Have you had big overdraft problems for a long period?
You can make an affordability complaint and ask for a refund of overdraft charges if:
- your overdraft limit was set too high at the start or increased to a level you are unable to clear; or
- your overdraft usage showed you were in long-term financial distress. For example, being in the overdraft all the time, or using an unauthorised overdraft a lot
- your overdraft was originally a student account with no charges, but now interest is being added and you are in the account all or almost all of every month.
This article shows how to make an affordability complaint to your bank, with a free template letter to use.
These complaints do not hurt your credit record. And if the bank doesn’t make a you a good offer, it is free to take your case to the Ombudsman.
Contents
Overdraft affordability complaints
Overdrafts are supposed to be for short-term borrowing
Overdrafts are intended to be used for short-term problems, not as long-term borrowing. A bank should review a customer’s repayment record and overdraft limit and if there are signs of financial difficulty, offer help.
One sign of financial difficulty is hardcore borrowing for a long period. The Lending Code defined hardcore borrowings as “the position where a customer’s current account overdraft remains persistently overdrawn for more than a month without returning to credit during that period”.
Some Ombudsman decisions
All cases are very individual. But these examples give you an indication of what the Ombudsman thinks is important.
In this NatWest decision, the Ombudsman decided:
NatWest did have an obligation to monitor Miss K’s use of her overdraft facility.
Any fair and reasonable monitoring of Miss K’s overdraft facility would have resulted in NatWest being aware Miss K was in financial difficulty … by October 2014 at the absolute latest. So NatWest ought to have exercised forbearance from this point onwards.
In this Santander case, the bank didn’t notice hardcore borrowing:
By this point, Miss C was hardcore borrowing. In other, words she hadn’t seen or maintained a credit balance for an extended period of time. Santander’s own literature suggests that overdrafts are for unforeseen emergency borrowing not prolonged day-to-day expenditure. So I think that Miss C’s overdraft usage should have prompted Santander to have realised that Miss C wasn’t using her overdraft as intended and shouldn’t have continued offering it on the same terms.
A similar decision was reached in this Lloyds case:
Mr and Mrs C’s statements leading up to the renewal shows they hadn’t really had a credit balance on their account for a prolonged period. Indeed, they’d had regular returned payments and had also exceeded their limit. In these circumstances, it ought to have been apparent Mr and Mrs C were unlikely to be able to repay what they owed within a reasonable period with overdraft interest, fees and associated charges continuously being added.
Decide which reasons apply to your overdraft complaint
You are in the overdraft all or almost of the month for a long while
This is the most common reason for winning a complaint
Overdrafts are meant to be used when you have a problem. Using the overdraft a lot for a few months is fine. Or for a few days at the end of a month before you are paid.
Banks should review your overdraft annually. This is in most overdraft terms and conditions. And even if it isn’t, the Ombudsman says this is good industry practice.
So at one of these reviews, your bank should have seen if you were in difficulty with the overdraft. For example if you are in the overdraft for all (or almost all) of the month for a prolonged period. Or if you were often exceeding your arranged overdraft limit.
I would say over a year is prolonged.
The bank set your limit too high
This may have been from the start when you were first given an overdraft. Or the initial low limit may have been fine, then the bank increased it to a level which it was impossible for you to repay.
If the bank saw signs of financial difficulty, it should not have increased your credit limit, even if you asked for it. And it should have considered offering your help instead (the regulator’s word is forbearance), for example by stopping charges.
But what is too high?
This depends on your income and expenses. An overdraft of £2,000 for someone whose income is £1,800 a month is a lot – but if you earn £5,000 a month, then a £2,000 overdraft may be reasonable.
Other points that help a complaint
You won’t win an affordability complaint by saying the charges were too high.
Instead, you say the bank should have known they were unaffordable for you because of all the financial problems it could see on your statements and your credit record.
Here is a checklist, do any apply to you?
- often having direct debits or standing orders not being paid;
- a lot of gambling showing on your statements;
- significantly increasing other debts with the same bank (you may also be able to complain about those loans or credit card);
- being recently rejected for a loan or a credit card by the bank;
- significantly increasing debts with other lenders showing on your credit record;
- a worsening credit record – maxed out credit cards, new missed payments, payment arrangements, defaults etc;
- using payday loans;
- mortgage arrears;
- a reduction in the income going into your account.
Making your complaint
What you need at the start
You don’t need to know the dates your limit was increased before complaining, my template asks for them.
