classic Subaru Si

Just got a call off my mum: Basically her wage was a couple of days late going in to her account, so she rang mrs patel to expain this, but got no joy as this woman couldn't speak very good english So, she went in to her local branch to explain that her wages are going to be going in a day late, and the money that's currenty in her account will not cover the bills that are due out the following day - she basically asked if she could have her overdraft increased to cover the bills, and then reduce it back down when her wages get put in. The bank manager turned around to her and said 'what do you want me to do about it, I don't have a magic wand' and then basically told her to leave. She's just had a phone call off the bank saying she owes them £480 in charges Are they actually aloud to do this? I'm just in the middle of printing stuff off for her from Martin lewis website, Ombudsmon etc..

f1_fan

iTrader: (9)

The banks seem able to do as they please in this country including swallowing large sums of taxpayers' money whilst promising to help small businesses etc. and then doing nothing of the sort.

Still I am sure Osbourne will sort them out just like he has made good on his promise regarding petrol prices at the budget

ScoobLou

iTrader: (21)

If anyone treated my mum like that I would be straight down to the Branch concerned having it out with the person in front of their staff and customers.

fivetide

iTrader: (1)

That sounds like a very strange dealing with the branch. Sure there is more to it? I've never had an issue with HSBC and India.

Last time I forgot to pay my credit card (well I forgot which day, I was a day late) called India from the bank and they waived the late fee, no issues.

Why was the money late, perhaps that should be addressed too. They can't pay her when the feel like it, she has bills to sort clearly.

5t.

Trout

iTrader: (1)

£480 in charges - well that would certainly give her good basis for an argument with the ombudsman.

However I have never come across anyone being given £480 in charges, even for an unauthorised overdraft...


...unless you are talking about thousands being overdrawn.

Trout

iTrader: (1)

• HSBC
HSBC bank account charges customers £25 if they go into unauthorised overdraft which is then followed up with a further £25 for each subsequent overdraft request.

The first formal or informal overdraft request in a six month period is free, while no fees are charged if the overdraft is less than £10. The fees will not exceed the amount people are overdrawn by in a month. There is an additional charge of between £10 and £25 for bounced payments but interest is the same whether the overdraft is authorised or unauthorised at 18.8%.

kingofturds

iTrader: (1)

If direct debits get bounced they can charge £25 for each one I believe . I was in a similar situation a few years ago with halofax. Work had messed up my wages and I had several direct debits coming out . Having never been overdrawn in 10 years halifax did the honourable thing and stitched me up like a kipper on unauthorised overdraft charges.

classic Subaru Si

Not talking 100's here, just end of month bills, gas mortage etc.... They charged her nearly £50 for every bill that went out, then and £50 to 'recall the payment' and then interest on top of that.

classic Subaru Si

no more to it - she got paid a couple of days late, noticed this and went in to the bank to try and sort it, then got made a fool of by the manager.

danwel

that seems harsh but surely there should be some come back to her company paying her late as that is the reason they "bounced"

speedking

Revise the payment dates so they are 7 days after pay day. HTH.

classic Subaru Si

I agree, told her to go to her boss with statements and charges, and see what they say. She's a bit upset about it to be honest, she's not on mega money as it is - I'm ******* steaming about it, who the **** does this 'manager' think he is - he clearly took advatage of the situation, when he could have helped her out and increased her overdraft then brought it back down a week or so later to cover the bills.

EddScott

As stated, if a bunch of DDMs come out at the same time and there isn't the money, you'll get clobbered on each one. Halifax did it to me a few times - My OD was £100 and had been for years, I increased it to £3K to pay for our driveway. That was paid but it took longer for me to get the money from elsewhere to pay it back. I got hit with a few charges to about £80. Went in and explained the situation and the manager at the time came out, looked at my bank account, saw how much I was into my OD, decided I was stuffed and couldn't even close my accounts because of the amount I owed and basically said tough poo.

How sweet it was to pay the OD back within the week and hand over the account closure forms. The girl that served me also served me the time before and I said I told you I would move if this wasn't sorted.

With First Direct now and am very happy with the service. HSBC are about to lose our business bank account because we can get a better, free service elsewhere.

A client in the states has just come back after buying property there and said the banks over there are great, the tel number is the local branch, can pop in and speak to whoever whenever pretty much and all the banking is free.

Trout

iTrader: (1)

Did you see my other post - the charge should be £25 - why is it £50?


It is clearly very unfortunate and distressing; but at the end of the day there is no reason why a bank should lend anyone money.

I would take it up with the ombudsman.

classic Subaru Si

yes I did see your post, that's why I stated they charges her nearly £50 for each dd. Do you think it was reasonable for the bank manager to turn round and say that he didn't have a magic wand? for crying out loud, they are a bank - they DO lend money, but only when it suits them - If she had gone in a week before and upped her overdraft we wouldn't even be having this conversation, but because this jumped up pr1ck knew he could get a few quid out of the situation he denied it.

