Natwest Overdraft

[pinknico]

I have an overdraft with Natwest (single account) which at the moment I am only able to pay the interest on, not actually pay off.
I have put in a claim for a refund of bank charges which amounts to twice the amount of the OD .Is my only option to wait for the end of the test case to pay it off. I do not fit the hardship criteria as my husband is working and we have no arrears . I just wondered if I was able to ask them to freeze the interest as no money is paid in or out of the account except for interest.

[natweststaffmember]

Re: Natwest Overdraft

I suspect they will say no, but there is nothing that says that you cannot ask. There is only really 2 answers that they can give..

[hellhasnofury]

Re: Natwest Overdraft

I have an overdraft with Natwest (single account) which at the moment I am only able to pay the interest on, not actually pay off.
I have put in a claim for a refund of bank charges which amounts to twice the amount of the OD .Is my only option to wait for the end of the test case to pay it off. I do not fit the hardship criteria as my husband is working and we have no arrears . I just wondered if I was able to ask them to freeze the interest as no money is paid in or out of the account except for interest.

Hello Pinknico,

I am in the same position as yourself, I have written to them and asked twice and no they won't stop adding interest and they are also applying a debit tranaction of £28 a month (penalty charge). So what started off as being a £222 overdraft outstanding is now £596.

The claim that you state you have put in, is that just with their complaints department or have you issued court proceedings.

Natweststaffmember can I ask what is their rate of interest they would apply to outstanding overdraft, thanks in anticipation:reindeer:

[pinknico]

Re: Natwest Overdraft

I dont have a court claim ,just a letter to them which they have replied to saying will be dealt with at the end of the test case.
:christmaswindow:

[natweststaffmember]

Re: Natwest Overdraft

If the account is over the overdraft limit then it would be the unarranged borrowing interest. HOWEVER, the last lot of terms and conditions I believe states that they will not charge interest on the penalty amount. It's an interesting point Hells, because the question is, do they charge interest on the maintenance charge on the month after it has been taken if the account is not rectified(my words) or put within the overdraft facility. mmmm, not sure that technical aspect of it that I have an answer.

[hellhasnofury]

Re: Natwest Overdraft

If the account is over the overdraft limit then it would be the unarranged borrowing interest. HOWEVER, the last lot of terms and conditions I believe states that they will not charge interest on the penalty amount. It's an interesting point Hells, because the question is, do they charge interest on the maintenance charge on the month after it has been taken if the account is not rectified(my words) or put within the overdraft facility. mmmm, not sure that technical aspect of it that I have an answer.

Thanks Natweststaffmember,

I an unsure what you mean by the maintainence charge??????

Also, can I ask what is their unarranged borrowing interest actually is?????
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I dont have a court claim ,just a letter to them which they have replied to saying will be dealt with at the end of the test case.
:christmaswindow:

Why have you not issued at court pinknico, you will attract statutory interest and your claim will be the one of first in the checkout when eventually it is all over:christmaswindow:

[natweststaffmember]

Re: Natwest Overdraft

Maintenance charge is the £28 you are being charged. I will come back on the interest thing as it is on the NatWest website and I am sure I have it somewhere without the need for reference to the NatWest website.
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Why have you not issued at court pinknico, you will attract statutory interest and your claim will be the one of first in the checkout when eventually it is all over:christmaswindow:

I don't agree with you on this point Hells for a couple of reasons.
(1) Built within the FSA Waiver on Bank Charges is a bit about both the way claims are held and if the case is lost and compensation.
(2) To claim statutory interest you have to know the rate of interest and apply it to the balance is the specific way the bank did at the time when the charge occurred. You cannot use a fixed interest rate or a current one and you will need a very qualified accountant almost to work it all out. 8% statutory is the easiest way to work it out.

If there was a fixed interest rate, for example, PPI or possibly a Credit Card, I would agree with you on the interest. For the lay person, I have always followed the Judge Judy Principal(KISS--Keep It Simple Stupid).

[hellhasnofury]

Re: Natwest Overdraft

Maintenance charge is the £28 you are being charged. I will come back on the interest thing as it is on the NatWest website and I am sure I have it somewhere without the need for reference to the NatWest website.
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I don't agree with you on this point Hells for a couple of reasons.
(1) Built within the FSA Waiver on Bank Charges is a bit about both the way claims are held and if the case is lost and compensation.
(2) To claim statutory interest you have to know the rate of interest and apply it to the balance is the specific way the bank did at the time when the charge occurred. You cannot use a fixed interest rate or a current one and you will need a very qualified accountant almost to work it all out. 8% statutory is the easiest way to work it out.

If there was a fixed interest rate, for example, PPI or possibly a Credit Card, I would agree with you on the interest. For the lay person, I have always followed the Judge Judy Principal(KISS--Keep It Simple Stupid).

Hello NWSM,

Sorry I should have made the stat interest clearer, I mean't 8%. I need to know what the unarranged borrowing rate is to work out what they are charging me on this overdraft.:reindeer:

Sorry pinknico, did not mean to hijack your thread:santa1:

[natweststaffmember]

Re: Natwest Overdraft

I misread the statutory thing, hells. Not sure the coffee is working anymore
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it's 29.69% EAR or 2.19% per month

[pinknico]

Re: Natwest Overdraft

Hello NWSM,

Sorry I should have made the stat interest clearer, I mean't 8%. I need to know what the unarranged borrowing rate is to work out what they are charging me on this overdraft.:reindeer:

Sorry pinknico, did not mean to hijack your thread:santa1:

no apologies necessary:reindeer: All the advice for you is helping me.

I haven't taken my claim to court as I didn't think I needed to, what do you advise?:santa3: