Barclays to introduce daily overdraft fees that could see customers charged £93 each

[Amethyst]

Re: Barclays to introduce daily overdraft fees that could see customers charged £93 e

Having said that, the bounced and paid direct debit charges are a huge improvement

Unpaid Transaction Fee When you don't have enough money in your account and we return something as unpaid	New Charges £8 £8 maximum cost in a day	Old Charges £8 £40 maximum cost in a day	You'll pay less if we have to return more than one payment as unpaid in a day
Paid Transaction Fee When you don't have enough money in your account and we have to pay something for you	No fee No fee	£8 £40 maximum cost in a day	You'll pay nothing if we pay an item for you

[EXC]

Re: Barclays to introduce daily overdraft fees that could see customers charged £93 e

So if you are not in credit its not good for the bank?

Indeed.

From the OFT PCA Market Study:

Banks typically use these credit balances to earn revenue in other parts of their business.
The current account business is usually paid an internal transfer fee by the section of the
bank that uses the consumers’ funds. The difference between this transfer price and the
interest they pay to the account holder is called net interest income. According to data from
16 banks net interest income is the largest source of PCA revenue at 50%. Net interest income
is a key driver of the PCA business model.

[silverback12345]

Re: Barclays to introduce daily overdraft fees that could see customers charged £93 e

Very worrying indeed.Our overdraft has climbed slowly over the years due to the fact there was very little help for people on contribution based benefits.Yes there was the crisis fund but trying to get anything from them was like trying to get blood from a stone.Each time white goods broke down we had to use the overdraft to purchase a replacement new tyres for the car things like that we never spent the money on luxuries.I had to use the overdraft when we moved house to pay the removal men because I was on contribution based ESA I did try to get help but didn't qualify.
It looks like our charges could treble and we would never be able to afford the charges we already pay over £30pcm in bank charges.

[Sparkie1723]

Re: Barclays to introduce daily overdraft fees that could see customers charged £93 e

This is another reason for Barclays wanting to get money from anywhere it can ...to pay all their fines....heres another big fine.

Barclays Bank has been fined £26m by UK regulators after one of its traders was discovered attempting to fix the price of gold.
http://www.bbc.co.uk/news/business-27536127

Sparkie

[Mr $quanda£ot]

Re: Barclays to introduce daily overdraft fees that could see customers charged £93 e

I think the main problem is that most banks would like to charge a monthly fee for all current accounts. As so called packaged accounts are now under scrutiny this will be difficult.

Many people use overdraft facility. Increasing cost of that is the easiest option.

Banks need to make profit but the extent of their actions is down to pure greed. As consumers we should shop around more than we currently do.

In some countries banjs charge for checking your balance on ATM and for most everyday services. Clearly, if you are not happy with Barclays go elsewhere. I did exactly that with them 18 years ago.

[FlamingParrot]

Re: Barclays to introduce daily overdraft fees that could see customers charged £93 e

Many people use overdraft facility. Increasing cost of that is the easiest option.

Or charges are applied to your non-existent O/D facility, as was the case with my Barcraps business account. I've just posted about it:

I've posted elsewhere what happened with my business account when I stopped using it for just over a year, it has no O/D facility but Barcraps kept adding on charges, causing the account to go into the red, leading to yet more charges. This went on for over a year, during which I made no payments into the account and the account ended up overdrawn by several hundred, yet the O/D was never recalled or defaulted. The account is still live and I still use it. If I had decided not to use it and hadn't had any money paid into the account, it could well have been two years before the O/D was recalled.

Banks need to make profit but the extent of their actions is down to pure greed. As consumers we should shop around more than we currently do.

Of course it is! :mad2: :mad2: I still recall when I was working for one of them Big Bad Investment Banking outfits, where they used to send 'broadcast' emails to everyone, saying thinks like, in view of the fact that their profits have dropped from £4bn to just £3bn, there would have to be major cutbacks!

In some countries banjs charge for checking your balance on ATM and for most everyday services. Clearly, if you are not happy with Barclays go elsewhere. I did exactly that with them 18 years ago.

And so did I, around 21 years ago! But then I opened my business account there in 2008 when it was initially both free and overdraft-free, only the free period ended after 2 years or so.

Some of us have less than perfect credit records, I was going to open a business account with Santander who offered it free of any charges, only the subject of director credit checks came up! :scared: I made my excuses :bolt: saying I had to speak to a fellow director who was in the Far East (that bit was actually true)