I withdrew £14,000 of premium bonds - and now NS&I wants it back

[Snoopy1948]

Opinions on this please? I know we always assume that when banks credit our accounts in error, they always have the right to demand it back so does this gaffe by NS & I reflect that?

http://www.telegraph.co.uk/finance/p...s-it-back.html

[leclerc]

Re: I withdrew £14,000 of premium bonds - and now NS&I wants it back

The FOS are being a bunch of douche bags. The NS&I are also wallies. The fact is that he was told by NS&I that the money was his so he had a reasonable assumption to assume it was his and spent the lot. If he had kept some back then perhaps he could have given them a settlement option. The legal position is what I think. NS&I made the mistake and waited a year to do anything about it. It was reasonable of Mr Craig to spend it, in the belief that it was his, and it was expected since NS&I had told him it was his and that he had premium bonds.
He should not repay even 1p of the money because of reasonable belief that it was his money.

[Kati]

Re: I withdrew £14,000 of premium bonds - and now NS&I wants it back

Shocked, he referred the case to the Financial Ombudsman Service, hoping that they would tell him he did not need to pay. But after investigating they said they could not ask NS&I to stop chasing him for the funds.

Confusingly, they also told him they couldn’t advise whether or not he was legally liable to pay the bill.

Surely ... if he honestly believed the money was his (and has since spent it) they cannot insist he repays it :noidea:

[MIKE770]

Re: I withdrew £14,000 of premium bonds - and now NS&I wants it back

FOS Fob Off Service (Non Service) the contents of above statement speaks for its self about this non service, normally ask a definitive question and all they will do is fob you off and try to make you turn a everyday question into a Formal Complaint Form.

This country legislation (NON) is nonsense when Judges/Organisation ignore Rule.

Job for the Boys comes to mind which is how this country has always worked for centuries, and the people let it be. their concept is keep them poor/wanting and they will have other things on their mind, if we the Lords of the manor get caught we resign and then like (Cameron) cannot be charged but still get his ill gotten pension rights etc.

[Snoopy1948]

Re: I withdrew £14,000 of premium bonds - and now NS&I wants it back

Frankly I think this is awful and had I 'won' this money in the same circumstances, I would be 100% loath to pay it back, even if it was sitting in a savings account.

My only other comment is that the bond holder concerned should have been 'reasonably aware' that a £5 holding may actually not have won 'dozens of prizes' over 41 years, indeed I have held a £30 holding for pretty much the same time without as much as a tickle! But since NS&I don't publish or admit probabilities on a regular and public basis, he could well be forgiven for accepting his wins at face value and yes, it would be hard to accept that the wins are not yours and yours alone.

There remains the question that this is a 'public money' issue and should public money be sacrosanct in recovery? Probably yes, but only where the claiming party is guilty of fraud or negligence.

I think NS&I have to take this one on the chin and admit their error is irreversible. There is no mention of an individual employee of NS&I being culpable but that's where the problem lies and frankly should finish with. Perhaps even a sackable offence, I don't know?

And to press that point, it states that 'Confusingly, they ( the FOS ) also told him they couldn’t advise whether or not he was legally liable to pay the bill'.

That says it all ......

[MIKE770]

Re: I withdrew £14,000 of premium bonds - and now NS&I wants it back

I have a £1.00 premium bond held since 1969 = won £50.00 back in 1979ish never heard from since

[Snoopy1948]

Re: I withdrew £14,000 of premium bonds - and now NS&I wants it back

Another juicy NS&I titbit ..... makes the case for everyone being financially and internet savvy I suggest!

http://www.thisismoney.co.uk/money/e...sing-help.html