If you have paper statements or you can download them from the app, that may be useful for you. But you don’t need to send these statements to the bank with your complaint – the bank already has them!
You can’t go back and see exactly what your credit score was in say 2021 when the bank increased your limit. But your current credit record shows what was happening back six years, so download your credit report now and keep it. The sooner you get the report, the further back it goes. I suggest you get your free TransUnion statutory credit report.
Send a complaint by email
I don’t recommend phoning to start off a complaint. It’s too complicated and you will be talking to someone that doesn’t specialise in these complaints.
I think email is the simplest way to make these complaints. Here is my list of bank email addresses for complaints.
An alternative is to send a long message in the app. But if this means using a chat facility, it’s not usually a good idea, as you are again talking to someone who doesn’t understand what you are saying and tries to tell you what help is available with your overdraft – when all you want is to have your complaint considered.
A template you can adapt
The section above looked at the reasons to complain and the other good points that apply to your case – you can turn those into a complaint.
In the template below, I’ve invented some examples and dates so you can see how a complaint email could read. The bits in italics should be changed or deleted to tell your story.
The bit about other points is important – what should your bank have noticed that showed you were in difficulty?
I am making an affordability complaint about the overdraft on my current account number 98765432.
Your identity details (these are needed if you complain by email, not if you use secure message):
My name is xxxxx xxxxxxxx. My date of birth is dd/mm/yy. The email address I use/used for this account was myaddress@whatever.com.
Your home address (if you know the bank has your current address, ignore this):
My current address is xxxxxxxxxxxxxxxxxxxx. Please do not send any letters to older addresses you may have on your records.
If your overdraft was originally a student overdraft with no interest include this, otherwise delete it:
My account started as a student overdraft and no fees were charged. I am complaining about the period after, when you started to charge fees.
START BY SAYING they should have noticed your financial difficulty
Overdrafts are meant for short-term borrowing but you could see I was unable to clear the balance in a sustainable way. I was using the account for long term borrowing as I could not get out of this. The fees and charges you were adding were making my position worse.
I am complaining that [every year since [20xx] OR for many years] you have failed to notice my difficulty during the annual reviews of my overdraft. You should have offered forbearance eg by stopping interest and charges being added.
By 2017 I had been in my overdraft constantly for many months, not getting back into the black even when I was paid. This “hardcore borrowing” is a clear sign of financial difficulty. My income was only £1,850 a month – after I had paid bills, there was no way I could hope to clear an overdraft of £3500 in a reasonable length of time.
OR
By 2021, although my salary took my account briefly into credit, within a few days, I was back in the overdraft.
include any other points that show you were in difficulty
You should have seen that I was in financial difficulty because you rejected my loan application in 2019.
You should have noticed that the income going into my account decreased from 2021.
From 2020-22 there was a lot of gambling showing on my account.
In 2021 you should have seen from my credit record that I had made payment arrangements with other debts.
Say if the intial limit was too high or it was later increased too high
You should never have given me an account with such a large overdraft. When I applied in 2016, you should have checked my credit record and income and seen I had recently missed payments to a credit card and had taken several payday loans.
OR
You should not have increased my overdraft limit in about 2017. When you increased the limit, you should have seen that my debts to other lenders on my credit record had increased a lot.
I do not know the exact months of the overdraft limit increases. In your reply to this complaint, please tell me when the increases were and how much the limit went up on each occasion.
END BY asking for a refund of charges and interest:
I would like you to refund all the interest and charges that were added to my account from 2016 when you increased my overdraft limit.
OR
I would like you to refund all the interest and charges that were added to my account from 2021 when you should have realised that my finances had got worse to the point that I was no longer able to clear the overdraft.
Please remove any late payment and default markers from my credit records.
Points to note
Student overdrafts
You won’t win a complaint about a student overdraft saying you were a student and it was unaffordable at that point.
But when the bank has started charging interest, it should start doing reviews and check if you are in difficulty. So from then on, you can win affordability complaints.
You can complain if the account is still being used or if it is closed
These complaints can be made in a lot of different situations. For example:
- you are still using the account or you have stopped using it and are paying it off;
- the account has been closed;
- the bank defaulted it and sold it to a debt collector (here you still complain to the bank, not the debt collector). If the debt collector has gone to court and got a CCJ, add a sentence to the template saying you want the CCJ removed as part of the settlement of your complaint.
