Hey there! Sign in to join this conversationNew here? Join for free

Lloyds bank is stealing my money I believe Watch

    • Thread Starter
    Offline

    8
    ReputationRep:
    More than once I have been charged unplanned overdraft fees and usually these come with a further usage fee?? In total its getting close to £200 and yesterday was sent a text stating I will be charged once again another £35 in the 1st November. I am now just wondering if anyone has came across with something like this as I believe lots of people here may have a lloyds bank account. This is an outrage, I am a student, I am not rich and I cant afford to lose money with this stupid ******** I will rush to the nearest branch and try to get my money back but what argument should I use in the first place? Do I even have a chance of getting my money back? I will get a new account in another bank as soon as I can and get this one emptied
    Posted on the TSR App. Download from Apple or Google Play
    • Community Assistant
    Offline

    20
    ReputationRep:
    Most student overdrafts are interest free, so that's unusual.

    However standard overdrafts are charged interest, and unarranged overdrafts will normally incur a charge as described.

    I've never had issues with my NatWest student account, so maybe give them a go?
    • Thread Starter
    Offline

    8
    ReputationRep:
    (Original post by artful_lounger)
    Most student overdrafts are interest free, so that's unusual.

    However standard overdrafts are charged interest, and unarranged overdrafts will normally incur a charge as described.

    I've never had issues with my NatWest student account, so maybe give them a go?
    But what do you mean by "unarranged overdrafts", I never used any overdrafts so I am completely clueless on where this is coming from.
    All I recall doing so far is simply to deposit my own money there and spend it, nothing else... lloyds has never borrowed me a single penny..
    I guess I will have to go there and figure this out on my own
    • Community Assistant
    Offline

    20
    ReputationRep:
    (Original post by claudiorafael)
    But what do you mean by "unarranged overdrafts", I never used any overdrafts so I am completely clueless on where this is coming from.
    All I recall doing so far is simply to deposit my own money there and spend it, nothing else... lloyds has never borrowed me a single penny..
    I guess I will have to go there and figure this out on my own
    An unarranged overdraft is (I believe) where you go over your limit, but it allows the purchase to go through but you are charged a fee for going over your limit (presumably, going into the negative for your account, with the limit being £0).

    I can't comment too much on this as my account doesn't have such an unarranged overdraft (it just has a regular one, and to my knowledge if something would take it over the limit it just declines it). You should check the terms and conditions of your account, and particularly on unarranged overdrafts, and ensure you keep note of your account balance at all times .

    In particular, online banking balances often don't update over the weekend in my experience, so you can think you have money, then buy something or have a bill go out, and not have it update on there until the Monday.
    Offline

    8
    ReputationRep:
    Charges are normal if you exceed your overdraft limit or become overdrawn without an agreed overdraft. There isn't really any argument you can use if you actually did exceed your limit. It is your responsibility to know what bank charges apply for your account.
    Contact the bank immediately to work out a payment plan (and stop going over your limit).
    • Community Assistant
    • CV Helper
    Offline

    19
    ReputationRep:
    (Original post by claudiorafael)
    ..............
    Did you spend more money than you had in your bank account or have you always had unspent money in the account?

    If you spend money using a card or cheque and you don't have that much money in the bank, then you are likely to incur overdraft charges unless you have a pre-existing agreement with the bank.

    It's not a matter of whether you are a student or can afford it, it's a matter of proper financial management and tracking your expenditure and not spending money you don't have.
    Online

    18
    ReputationRep:
    Sounds like you're just managing it poorly. Don't spend what you don't have.
    Posted on the TSR App. Download from Apple or Google Play
    Offline

    16
    ReputationRep:
    I'm on Lloyds but whenever I go over, they send me a letter. Maybe it's because their is money in my savings idk
    Offline

    10
    ReputationRep:
    You need to look at your bank statement, either online or ask your bank for a printed copy.

    That should show when you went over your overdraft limit.

    Bear in mind it's also possible to go overdrawn if you draw money against a cheque you've paid in before it cleared. Always allow a week before drawing against a cheque.

    With regards to overdrafts (i.e. ones that the bank has agreed to give you), make sure you do actually have one in place. You may find that a student account entitles you to have one, but you might need to ask for it to actually be put in place. I'd expect your statement or your online banking to show what your overdraft limit is.
    • Very Important Poster
    Online

    19
    (Original post by claudiorafael)
    More than once I have been charged unplanned overdraft fees and usually these come with a further usage fee?? In total its getting close to £200 and yesterday was sent a text stating I will be charged once again another £35 in the 1st November. I am now just wondering if anyone has came across with something like this as I believe lots of people here may have a lloyds bank account. This is an outrage, I am a student, I am not rich and I cant afford to lose money with this stupid ******** I will rush to the nearest branch and try to get my money back but what argument should I use in the first place? Do I even have a chance of getting my money back? I will get a new account in another bank as soon as I can and get this one emptied
    Well the clue would be in the phrase unplanned overdraft. If you keep taking money they gave you no permission to take, then thats your fault and you have to deal with the consequences. Stay within your overdraft limit.

    If you can prove they are wrongly charging you because you have not one into an unplanned overdraft situation then make a complaint for a refund..

    It sounds like you are managing your money poorly., but hard to say without looking at the details. Go and see CAB or just use some common sense and look at whether they have a point in that you have exceeded your overdraft facility if you even have one.
    Offline

    17
    ReputationRep:
    (Original post by claudiorafael)
    More than once I have been charged unplanned overdraft fees and usually these come with a further usage fee?? In total its getting close to £200 and yesterday was sent a text stating I will be charged once again another £35 in the 1st November. I am now just wondering if anyone has came across with something like this as I believe lots of people here may have a lloyds bank account. This is an outrage, I am a student, I am not rich and I cant afford to lose money with this stupid ******** I will rush to the nearest branch and try to get my money back but what argument should I use in the first place? Do I even have a chance of getting my money back? I will get a new account in another bank as soon as I can and get this one emptied
    Most student accounts have interest free planned overdraft. When you go into overdraft, do you go into the branch beforehand to request it? Read your contract, you most likely only have free planned overdraft but keep using unplanned overdraft which means you end up having to pay fees for it.
    • TSR Support Team
    Online

    20
    ReputationRep:
    (Original post by claudiorafael)
    More than once I have been charged unplanned overdraft fees and usually these come with a further usage fee?? In total its getting close to £200 and yesterday was sent a text stating I will be charged once again another £35 in the 1st November. I am now just wondering if anyone has came across with something like this as I believe lots of people here may have a lloyds bank account. This is an outrage, I am a student, I am not rich and I cant afford to lose money with this stupid ******** I will rush to the nearest branch and try to get my money back but what argument should I use in the first place? Do I even have a chance of getting my money back? I will get a new account in another bank as soon as I can and get this one emptied
    Basically this means that at some point you've paid for something when you didn't have enough money on your account. Instead of cancelling the payment, Lloyds has let it go through with some of their money then charged you for that use of their money. The price you pay is the money they used plus a charge for them doing it (interest).

    They aren't stealing your money, it's just how banks work. If you have issues with it or want to discuss how to prevent it you can go into your bank and have a chat. They may be able to set it so you can't overspend into unplanned overdraft and any payments that would just get cancelled.
    Obviously if you believe this has been happening when you do have money in your account you need to have a talk to work out what's going on.

    Do you get your balance sent to you? That could help you keep track of things better. You can have it texted to you at a set time each week.

    Do you have a parent or somebody with a bit more banking experience who might be able to go through things with you and work out what's going on? Banks are frankly quite complicated so it could help to have a more experienced mind help you out.
    Online

    20
    ReputationRep:
    I shall give an example. My overdraft limit is £250. If i go over that then the bank charge me £5 a day until I get it back to my limit.

    I imagine it's the same with you bank. My limit is capped at £80 so my bank will never charge me more than that. You need to check your charges and maybe come to an arrangement with your bank.
    • Thread Starter
    Offline

    8
    ReputationRep:
    Once, while I was on holidays, my bank account was empty and suddenly some of my direct debits put me below £0. I remember my balance at the time was -57£ .
    This obviously happened accidentally, it was never my intention to put myself with a negative balance but when this happened I immediately deposited some money.
    I never realised I could even go below 0 because with in-store payments if I dont have money the card is declined. Even though I may "have spent what I don't have", it was a mere accident and I didnt stay with a negative balance for long and I don't think its fair to still be charged for something that happened months ago when I have been charged already plenty of money
    Offline

    17
    ReputationRep:
    (Original post by claudiorafael)
    Once, while I was on holidays, my bank account was empty and suddenly some of my direct debits put me below £0. I remember my balance at the time was -57£ .
    This obviously happened accidentally, it was never my intention to put myself with a negative balance but when this happened I immediately deposited some money.
    I never realised I could even go below 0 because with in-store payments if I dont have money the card is declined. Even though I may "have spent what I don't have", it was a mere accident and I didnt stay with a negative balance for long and I don't think its fair to still be charged for something that happened months ago when I have been charged already plenty of money
    Most banks ignore the fees if you go back to positive balance in the same day. Clearly you are bad with managing your money if it happened multiple times. So go to your branch and ask if they can get the payments to be declined if it would make you go to negative.
    Offline

    21
    ReputationRep:
    (Original post by claudiorafael)
    This is an outrage, I am a student, I am not rich and I cant afford to lose money with this stupid ******** I will rush to the nearest branch and try to get my money back but what argument should I use in the first place? Do I even have a chance of getting my money back? I will get a new account in another bank as soon as I can and get this one emptied
    What you can afford isn't really relevant - it's the T&Cs that you accepted. You need to talk to your bank and understand why they are making these charges. I would assume that it's all in the T&Cs of your account, but that you have either failed to read, or misinterpreted, them. It could simply be a matter of getting an arranged overdraft on your account.

    Good luck.
 
 
 
  • See more of what you like on The Student Room

    You can personalise what you see on TSR. Tell us a little about yourself to get started.

  • Poll
    What newspaper do you read/prefer?
    Useful resources
    How much money do you spend a week?The ultimate guide to tax!Guide to student bank accounts

    Sponsored features:

    Web Legend

    Win a Macbook Air!

    Blog about setting up a website for a chance to win in our Web Legend competition.

    Quick link:

    Unanswered money and finance threads

    Groups associated with this forum:

    View associated groups
  • See more of what you like on The Student Room

    You can personalise what you see on TSR. Tell us a little about yourself to get started.

  • The Student Room, Get Revising and Marked by Teachers are trading names of The Student Room Group Ltd.

    Register Number: 04666380 (England and Wales), VAT No. 806 8067 22 Registered Office: International House, Queens Road, Brighton, BN1 3XE

    Quick reply
    Reputation gems: You get these gems as you gain rep from other members for making good contributions and giving helpful advice.