Jump to content

Do Halifax always allow you to go into an unarranged overdraft?


Recommended Posts

They are under no obligation to go into unauthorised overdraft, even if you have an overdraft organised with them and it just entails going over it. Friends and family have had even quite small (less than £50) payments bounced rather than going into an unauthorised overdraft.

 

If you haven't been credit checked to have an overdraft at all then they won't allow you to go into the red by a penny. The only exception to this if there's a direct debit which is due to come out of your account and you clear that debit by the end of the working day. If you don't then the payment is cancelled- I once got a £35 charge for going less than £1 overdrawn.

 

If I have a penny in my account, and fill my car up at the petrol station for £30 my card is accepted and I am cosequently £29.99 over drawn and then incurr a charge of £35. So that means that whether you are credit checked or not you can still get an unautherised overdraft. Its the banks way of making money.

But if you write to the bank and ask them for a full list of all the charges you have incurred then reqeust them back they will say no, but if you then write a letter to the financial onbudsman and if you are in financial difficulty or was in difficulty at the time of the charges, regardless of the law change you may still be able to claim the charges back. The charges have to be in proportion to your income, if they are not then they are unfair and you can claim them back.

Link to comment
Share on other sites

If I have a penny in my account, and fill my car up at the petrol station for £30 my card is accepted and I am cosequently £29.99 over drawn and then incurr a charge of £35. So that means that whether you are credit checked or not you can still get an unautherised overdraft. Its the banks way of making money.

But if you write to the bank and ask them for a full list of all the charges you have incurred then reqeust them back they will say no, but if you then write a letter to the financial onbudsman and if you are in financial difficulty or was in difficulty at the time of the charges, regardless of the law change you may still be able to claim the charges back. The charges have to be in proportion to your income, if they are not then they are unfair and you can claim them back.

 

You need to read this; http://en.wikipedia.org/wiki/Floor_limit

 

As does everyone who uses a Debit card and thinks they cannot go overdrawn.

 

As for the OP's question, the amount you can go into an unarranged overdraft depends on how the bank "score" your account, they then sets a pencil limit on your account, this is the amount that the bank will allow you to go over your overdraft limit.

 

To be honest though, even if the item isn't paid you'll probably still get charged. The simple thing to do is manage your money better so you never get near your overdraft limit.

Link to comment
Share on other sites

Archived

This topic is now archived and is closed to further replies.

×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.