But if you have had an IVA or bankruptcy after these problems, or if you are still in a DRO, then you shouldn’t complain – ask in the comments below for details.
Old accounts
Banks may say FOS won’t look at an old complaint, but this isn’t right. FOS will often look at a complaint if it has been open in the last six years. How far back FOS will go seems rather random, but it should be possible to go back at least 6 years.
Open and recently closed accounts aren’t a problem – the bank will still have your statements.
If your complaint is about an account that was closed more than 6 years ago, it’s going to be very hard to win.
Packaged bank accounts
These affordability complaints are not about the fees on packaged bank accounts. MSE has a page about packaged bank account charge complaints.
Personal accounts, not business accounts
The complaints covered here relate to personal accounts. For business accounts, talk to Business Debtline about your options.
The Bank replies
They want to phone me!
People are often scared if they get this message. But it may be good news! You can just ignore it or say you would like a reply in writing.
If you decide to take the call, it helps to be prepared:
- have a pen and paper handy so you can write down anything
- if they say they are partially upholding the complaint, ask them the date they are refunding the fees from, and how much. And say you would like to see this in writing before you decide whether to accept it.
- if they ask you questions that sound complicated or worrying, ask them to put the questions in writing as you find the phone difficult
- when they say they are rejecting the complaint, ask for this in writing, as you will be going to the Ombudsman.
Rejection/poor offer – go to the Ombudsman , it’s free
Banks reject many good complaints, hoping you will give up. So don’t! You know if the overdraft has caused you a lot of problems.
You can’t go straight to the Financial Ombudsman (FOS), you have to wait for the bank to reply, or for them to have not replied within 8 weeks.
Here are some things banks may say to try to put you off:
- you could have declined the increase to your overdraft limit – FOS probably won’t think that is a good reason
- you never let the bank know you were in difficulty – FOS probably won’t think that is a good reason
- your salary was enough to return you to credit each month – this is misleading if bills meant you very soon went into the overdraft;
- FOS will not look into things that happened more than 6 years ago – if your account was still open in the last 6 years FOS may well look at it.
And the bank may offer to refund fees for the last 15 months say, even though your problems have been large for many years. Think twice about accepting a low offer – you won’t put this offer at risk by going to the Ombudsman.
If you are offered a refund for the last 6 years but not any further back, have a think if this is a good enough offer. It is a bit unpredictable whether the ombudsman will be prepared to go back further than 6 years.
If you aren’t sure, post in the comments below.
To send the case to FOS, complete this online form:
- you can use what you put in your complaint to the bank;
- if the bank rejected your complaint or made a low offer, say why you think this is unfair;
- use normal English, not legal terms.
You don’t need to send your bank statements – the bank will send those to FOS. And you don’t need the policy documents for your bank account, the lender will supply those to FOS if they are needed.
Do these complaints work?
Yes! From 2024, some banks are making more offers directly.
A Guardian article featured a case where someone used the template letter here. Barclays denied it had done anything but made an £8,000 “goodwill” payment to the customer.
And if your bank rejects your case, people are winning cases at the ombudsman. FOS is a friendly service although it isn’t speedy. It isn’t faster to use a solicitor or a claims firm,
The comments below this article are from other people who have made this sort of complaint. That is a good place to ask for help if you aren’t sure what to do.
Is your credit card limit too high?
Get a refunds from large loans
Unaffordable car finance – your options
chloe says
hello, i raised a Halifax complaint on the 11th of march. i didn’t get a final response by the 8 week mark & received a text message from Halifax stating they’d extended it to the 3rd of june. so at this point i contacted FOS. (i probably should of just waited) as yesterday i’d received a phone call stating my complaint had been assigned and was being looked into & i should hear back within the next couple of days (if rejected). she said if the complaints being upheld i won’t hear from her again? is this because it’s with FOS? will they get the final response or will i get it sent to me aswell despite whatever outcome it is?
sorry if that’s a silly question!
thank you
Sara (Debt Camel) says
When a complaint is with FOS, a lender will normally send my offer to FOS and then FIS sends it to you and asks if you would like to accept it or do you want the FIS case to continue.
Sending a case to FOS doesnt slow it down!
chloe says
thank you.
the lady from Halifax called me today & said they’ve rejected my claim but are freezing interest & charges for 30 days and are going to pay £100 into my account to ‘help’ if i’m struggling.
so i guess i just need to wait for my complaint to be assigned to a case handler at FOS now.
James says
Hi!
After complaining in January and then going to the FOS. They have finally got back to me today with an offer to refund all overdraft charges since 2019. £1700!
this is without the FOS investigating. Do you think accepting the offer is a good idea or should I let the FOS investigate?
Thanks
Sara (Debt Camel) says
Which bank is this?
when did the overdraft start, and if this was originally a student account, when did the bank start charging interest?
James says
This is with Lloyds the offer got sent through the FOS. It was originally a student account and I believe the interest started in 2019
Sara (Debt Camel) says
In that case a refund form 2019 is a “full refund”.
Even if the interest started in 2018, you are getting very nearly all the interest back now. Unless you think the interest started years before, I doubt this is worth carrying on with. Good result!
Joanne says
Hi,
I have just complained to Natwest as I have been in my OD on/off since 2019 but the complaint is not being upheld.
My Complaint in bullet points:
Since 2019, the bank failed to recognise ongoing financial difficulty during annual overdraft reviews.
-Forbearance (e.g. stopping interest/charges) was not offered.
-Customer was constantly in overdraft, only able to pay minimum interest.
-In 2019, overdraft limit was increased without proper checks.
-Income was under £1,200/month; overdraft over £1,000—leading to immediate debt cycle.
-No income in 2020 due to unemployment, but this was not addressed.
-Overdraft was unaffordable and should not have been approved.
-Customer requests a refund of interest and charges from 2019 onward.
However, Natwest are not upholding the complaint. I really strongly believe that as a 20 year old (at the time) should not have been able to go into the bank and have my overdraft upped by £500 with little to no proof of income and given my financial history. They say they have emailed me etc but there hasn’t been any phone calls (real effort) made to discuss my OD with me. At least for the last year, my credit score has been poor (I know this isn’t sufficient reason) but I have had missed payment, including in 2019 and then one more recently. They even state that they have seen opportunity for the OD to be removed (likely the £80 my grandma sends me for my birthday). I don’t use this account as a main account anymore.
Sara (Debt Camel) says
I suggest you send the complaint to the ombudsman. use the link in the article above.
What other debts do you have at the moment? As you may be able to win complaints about them.
Joanne says
I have an overdraft with Monzo, which was given to me in Q3 last year – lord knows how I got a 1K OD when my credit score is low. Same goes with AMEX which I now have a repayment plan with NCO, not sure if I can do anything here and Paypal credit. Amex is the one that has caused me to go into financial difficulty now as the minimum payments were so high – how I got this credit card I do not know! I dont think I have a reason to complain about these.
Sara (Debt Camel) says
Why don’t you think you have a reason to complain about these? You say the Amex was the start of your difficulty…
Molly says
I made a complaint to several banks and have just received my biggest payout of over £7000 on overdrafts charges. I have also had lots of success with credit card and loans. Sara has been a great help and I would recommend her templates and support to everyone.
Siobhan says
I used the template exactly as it was, asking for a refund of charges back to 2017 due to it being unaffordable.
I got a refund of £2534 today straight in my bank!
Santander rang me twice and I missed it at work, then this arrived! Absolutely delighted 🤩
Jon says
Hi,
I have recently found your website via Instagram / TikTok – I have just sent a letter to Halifax, I am hoping I get a good result… I am 27 Y/O now and have been in my overdraft since I was 18… a £4,500 limit overdraft, so think I have paid well over £10,000 in fees alone… £4,500 overdraft on a £1,500 NET monthly salary (at peak, I was on £800 when I first applied/was approved for the overdraft!)
Really hoping I get a similar result to the above… I did however lie on the affordability / income/expenses thing when i was requesting for an overdraft, daft of me but will this be held against me? They obviously didn’t check because I was telling them I was earning £50,000… when it clearly showed I was being paid £1,500 a month
Sara (Debt Camel) says
A bank should have tried to verify your income if it could only see 1500 net a month – not many 18 year old earn 50k a year!
And anyway, they should have realised when they reviewed the account annually that it was unmanageably high for you
Laura says
Hi sara. I contacted Halifax about my overdraft in February, I have been paying fees since 2014.. they have today sent me a message saying they are paying £157 into my bank for the fees from April 2020 to may 2021…. it doesent give any information as to why only this time frame.. I have emailed them and asked them to pay the rest. What do you think? Thank you
Sara (Debt Camel) says
That is very poor communication If they don’t explain why those dates! Have you asked them why?
Laura says
Yes I have emailed them yesterday to ask them why! They didn’t even respond to me apart from sending me a message saying they were paying it in for those dates. Even though I have had the overdraft since 2014!
Amy says
For those of you who went to the financial ombudsman, how long did it take for a decision to be made once the case had been assigned?
I got an email from someone yesterday saying they have been assigned my case, asked me a few questions and I responded with all the relevant information. They got back to me today just to confirm they recieved all this information and said they are now awaiting information from Halifax, once they have received this they will be in touch. I’ve heard it can take months , I first went to the financial ombudsman about a month ago.
Bea says
With my case for Halifax it took over 1 year to get the information needed and a decision. Be patient as it’s worth it if your case is upheld!
Amy says
Omg a year?! Why was that? What information did they need? Glad you got it sorted eventually!
Bea says
Part of the time was waiting for the case to get assigned and then we went ages waiting for Halifax to provide information. As my case when back over 6 years I think it added to the timescale as the FOS were reviewing the way they handled the 6 years rule. Nevertheless I received approx £2k back in interest so was well worth the wait!
Amy says
Ohh okay well my case has already been assigned so hopefully it’s not to long! Halifax have said they won’t uphold my complaint as it was opened in 2018, but the increased which was unaffordable that didn’t happen until the end of 2019 so I’m hoping it’s positive like yours!
Jason says
Hi Sara,
Last year I commented that I had an overdraft affordability complaint with HSBC which was taken out in 2010. To keep it short, despite months and months of research and asking, HSBC continuously told me they had no data past 6 years (2017 at the time of complaint ). I luckily found old bank statements to send to FOS which were from 2014 so that was upheld in my favour however I couldn’t find anything from 2010-2014. AFTER acceptance of the outcome, it transpired that HSBC did in fact have vital information regarding my overdraft back to 2014, therefore, they most likely had it from 2010 but now complaint is settled, there’s nothing i can do about it. I made a complaint about this to adjudicator (HSBC purposely withholding and supplying information) and they’ve upheld it and HSBC have admitted to the failure. However they’re only offering £150 despite this being held from me has cost me potentially thousands in redress. Not just that but HSBC have admitted to providing ‘misleading’ and not being ‘transparent’ with me.
The adjudicator doesnt think i will be awarded any more money than this from HSBC even if it goes to FOS but seeing as they gave me £400 compensation just for not sending DSAR in time, I find this hard to believe? Also, they’ve purposely withheld evidence from me?! Could I just get your thoughts on this please? Thank you
Sara (Debt Camel) says
The adjudicator doesnt think i will be awarded any more money than this from HSBC even if it goes to FOS
What adjudicator is this? At HSBC or the Ombudsman?
Jason says
Sorry, the adjudicator at the Ombudsman said this.
Sara (Debt Camel) says
How was it found out that had this older information?
Jason says
HSBC haven’t given any explanation as to how it was found but during the original affordability complaint they repeatedly told me that they could only go back 6 or 7 years. This was the customer service and complaints team. I then wrote to the data protection team and and they sent a letter back saying the same thing. It was only when I went through an old phone I found bank statements from 2014 which then helped me get the complaint upheld.
The FOS dealing with the complaint even said that it’ll be hard for HSBC to determine redress as they’ve said they have no access to information from before 2017. Then, somehow, the FOS came back to me with a redress figure and I asked them how HSBC had worked that out. She then sent me a screenshot of what she had been given from HSBC and it was from a system with all the fees and interest I had paid over those years.
I’ve asked but nobody has told me where that’s come from, except HSBC have admitted that they did have that information all along.
Sara (Debt Camel) says
So this happened while your previous complaint was ongoing?
Jason says
Yes. Then the information was revealed AFTER I had agreed settlement.
Sara (Debt Camel) says
Then go back and say HSBC concealed this information, and you only accepted the low setter be use you had been told the earlier data did not exist.
Say it is unfair that HSBC should profit from this error nd that you should lose out, and that the current offer doesn’t come close to putting this situation right in a fair way.
Say you want this to go to an Ombudsman unless a much larger settlement offer is made
Angela says
I was considering making an affordability complaint about an overdraft on a bank account that was closed. I have been in a protected trust deed (Scotland) since the account was closed – can I still complain?
Sara (Debt Camel) says
You can complain, but any refund will be paid into the Trust Deed and not to you. And this won’t normally reduce your TD payments or end it earlier… unless you are Close to repaying the debts in the TD in full, which is unusual.
