Breaking news - RBS Group slashing OD charges

[Amethyst]

Re: Breaking news - RBS Group slashing OD charges

OKAY got press release and will put it in announcements

unpaid referral fee on DD's and cheques is £5 !!!!!

If RBS DO PAY IT then theres consideration then they'll charge £15.

consideration and terms are same as current ones just prices different

[Shazzaw]

Re: Breaking news - RBS Group slashing OD charges

NEW RBS-NATWEST CHARGES
Bounced cheque, direct debit or standing order - £5, down from £38
Payment on overdrawn account - £15, down from £30
Guaranteed card payment fee - £15, down from £35
Maintenance charge - £20, down from £28
Overdraft interest rate - reduced to 19.24%

Source: RBS

[Amethyst]

Re: Breaking news - RBS Group slashing OD charges

sorted

RBS cut unauthorised overdraft transaction fees to £15 (from £30) - Legal Beagles

[EXC]

Re: Breaking news - RBS Group slashing OD charges

Because the terms & conditions remain unchanged the reductions in charges won't help them at all as far as the test case is concerned. It's the terms that are under legal scrutiny - not the charge amount.

It might be more closely related to the PCA Market Study which is due soon.

[natweststaffmember]

Re: Breaking news - RBS Group slashing OD charges

Rightio. here is where I get my hands dirty.
Paid Referral fee being £15 so maximum is gonna be £45 any charging month cos 3 is maximum per statement period. This charge is usually an automated one so where the hell the extra £10.00 is from, I have no idea. Well, I do, it will be for the customer advisors to be ringing those customers trying to get them in for a review to flog NatWest products.
It has the look on that bouncing things side of being an undercut Barclays ploy. Wonder how many customers switched to them?
Maintenance charge down to £20.00(Barclays charge £22 for 5 days)....nice move. However, ONLY £8 reduction??

[Amethyst]

Re: Breaking news - RBS Group slashing OD charges

Rightio. here is where I get my hands dirty.
Paid Referral fee being £15 so maximum is gonna be £45 any charging month cos 3 is maximum per statement period. This charge is usually an automated one so where the hell the extra £10.00 is from, I have no idea. Well, I do, it will be for the customer advisors to be ringing those customers trying to get them in for a review to flog NatWest products.
It has the look on that bouncing things side of being an undercut Barclays ploy. Wonder how many customers switched to them?
Maintenance charge down to £20.00(Barclays charge £22 for 5 days)....nice move. However, ONLY £8 reduction??

Unpaid item fee reduced to £5 from £38 (maximum £50 per month, reduced from £114 per day) (ie 10 a month)
Paid referral fee reduced to £15 from £30 (maximum £90 per month) (ie 6 a month)
Guaranteed card payment fee reduced to £15 from £35 (maximum £90 per month, reduced from £105 per day) (ie 6 a month)
Maintenance charge reduced to £20 from £28
Unarranged borrowing rate of interest reduced to 19.24% EAR



The £10 dif between unpaid and paid is the fee for them lending you the money (and the alledged consideration)

[natweststaffmember]

Re: Breaking news - RBS Group slashing OD charges

Yet the reality is a computer program based on internal scoring decides if it is paid or not paid. In fact, being paid requires less intervention.

[Amethyst]

Re: Breaking news - RBS Group slashing OD charges

Yes but they are lending you money - not justifying it, just how they will be putting it over
Later I'll have a look at the transcripts get the bits they argued about this very subject

[Amethyst]

Re: Breaking news - RBS Group slashing OD charges

Where do you get the 3 per statement period from Nats, I always wondered that as everyone says its the case but in practise it just doesnt happen ?

[natweststaffmember]

Re: Breaking news - RBS Group slashing OD charges

so are they using that informal request for an overdraft within the remit of referral fees.
Will the interplay of charges still happen?

[WendyB]

Re: Breaking news - RBS Group slashing OD charges

well sorry to pee on anyone's chips, but I think this is brilliant news. Yes, it may nt go far enough, but it is a MASSIVE difference, a reduction of over 62% on bounce fees is not to be sniffed at, IMO. Even the least reduction, of £8 on the maintenance charge, is 28.57%, and if you take into account all the other reductions that might mean the difference between staying under your limit or going over it. How many timeshave we been charged a maintenance charge for being 32p over the limit? Or 15 quid over? because of something being referred or paid guaranteed? At least we'll have more of our own money left to play with now.
I am no major fan of Natwest, or any other bank for that matter, and I don't really care if they've done this to steal a march on their rivals or not, the end result is that Natwest customers, including me, will be better off with the advent of these new charges.

Personally I think £5 is a pretty fair deal.

JMHO

[Mochamoo]

Re: Breaking news - RBS Group slashing OD charges

I agree Wendy. I worked out earlier that my charges would have only be £85 for August not £494 had I been on this new charge rate and that difference is HUGE! I wouldn't be in half the doo doo I'm in right now if the charges were smaller (or not there at all lol) I was just about keeping my head above water until the charges started hitting and that's when everything started snowballing.

The charges do need to be levelled out at £5 each if you ask me but this is a start.

[Amethyst]

Re: Breaking news - RBS Group slashing OD charges

I don't think anyones said its not brilliant news ?

Anyway it is excellent news, i think peeps might quite understandably be a little cynical after Barclays 'reduce to £8' debarcle thats ended up being a complete nightmare, but on the face of it this is a straightforward price reduction with no weird wrangling about of terms, and should be welcomed

[WendyB]

Re: Breaking news - RBS Group slashing OD charges

I think that's what I meant lol

[Amethyst]

Re: Breaking news - RBS Group slashing OD charges

Well its in black and white now....have to say my cynical head keeps shouting 'whats the catch????' but there doesnt seem to be one...so ****ing excellent

(okay could have made them 50p and not overly overjoyed about the £15 paid referral fee without having a facility whereby a customer can just tell the bank 'please don't pay anything if it will take me over' thus opting for the £5's (and the fee from the creditor/service provider etc) rather than have it paid and have the unauth OD, £15 fee, the £20 monthly fee, and interest (if you get what I mean) but great big leap in the right direction and leaves Barclays stupid reserve con system standing IMO)

The above changes will be made to Section 7 of our leaflet ‘Personal and Private Banking – A Guide to Fees and Interest’ and will alter the terms of the contract between us and you. These changes will come into effect on the first day of your charging period following 1 October 2009 (the first day of your charging period is normally the day after we issue your statement). The changes apply to all our Personal and Private Banking current and chargeable savings accounts unless otherwise stated.
You will continue to receive at least 14 days notice before any unarranged borrowing or unpaid item fees are taken from your account.

FROM: NatWest Reduced overdraft charges