Klimp Posted February 26, 2009 Share Posted February 26, 2009 clicky - TIMES Analogy on its way: You run out of money, you see your m8 has a pile of money on the table... do you: a) take money thinking there will be no substantial consequence aka unauthorised loan (aka again theft) or; b) ask friend if he/she can lend the money to you? aka an authorised loan If you need to borrow money, then arrange it... if you need to borrow money without authority you must be aware that you will get a hefty charge. And to be honest, the banks could do with the capital at this time. Link to comment Share on other sites More sharing options...
gazza Posted February 26, 2009 Share Posted February 26, 2009 i have to agree that, u know if u go overdrawn that u going to get hit with a fee, i see comman sense has failed again Link to comment Share on other sites More sharing options...
manxman2004 Posted February 26, 2009 Share Posted February 26, 2009 The charges case is only relating to unfair charges (ie justification of £40 for an automated letter to go out.) I am personally on the band wagon on this one, however, This is after numerous months of trying to reason with a particular bank about financial hardship that I am currently experiencing due to unforeseen circumstances (and before anyone starts....no I don't have a 100% mortgage, it's actually 75% even though I could have got a 100% one if I wanted) Either way, after months of being told there is no movement on this (although other companies have gone far beyond what I expected from them to help) and no negotiation on interest rates and repayment terms, and me constantly warning them I would go down this route, I have decided to do it. Sod em Link to comment Share on other sites More sharing options...
La_Dolce_Vita Posted February 27, 2009 Share Posted February 27, 2009 You run out of money, you see your m8 who you are dependent upon as you must go through him to use your money has a pile of money on the table... do you: a) take money thinking that your mate already expects that if you are really hard-up you will take his his money as he has already said that will have to pay a large sum if you take a bit of his money, and there is no way you can get out of paying it back and paying the charge back. b) ask friend if he/she can lend the money to you? aka an authorised loan i.e. do the same thing as (a) except you have had someone on the phone giving express permission that you can do Link to comment Share on other sites More sharing options...
gazza Posted February 27, 2009 Share Posted February 27, 2009 The charges case is only relating to unfair charges (ie justification of £40 for an automated letter to go out.) I am personally on the band wagon on this one, however, This is after numerous months of trying to reason with a particular bank about financial hardship that I am currently experiencing due to unforeseen circumstances (and before anyone starts....no I don't have a 100% mortgage, it's actually 75% even though I could have got a 100% one if I wanted) Either way, after months of being told there is no movement on this (although other companies have gone far beyond what I expected from them to help) and no negotiation on interest rates and repayment terms, and me constantly warning them I would go down this route, I have decided to do it. Sod em had a similer thing at the start of the year, the normal januray pay scale time limit, aka, you can forget about payment till at least the end of january for decembers payment, so im maxed on the overdraft, i still owe many thousands to companys, and have well over 3 grand a mounth on payments tha have to be made come rain or hail, well i have to say the bank, the goverment, and the companys i owed cash to, were 100% top notch, coulden do any more to help me out, in the end it was the end of feb, befour i was sorted out, but the bank was great, lent me the cash to cover all payments that had to be made in the 3 months, and best of all thay never even charged me for it, and i had no grantees next to the cash, as long as i kept in contact with them every couple weeks to let them know what was happining thay were happy, o the joys of working for yourself, but it shows you how fast you can under in a blink of an eye so all in all for that little blip everyone was great Link to comment Share on other sites More sharing options...
manxman2004 Posted February 27, 2009 Share Posted February 27, 2009 Hopefully mine is a short term blip too. Like I say in my previous post, everyone else has been great and have been more helpful thank I could have ever hoped. Its just this one particular bank and I have exhausted every angle before going this route. While I could do this with other banks too, I don't see why I should as they have been helpful and I accept responsibilty of the debt, but there comes a time where trying to reason with them gets nowhere and they need a bit of a kick in the backside to realise they should play ball at times! Link to comment Share on other sites More sharing options...
La_Dolce_Vita Posted February 27, 2009 Share Posted February 27, 2009 Hopefully mine is a short term blip too. Like I say in my previous post, everyone else has been great and have been more helpful thank I could have ever hoped. Its just this one particular bank and I have exhausted every angle before going this route. While I could do this with other banks too, I don't see why I should as they have been helpful and I accept responsibilty of the debt, but there comes a time where trying to reason with them gets nowhere and they need a bit of a kick in the backside to realise they should play ball at times! I don't think you are doing anything wrong by getting these charges back. You have control of your debt in this respect anyway as you will have to bring your account below the limit at some point. They just want to fleece you in the process. Maybe they should charge for what it really costs them to send out a letter as the issue is not about theft or morality. Link to comment Share on other sites More sharing options...
Sebrof Posted February 27, 2009 Share Posted February 27, 2009 clicky - TIMES Analogy on its way: You run out of money, you see your m8 has a pile of money on the table... do you: a) take money thinking there will be no substantial consequence aka unauthorised loan (aka again theft) or; b) ask friend if he/she can lend the money to you? aka an authorised loan If you need to borrow money, then arrange it... if you need to borrow money without authority you must be aware that you will get a hefty charge. And to be honest, the banks could do with the capital at this time. So you're saying that whether the charge is reasonable or not is immaterial? By this logic, the banks would be entitled to charge one thousand pounds if you go a penny overdrawn. The banks operate a cartel. Everybody needs a bank account, and no bank (until the bad publicity forced them to drop these charges) offered reasonable charges for sending an OD letter. Under UK legislation, it is illegal for a large company to force unfair terms on a consumer, and charging £40.00 for doing something that costs 50p is unreasonable. That is what the case is about, and the banks know they are caught fair and square. However, by appealling, they can delay the evil day when they have to pay out. What we need is for a swift amendement to the law, saying that punitive interest will apply from when the wrong was committed. That'll have them paying out in no time. Personally, I don't agree with free banking, especially when the banks play games like this. I'd much prefer a fair charge, plus proper interest on the balance in the account. S Link to comment Share on other sites More sharing options...
Cambon Posted February 27, 2009 Share Posted February 27, 2009 Under UK legislation, it is illegal for a large company to force unfair terms on a consumer, and charging £40.00 for doing something that costs 50p is unreasonable. That is what the case is about, and the banks know they are caught fair and square. However, by appealling, they can delay the evil day when they have to pay out. What makes you think it only costs 50p? It actually costs quite a lot to send out "Automated" letters. Link to comment Share on other sites More sharing options...
Orange Posted February 27, 2009 Share Posted February 27, 2009 Under UK legislation, it is illegal for a large company to force unfair terms on a consumer, and charging £40.00 for doing something that costs 50p is unreasonable. That is what the case is about, and the banks know they are caught fair and square. However, by appealling, they can delay the evil day when they have to pay out. What makes you think it only costs 50p? It actually costs quite a lot to send out "Automated" letters. But not quite £35-40 or more??? Link to comment Share on other sites More sharing options...
Cambon Posted February 27, 2009 Share Posted February 27, 2009 But not quite £35-40 or more??? Well, a couple of decent servers and an IT infrastructure for a small bank is actually very expensive on it's own. When banks shop for equipment they don't go to PC world to see what is on offer. They generally follow the 5 nines principle, meaning that the system should be available 99.999% of the time. This means mirrored servers, redundant power supplys etc. That is expensive, but if they did not have it customers would be the first to complain. On top of this no letter goes out before being checked by a manager. That takes time. The last thing they want to do is send a letter to a client by accident. Only people who deserve letters get them, and they should pay for them. They know the terms and conditions, and the schedule of charges. There is no excuse. The letter itself is a piece of paper and an envelope with a bit of ink on it, which costs very little, plus postage of 38p (uk) 30p (local). But somebody has to put it into an envelope, seal it, frank it, post it. That all takes time and it is right that the person who caused the issuein the first place pay for it. Link to comment Share on other sites More sharing options...
ans Posted February 27, 2009 Share Posted February 27, 2009 So you're saying that whether the charge is reasonable or not is immaterial? By this logic, the banks would be entitled to charge one thousand pounds if you go a penny overdrawn. If having a bank account was compulsory, your argument might hold some water. As it isn't.... I'm aware of the charges of going overdrawn and I don't want to pay them. My solution is to not go overdrawn. It's quite simple but it's very effective. Link to comment Share on other sites More sharing options...
Dave Hedgehog Posted February 27, 2009 Share Posted February 27, 2009 My solution is to not go overdrawn. It's quite simple but it's very effective. Yes but surely people actually taking responsibility for their own actions isn't the done thing these days. It is always somebody elses fault Link to comment Share on other sites More sharing options...
La_Dolce_Vita Posted February 27, 2009 Share Posted February 27, 2009 If having a bank account was compulsory, your argument might hold some water. As it isn't.... Not really true. Can anyone really manage without having a bank account? Employers often demand that wages are paid into a bank account. And there are matters in receiving monies must be done by having them paid into an account. Link to comment Share on other sites More sharing options...
Klimp Posted February 27, 2009 Author Share Posted February 27, 2009 You run out of money, you see your m8 who you are dependent upon as you must go through him to use your money has a pile of money on the table... do you: a) take money thinking that your mate already expects that if you are really hard-up you will take his his money as he has already said that will have to pay a large sum if you take a bit of his money, and there is no way you can get out of paying it back and paying the charge back. b) ask friend if he/she can lend the money to you? aka an authorised loan i.e. do the same thing as (a) except you have had someone on the phone giving express permission that you can do You should never be dependant on a mate/bank for credit. The bank is your debtor, and you are its creditor....you sign a contract outlining the interest the bank will pay to you when you lend them money (deposit money), and the interest/charges you pay to them when you borrow money. Self control Control your finances Get a better paid job (if you lack the skills, then acquire some) Finance education for kids at 15-16 should be part of the syllabus for life skills. Market conditions apply Link to comment Share on other sites More sharing options...
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