On housing benefit and working part time . keep losing benfits to bank charges

[seduraed]

One of my lodgers is on housing benefits and with intermittent work as a kitchen porter . Every week the bank takes up to £40 in chargesand over limit fees . He has approached the bank , they have said that they will continue to add charges until the debt is paid . He has approached CABwho have simply said that the bank is right andthere is nothing to do . Is there anything he can do ?

[leclerc]

Re: On housing benefit and working part time . keep losing benfits to bank charges

One of my lodgers is on housing benefits and with intermittent work as a kitchen porter . Every week the bank takes up to £40 in chargesand over limit fees . He has approached the bank , they have said that they will continue to add charges until the debt is paid . He has approached CABwho have simply said that the bank is right andthere is nothing to do . Is there anything he can do ?

Is he behind in his rent?

[IanM]

Re: On housing benefit and working part time . keep losing benfits to bank charges

Ask your lodger to open a new account in a different bank and have their money paid into that one instead.

[bluebottle]

Re: On housing benefit and working part time . keep losing benfits to bank charges

Your lodger needs to speak to the DWP about this. There is a statement on benefit letters that if your bank is taking your benefit to pay off debts or charges to contact DWP asap about an alternative payment method.

[seduraed]

Re: On housing benefit and working part time . keep losing benfits to bank charges

Yes he's nearly two weeks behind with with his rent . He's worried about having the account defaulted and gettng a black credit rating .

[leclerc]

Re: On housing benefit and working part time . keep losing benfits to bank charges

Yes he's nearly two weeks behind with with his rent . He's worried about having the account defaulted and gettng a black credit rating .

Has he spoken to the bank and asked them to consider his under The Lending Code, section 9 which is financial hardship.

Bluebottle, can you expand on your post as I have been exploding on a few forums over the issue of benefits being inalienable in regards to bank charges which is a croc of shiite!!

[seduraed]

Re: On housing benefit and working part time . keep losing benfits to bank charges

I saw your post on this forum about it . I'llspeak to him tomorrow , Just needto catch him at a moment when he is communicative .

[bluebottle]

Re: On housing benefit and working part time . keep losing benfits to bank charges

Certainly, Leclerc.

I am currently on ESA and DLA because of my illness. The award letters and update letters I receive, from time to time, clearly state that if your bank is taking your benefits to contact the DWP and discuss it with them. They can arrange an alternative payment method if you are being financially disadvantaged or caused financial hardship.

[Inca]

Re: On housing benefit and working part time . keep losing benfits to bank charges

BB..........I've just scoured my latest DWP letters and I can't find anything about banks and charges on there,,my letter is less than 2 weeks old,,where is it please?

[FlamingParrot]

Re: On housing benefit and working part time . keep losing benfits to bank charges

BB..........I've just scoured my latest DWP letters and I can't find anything about banks and charges on there,,my letter is less than 2 weeks old,,where is it please?

I must say I don't recall ever seeing anything about bank charges on the award letters from the DWP or council, although last time I claimed anything was 3 years ago. It would have stuck to my mind if there had been any mention of bank charges because my statements clearly showed 'benefit payment' coming in, yet I had some of those £25 a pop charges for bounced back DDs :mad2: :mad2: in addition to the O/D fees. I didn't know anything about this at the time and it would have been useful if the DWP had pointed it out.

Has he spoken to the bank and asked them to consider his under The Lending Code, section 9 which is financial hardship.

Bluebottle, can you expand on your post as I have been exploding on a few forums over the issue of benefits being inalienable in regards to bank charges which is a croc of shiite!!

Apparently the often quoted s.187 of the Social Security Administration Act has been widely misunderstood to refer to bank charges: http://www.consumerwiki.co.uk/index....nistration_Act

But there is still the hardship route, and Martin's guide is very comprehensive: http://www.moneysavingexpert.com/reclaim/bank-charges

[leclerc]

Re: On housing benefit and working part time . keep losing benfits to bank charges

http://www.legalbeagles.info/forums/...lighted-by-me)

I am really realy rubbish at Financial hardship.....

[bluebottle]

Re: On housing benefit and working part time . keep losing benfits to bank charges

What the letters say is that if your bank is taking your money and leaving you with little or no money on which to live, then you should contact DWP and discuss it with them. An alternative payment method can be arranged to overcome this. However, what Leclerc says about them taking benefits is correct. They are not there to subsidise or enrich corporate bodies, like banks, hence why any benefit claimant who is seeing their benefits taken by their bank and leaving them with hardly anything to live on should speak to the DWP asap.

[bluebottle]

Re: On housing benefit and working part time . keep losing benfits to bank charges

I must say I don't recall ever seeing anything about bank charges on the award letters from the DWP or council, although last time I claimed anything was 3 years ago. It would have stuck to my mind if there had been any mention of bank charges because my statements clearly showed 'benefit payment' coming in, yet I had some of those £25 a pop charges for bounced back DDs :mad2: :mad2: in addition to the O/D fees. I didn't know anything about this at the time and it would have been useful if the DWP had pointed it out.

That is typical of some DWP employees. It is usually on award letters when you first apply and when benefit is awarded. I have noticed that DWP are getting increasingly more sneaky. It will backfire on them sooner or later.

Apparently the often quoted s.187 of the Social Security Administration Act has been widely misunderstood to refer to bank charges: http://www.consumerwiki.co.uk/index....nistration_Act

But there is still the hardship route, and Martin's guide is very comprehensive: http://www.moneysavingexpert.com/reclaim/bank-charges

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