrote a check you could not cover. Wake up.

- Warren

Wake up to what? That you get **** on from a great height if you can't afford to pay charges?

Yeah seriously, I'm the one that needs to wake up here?

I made a mistake it cost me £300 pounds, despite my best efforts? Is that really fair, don't you think had it happened to you, that circumstances might of been different? Tell me why when I say I can't pay, they say there's nothing we can do, in fact let's make it better by introducing more charges. That makes sense.

 

[chroot]

It is though. So you approve of charging people beyond their ability to pay? I'm sure every time people use their debit cards, or a cheque they check up on their account, oh come on, like you have never made a mistake about your finances?

I agree that the fees are very large, but that would seem to be a major deterrent against overdrafting -- but for some reason, it's not working for you.

It was a one off mistake, it happens, I don't see the logic in doubling up charges because of a simple mistake. And I am not a bad customer anyway.

First it was so many mistakes that you had to leave two different banks for the same problems. Then it was three mistakes in eight years, then a few posts ago it was down to just two. Now, apparently, you'd like us all to believe this has actually only happened once? You're incredible.

Stop making mistakes. Sorry boss. I'm as careful as the next man, in fact often very careful, but sometimes interest goes through, or a charge you weren't expecting. That happens to everyone.

You should not be charged interest anyway, unless you're under the account's minimum balance requirement or are otherwise not meeting your end of the deal. You've also said that your "interest" is only a few pounds a month. If you are literally so close to zero that a three-pound fee puts you into overdraft, then you're just not responsible with your money. Use this as a learning experience and move on with your life.

- Warren

 

[cristo]

You can stop this overdraft problem, so do it. Stop trying to make it the bank's fault. You know exactly what will happen if you overdraft again, so stop doing it.

Finally, some words of wisdom in this thread!

 

[Schrodinger's Dog]

Finally, some words of wisdom in this thread!

Stop making mistakes occasionally, and in fact not often? That passes for wisdom does it?

Warren it's two with this bank, unless they have some sort of psychic ability there's no way they can know about the other bank. Because my credit rating is still flawless.

You should not be charged interest anyway, unless you're under the account's minimum balance requirement or are otherwise not meeting your end of the deal. You've also said that your "interest" is only a few pounds a month. If you are literally so close to zero that a three-pound fee puts you into overdraft, then you're just not responsible with your money. Use this as a learning experience and move on with your life.

- Warren

I'm not paying it, and the likelihood is I won't have to. I'm sure that eats you up inside, because justice has not been served. But frankly I don't think anything about the situation has any sort of air of justice.

You get charged interest for an overdraft facility. Almost everyone has one.

Since the average amount of debt in this country is well over £20,000 pounds. And I have £300 I'd say that I'm more responsible than most.

 

[chroot]

Stop making mistakes occasionally, and in fact not often? That passes for wisdom does it?

Sounds pretty wise to me.

I'm not paying it, and the likelihood is I won't have to. I'm sure that eats you up inside, because justice has not been served. But frankly I don't think anything about the situation has any sort of air of justice.

I couldn't care less about whether or not you pay your bank, nor about "justice" in any form in this situation. I think this entire thread is hysterical actually. Your distortions are really, really comical.

You get charged interest for an overdraft facility. Almost everyone has one.

I don't have an overdraft plan. If you really, truly do not think you can avoid overdrafting (and I think it's positively silly for you to claim that you cannot), how about trying a different strategy?

Go into your bank, and offer to open a credit card with them, with a low limit, say 500 or 1,000 pounds. Make an agreement with the bank that you will only open a credit card if it has no annual fees, and they agree to make cash advances against it when you overdraft.

Take the card home, and leave it in a drawer somewhere. You'll help your credit score a bit, you'll eliminate the possibility of fees, and if you still just can't manage to stop overdrafting, you'll just end up with the amount on a credit card, which you can pay off within a month with no penalty, or pay off more slowly if you're in a major bind.

If your bank will not agree to link your accounts or offer you this kind of service, then find another bank who will, and break this endless cycle.

- Warren

 

[Schrodinger's Dog]

Sounds pretty wise to me.
I couldn't care less about whether or not you pay your bank, nor about "justice" in any form in this situation. I think this entire thread is hysterical actually. Your distortions are really, really comical.

No it's quite clear justice has never been a part of your argument.

I don't have an overdraft plan. If you really, truly do not think you can avoid overdrafting (and I think it's positively silly for you to claim that you cannot), how about trying a different strategy?

Go into your bank, and offer to open a credit card with them, with a low limit, say 500 or 1,000 pounds. Make an agreement with the bank that you will only open a credit card if it has no annual fees, and they agree to make cash advances against it when you overdraft.

Can't do that on a current account.

Take the card home, and leave it in a drawer somewhere. You'll help your credit score a bit, you'll eliminate the possibility of fees, and if you still just can't manage to stop overdrafting, you'll just end up with the amount on a credit card, which you can pay off within a month with no penalty, or pay off more slowly if you're in a major bind.

If your bank will not agree to link your accounts or offer you this kind of service, then find another bank who will, and break this endless cycle.

- Warren

No bank will on a current account. And there's no reason for me to have a credit card anyway.

I really wish you stop using hyperbole, going overdrawn 3 times in 8 years is hardly a never ending cycle. I don't think it's making your case any more apt.

I'm not complaining about overdrafting I'm complaining about having to pay £300 pounds, and in fact now without putting a stop to it it's likely to just run away into thousands and thousands of pounds.

I think I'd be an idiot to not put my foot down and say enough is enough. I can't pay this, I won't pay this.

 

[chroot]

No bank will on a current account. And there's no reason for me to have a credit card anyway.

Like I said, if the bank will not offer you this service, then go find another who will. Most banks would be happy to set something like that up for you. I've used these kinds of set-ups before; they're quite common and seem like they would work very well for you.

If you're too dense to understand, I'm not suggesting that you get a credit card to actually use. I'm only suggesting that you get a credit card which can be used only as a line of credit for overdraft protection.

Or perhaps you're not actually here to find any kind of solution to the problem?

- Warren

 

[cristo]

I'm not complaining about overdrafting I'm complaining about having to pay £300 pounds, and in fact now without putting a stop to it it's likely to just run away into thousands and thousands of pounds.

I think I'd be an idiot to not put my foot down. And say enough is enough.

It's hardly very intelligent to knowingly let your debt with a bank increase and increase with more fees and compound interest on an unarranged overdraft is it?

 

[Schrodinger's Dog]

Like I said, if the bank will not offer you this service, then go find another who will. Most banks would be happy to set something like that up for you. I've used these kinds of set-ups before; they're quite common and seem like they would work very well for you.

If you're too dense to understand, I'm not suggesting that you get a credit card to actually use. I'm only suggesting that you get a credit card which can be used only as a line of credit for overdraft protection.

Or perhaps you're not actually here to find any kind of solution to the problem?

- Warren

None will on a current account. And resorting to ad hominems is also not making your case any better either.

And I don't see why I should have to get a credit card to protect against charges that just build and build forever, IMO it would be more sensible to just say "I tell you what why don't we freeze the charges and you just pay what you can", something that you personally would probably get in the blink of an eye. Because your bank doesn't treat you like a second class prole.

I think credit cards are pointless, I don't need one just to pay off stupidly over the top charges that will be removed as soon as I kick up a fuss anyway, if not in a court of law.

It's hardly very intelligent to knowingly let your debt with a bank increase and increase with more fees and compound interest on an unarranged overdraft is it?

Well that was worthless, why don't you go back and read the thread, there was nothing I could do, because I couldn't afford the charges, no matter how hard I tried.

My way is better anyway, these cases always result in the bank having to pay back charges. Because as someone said earlier, it's all but illegal apart form the court case. See I'm just adding my complaint to the thousands that have already been voiced, and already got all their money back. I'd rather make a statement than give into frankly skewed advice that has no real consideration of the reality.

I know it's unfair to the banks, they work hard to rip people off, but diddums frankly.

 

[chroot]

I really wish you stop using hyperbole, going overdrawn 3 times in 8 years is hardly a never ending cycle. I don't think it's making your case any more apt.

You've had to leave two banks because you could not handle the charges that you incurred yourself, and now you're teetering on the edge of doing it again. That sure sounds like an endless cycle to me.

I'm not complaining about overdrafting I'm complaining about having to pay £300 pounds, and in fact now without putting a stop to it it's likely to just run away into thousands and thousands of pounds.

You already knew quite well what would happen if you overdrafted. You've apparently had quite a bit of experience with it. The appropriate time to "put a stop to it" would be those times you make purchases you cannot cover.

- Warren

 

[chroot]

None will on a current account. And resorting to ad hominems is also not making your case any better either.

Then go find another bank who will set this up for you. It will solve all your damned problems. Why do you not want your problems to be solved?

- Warren

 

[chroot]

And I don't see why I should have to get a credit card to protect against charges that just build and build forever, IMO it would be more sensible to just say "I tell you what why don't we freeze the charges and you just pay what you can", something that you would probably get in the blink of an eye.

I think credit cards are pointless, I don't need one just to pay off stupidly over the top charges that will be removed as soon as I kick up a fuss anyway, if not in a court of law.

Do you want to solve the problem, or not?

- Warren

 

[chroot]

it would be more sensible to just say "I tell you what why don't we freeze the charges and you just pay what you can", something that you personally would probably get in the blink of an eye. Because your bank doesn't treat you like a second class prole.

Your bank doesn't treat you like a second-class anything. They are not judging your worth as a human being, dude. Your bank treats you like a person who habitually fails to keep enough money in his account to cover his expenditures. It's really that simple.

- Warren

 

[Schrodinger's Dog]

Do you want to solve the problem, or not?

- Warren

Yeah the way that people have been doing, suing the banks and winning over and over again. Seems like justice is served that way.

Your bank doesn't treat you like a second-class anything. They are not judging your worth as a human being, dude. Your bank treats you like a person who habitually fails to keep enough money in his account to cover his expenditures. It's really that simple.

- Warren

Yeah back in the real world.

Habitually would mean commonly that has never happened.

I know you'd just pay out the money. Me I am poor I can't afford to. Simple as that. So my only option is to take them to court and get it back. It's inevitable.

Given the choice, keep racking up illegal charges because I can't pay, or take them to court and get them removed. Hmmm it's a toughy, pardon me if I don't take your advice.

 

[Cyrus]

Warren meet my friend:

Please, continue talking.

 

[chroot]

Yeah the way that people have been doing, suing the banks and winning over and over again. Seems like justice is served that way.

Okay, so you don't want to solve the problem. You want to turn this into a war, one that you very probably will not win... rather than just making one small change to your banking set-up that will eliminate the problem in the future. Smart!

Habitually would mean commonly that has never happened.

Look, normal folks do not overdraft so frequently that they need to leave a bank, much less several banks! This is not common, this is not normal, this is not acceptable. You're acting as though everyone on Earth is in the same boat with you, when clearly you're an exceptionally bad customer.

- Warren

 

[Schrodinger's Dog]

So you think I should let the charges build to thousands of pounds, despite them being illegal? ok but pardon me while I ignore your concerns.

Okay, so you don't want to solve the problem. You want to turn this into a war, one that you very probably will not win... rather than just making one small change to your banking set-up that will eliminate the problem in the future. Smart!

How is getting all your charges refunded not a win?

Look, normal folks do not overdraft so frequently that they need to leave a bank, much less several banks! This is not common, this is not normal, this is not acceptable. You're acting as though everyone on Earth is in the same boat with you, when clearly you're an exceptionally bad customer.

- Warren

3 times in 8 years? You people are just not aware of the real situation, if given the choice to rack up thousands in charges because I can't pay, rather than have a 100% chance of getting them all refunded is wise council then fair enough.

Let's face it the problem is the charges, the solution is the law.

 

[chroot]

I know you'd just pay out the money. Me I am poor I can't afford to. Simple as that. So my only option is to take them to court and get it back. It's inevitable.

Given the choice, keep racking up illegal charges because I can't pay, or take them to court and get them removed. Hmmm it's a toughy, pardon me if I don't take your advice.