Cocker

iTrader: (3)

On the flip side i would be complaing to her work that payday has been cocked up and for them to cover the charges she will incur from HSBC!

GarethE

iTrader: (1)

Personally I would go into the branch and ask for an explanation from them for the charges, and explain that your mother approached the bank to prevent this happening before the situation arose.

I appreciate that you are both upset and angry about this, but in all my dealings with companies and also banks, including HSBC, I've never failed to resolve the situation to my satisfaction by discussing the matter in a calm, matter of fact way - especially if you have the upper hand and they are at fault. If they are unable to sort the problem to your satisfaction or have not given valid reasons for the way your mother's situation was dealt with, then take it to the ombudsman.

You may find that the ombudsman won't get involved until you have hit a brick wall with the bank directly. Ask to see the senior customer service manager.

I hope you get it sorted, but in my experience a softly softly, polite approach to the bank in the first instance, backed up with a threat of the ombudsman, often produces a satisfactory result. Just don't go in "all guns blazing" regardless of how angry or upset you are towards "the jumped up pr1ck"

Gareth

Jonny_

and they are a business that is meant to make money for their shareholders...

your mum should have just asked for an overdraft without telling them there was gonna be a problem straightaway

a few years back i was gonna be 6 weeks without getting paid and they agreed a £1000 overdraft over the phone in minutes.

Jonny_

Im pretty sure HSBC dont get public funds.. istr it was Lloysd and Northern Rock that got the bail outs...

edit: not a banker <---- although i swear i heard someone call me that the other day

EddScott

There is that. You might find that the ombudsman would see that as you are an account holder you agree to thier T&Cs. If the employer made a mistake with wages, it's not the banks fault. The fact that the manager was rude won't make an ounce of difference to the ombudsman.

The FOS is a bit of a joke IMO - particularly if you intend taking on a bank.

PaulC72

Firstly the employer is not at fault as wages are usually paid in or around a given date not always exactly on, for instanc eI am paid on the 20th of the month but if that falls over a weekend I usually get it friday or monday.

Secondly I would speak to HSBC as that amount of charges does not add up if these are usualy bills we are talking about, you need to go with your mom to the HSBC branch to discuss this further, if you get no joy there as for their procedure to make a complaint and follow this through with a written letter explaining it all and what the branch said.

If they do not respond or they do not remove the charges then you can goto the ombudsman but I doubt it will get that far, something doesnt add up.

Are you sure they have not paid the DD's taking the account overdrawn and the total charge is the DD cost and their charge for paying the DD/od?

Eitherway you need to speak to them.

I would then also consider switching banks

Jonny_

if the 20th fell on a sunday then you should get paid on the friday rather than the monday though right?]

are you job?

Gear Head

iTrader: (2)

Just threaten to leave. I'm sure that will then get them listening.
That really is shocking, but unfortunately, ever since they won the court battle about overdraft charges, there is very little she can do other than threaten to take her business elsewhere.

I always used to have an free overdraft with the Halifax, but they now charge £1 per day if I dip into it, even though it is autherised.

classic Subaru Si

I doubt, like me that she would have thought for one minute that she would have to lie about what the overdraft was for - I'm well aware banks need to make money, but blatantly ripping off customers isn't the way it should be done.

Jonny_

playing devils advocate for a minute... everyone in the world knows there are charges for unauthorised overdrafts...

whatever, good luck getting the charges refunded

Mollymoo666

iTrader: (1)

5 months ago HSBC didnt pay 5 DD's even though I had more than enough money in my account. They charged me for the payments bouncing. I am still awaiting a refund and an explanation - two things they are unwilling to give.
I have recently started a new business and the government (as a condition of getting help from them) insisted that my business banking be done with HSBC also. They wouldnt give me an account due to my poor credit rating - one guess why I had a poor credit rating, yes you guessed it, because of unpaid DD's.

Barclays however were more than happy to take my business

Bristol98

Wait a few months, setup an overdraft, max it out then hand in the closure forms (and move to Spain!)

ritchie21

HSBC do tend to be very aggressive with this tactic, I've heard similar claims from others. I think the problem will be that there will be something in their terms and conditions to back them up and you'll be stuffed.

Also, moving banks now seems to be a bit more difficult and if you owe to another or have a bad record, they can refuse to take you on.

classic Subaru Si

I take it you work for a bank then? I'm not saying for one minute she shouldn't be charged for going over her overdraft - you've missed the point completely. If your not a banker, I suggest you apply for a job at HSBC, you'd fit right in.

Jonny_

nope done work for a bank. i understand that you are pissed that your mum was spoken to rudely and thats fair enough

if you wanna call me a ****** just crack on mate... i'd suggest you spend your time sorting out your mum's finances instead, seems like its needed

also your question in the first post was can they charge for going into an overdraft so i dont think i have missed the point