Bank charges

[koster]

I thought it had been rules that �30 bank charges were unfair?

How come HSBC is still charging me them?

They are for recall of direct debits that didn't go through when I had insufficient funds.

[NORMANTHEDOG]

it might be ruled unfair,but they still charge for it,more mug you for letting it happen.

[tali122]

they were ruled unfair but iirc not illegal - so its up to each individual to fight the charges

[willowman]

On our business account HSBC make a charge for "reviewing" our overdraft facility, and just remove the money from our account. I imagine this review consists of somebody scrolling down a list of overdrafts and putting a tick against each one.
This costs me �65, because the amount they charge is a percentage of the agreed overdraft amount.
Nobody will explain to me why it costs more to review a �5000 overdraft than a �7000 one.
Am considering a change of bank.

[IainGil]

They are illegal, they are against the consumer act and the banking code. They clearly state that any charge is only to cover administrative costs i.e. sending a letter, and must not be a penalty charge, which they seem to be.
There are lots of us fighting back with lots of success. The banks have never gone to court, they don't want to have a precedent against them. They almost always pay up a refund. You can claim for all charges over the last 6 years.
For more info www.moneysavingexpert.com
Good luck.

[koster]

Thank you. I got as far as receiving copy statements for the last 6 years, but didn't yet get round to doing anything with them.

Unfortunately I'm away from home at the moment so I'll have to wait a few weeks before I can go through the statements.

I read that one bank was closing accounts after a claim. As I have a personal loan with HSBC, is there a danger that they can terminate that if I claim?

[koster]

I have seen companies offering to claim for you. Is it worth using one of those, or unnecessary?

Presumably they take a slice of the proceeds, but how much?

[aseymour]

Go to the money saving expert website and follow links to provide you with a draft letter to send to you bank to claim all the charges they have ever demanded of you. You have to provide dates and reasons for all your charges but they will pay up...its true its your own fault for incurring these charges, as it was mine, and as mentioned before its unfair but not illegal...the banks get it wrong by writing in the small print they will charge fairly.... honestly, demand it all back on the grounds that the charges are not fair, whatever the reason for charging you. Good luck

[IainGil]

Don't go with a company to do it for you, it's easy, it is only about three letters, each more strongly worded that you send. The templates for which are on the website. If you do have to start further procedings, that can be done simply online too. (they might try to scare you by saying they will go to court, but they never do)
They may close your account, so before you start, open another. I think loans and morgages are safe as they are under a separate agreement.
Get stuck in & Good Luck!

[koster]

Thanks.

I phoned one of the companies - just out of curiousity. 25% is what they take!!!

[jennyp]

The charges are unlawful. Get them all back. It is easy to do, I got my daughters charges back a couple of weeks ago from Nationwide. Be warned there is a good chance that they will close you bank account, so have a parachute account ready. All the help and letters you need are on here
http://www.consumeractiongroup.co.uk/

[koster]

So, apart from claiming back the charges, I should open a new bank account (whether or not HSBC kick me out when I claim).

But which bank?
Which bank isn't charging �30 per sin and isn't going to charge this �10 account fee that was in yesterday's newspapers?

[jennyp]

There is no bank better than any other unfortunately, they are all at it. You might be interested to read here. It is what CAG has been hoping for, that the banks actually go to court and defend a case, then they will have to actually declare what their costs are.
http://www.consumeractiongroup.co.uk/forum/mer cantile-court-cases-stays/47462-new-test-case- hearing.html