You can't even afford the overdraft fees, much less the legal fees. You won't win anyway, because you agreed to the fees before you overdrafted. It's an asinine plan. What you need to do is suck up your mistakes and move on. I've given you a very clear solution, one that many, many other people use.

- Warren

 

[Schrodinger's Dog]

You can't even afford the overdraft fees, much less the legal fees. You won't win anyway, because you agreed to the fees before you overdrafted. It's an asinine plan. What you need to do is suck up your mistakes and move on. I've given you a very clear solution, one that many, many other people use.

- Warren

I won't win? Despite everyone who has tried it winning by default because the charges are illegal? The companies that do this charge 10% of your claim. It's a no loss situation. They exist simply to do this atm.

No I won't suck up my mistakes, I'll accept that I am human and that making mistakes shouldn't involve thousands in charges because you can't pay. Especially when the law is on my side.

It's not an asanine plan, because it actually works all the time.

 

[chroot]

Warren meet my friend:

...

Please, continue talking.

And, yeah, Cyrus. I understand. SD here has an ulterior motive, and is not interested in any practical, simple solutions.

- Warren

 

[Schrodinger's Dog]

And, yeah, Cyrus. I understand. SD here has an ulterior motive, and is not interested in any practical, simple solutions.

- Warren

Yeah ulterior motive is, to get justice. Sorry if my justice and my countries laws don't agree with yours; such is life.

Why get a credit card when you can get all your money back without it? Seems like an unnecessarily laboured condition?

In future? Well in future the charges will be made illegal so this won't be an issue, we will be paying only for the amount such charges incur. In fact if anything the sheer number of people that are doing this is just strengthening the case against banks. So why not jump on board the justice wagon?

 

[chroot]

Why get a credit card when you can get all your money back without it? Seems like an unnecessarily laboured condition?

1) If you propose this solution to your bank, they will likely accept it, and might be willing to cut you a break and dismiss the charges, too.

2) Because it will prevent this situation from happening again in the future, which should be your first order of business -- not "justice."

3) Because you will thereafter have a mutually pleasant relationship with your bank, and your life will be easier and more enjoyable in the future.

- Warren

 

[Schrodinger's Dog]

1) If you propose this solution to your bank, they will likely accept it, and might be willing to cut you a break and dismiss the charges, too.

2) Because it will prevent this situation from happening again in the future, which should be your first order of business -- not "justice."

3) Because you will thereafter have a mutually pleasant relationship with your bank, and your life will be easier and more enjoyable in the future.

- Warren

Why? I can't lose by my strategy?

Why have a pleasant relationship with morons? Who have repeatedly told me tough, if you can't pay, there's nothing we can do about it? Am I not allowed to complain about stupidity? I think personally that the solution I have put forward is of course the best solution, they certainly won't give me a credit card at the moment. And even if I could get one elsewhere why would I want to, there just something that gives you more temptation to spend beyond your limits. Am I supposed to get one because people are being stupid? Why not just let the law take its natural course, and if the bank hates me, why not just move to another one? They can't give me bad credit for winning a legal case, which is inevitable anyway? If they hate me so be it, frankly I really could open up another account at another bank tomorrow so why should I care?

I get to take the bank to court, win and then get a pleasant relationship with a new bank. And at the same time I get to take idiots, who have no concern for their customers to task. This is just win/win isn't it?

 

[chroot]

Ah, I see. So the real reason you don't like my solution is because you think you can't handle the responsibility of having a credit card, even one with a tiny limit that you keep in a drawer. Or, perhaps your credit is shot, and you don't want to admit here that no bank would give you a line of credit, anyway.

I maintain that the only person being stupid here is you. If you're so smart and they're such morons, why have they been so successful at parting you from your money? Just stop and think about that one a bit.

I'm done with this conversation, though, either way. Best of luck to you.

- Warren

 

[Schrodinger's Dog]

I maintain paying thousands of pounds in charges just to obey a moribund system is pointless. See where we differ? I can't lose my way, but I can pay at least £300 your way? That makes sense...

I never said I couldn't handle it, I just think it's wise not to put temptation in anyone's path. Particularly when you don't need to.

Let's see pay nothing because what the banks are doing is illegal or pay £300 because you agree with the system, hmmm another tough choice there.