So this is hardly ever worth bothering with
Angela says
The trust deed is now closed and I have been discharged as well as my trustee. Can any refund still be paid to the TD?
Sara (Debt Camel) says
I don’t know, I haven’t seen anyone try that. It would be hard as you would would be complaining about pretty old debts. How long ago did the TD start? If it was over. 6 years ago, it’s unlikely that you can win any affordability complaints, if it under 6 years ago you may only be able to go back 6 years. .
Nicole says
Hi Sara,
I made an affordability complaint following your template for an overdraft I have with Santander on 2nd April ‘25 when my overdraft was at £1200. They acknowledged the complaint pretty quickly, since then they have emailed on the 29th April apologising that it is taking them longer than anticipated to look into and that they hope to resolve within the next 4 weeks. I sent a message within my online banking chat exactly a week ago asking for an update on my complaint as it was approaching the 8 week deadline. They replied saying that it was with a complaints investigator and that it has to be looked at thoroughly before they come back to me with an outcome. I have received an email today (27th May) apologising again that it is 8 weeks today since I made the complaint and that they are still looking into it and will come back to me as soon as possible and if I don’t want to wait I can contact FOS but it also says we hope you’ll give us the opportunity to complete our review before doing so. My question is do I give them more time and if so how long should I give before referring to FOS? I just would like to have an answer either way now, I know these things time but it’s making me feel on edge.
Sara (Debt Camel) says
You could decide to give them a few more weeks as they seem to make reasonable offers sometimes- they still refuse good claims but not all of them.
Nicole says
I’ve just called Santander today 9 weeks since making the complaint. The lady I spoke to on the phone said that my case hasn’t been allocated yet and that they have a delay in getting back to customers. I asked for an estimated timescale and she said she was unable to to say and that if you want to go to FOS to do so. Do you think I should now refer to FOS or wait a bit longer?
Sara (Debt Camel) says
I would be inclined to give them a couple more weeks but no longer
Emma says
Hi,
I’m also in the same process with Santander. I’ve been through to them a couple of times and they’ve said it’s still with a specialist team. The 8 week deadline was 4 weeks ago. Would you give them any longer Sara or look to refer to the ombudsman now?
Sara (Debt Camel) says
After an extra month I would send it to the Ombudsman, but its up to you. Santander will still look at the case if you do send it to FOS now.
C R says
Hi there,
I stumbled across your forum which led me to submit an affordability complaint for my £3000 overdraft on the 2nd of May – yet to hear anything back.
I have been in my overdraft since 2017 when I had my son – I was only clearing about £1500 a month and constantly in it. I pay between £75-85 a month in interest and have taken out multiple loans along side this to get by. My income is only around £2400 now as a single parent this has caused me a lot of stress and anxiety. I have heard nothing back from TSB – do you think they will uphold my complaint?
Sara (Debt Camel) says
It sounds a good complaint to me
But the loans you have taken, were they high cost? Who were the lenders? You may also have an excellent case to be refunded up interest on those loans
C s says
Hi Sara,
Thanks for responding. I’ve had a few over the years which are now paid off but have 3 open loans at the moment. One is £1500, another £1000 and one is basically paid off. I wouldn’t know how to go about looking into affordablity complaints for any previous loans – do you think this is worth looking into?
Sara (Debt Camel) says
Who are the lenders?
Bea says
TSB are awful I’ve had to go all the way to the Ombudsman who has ruled in my favour! Don’t get put off if they reject you, go to the FOS and be patient!
C S says
I have had multiple loans over the years, majority of them have been unsecured payday loans 118118 Money, Lendable, Mr Lender, Finio Loans to name a few.
Oh no Bea – sorry to hear you had a bad experience, I’m really hoping that’s not the case for me!
C R says
Hi Sara! Finally got my reply and TSB are willing to refund charges from 2021 only? Should I push back and try and get them refunded from 2017?
Thanks
Sara (Debt Camel) says
Did they say why 2021? Dud your situation get worse then?
Does the refund clear the overdraft?
C R says
No I replied to them asking why 2021, if they refunded it from then the overdraft would still have about £100 left on it that’s why I’m confused?
Sara (Debt Camel) says
have they replied to your question?
C R says
No they’ve not replied, I’ve had to get them to reopen the complaint as they assumed I was happy with their outcome.
Sara (Debt Camel) says
Then I suggest you give them 2 weeks max, and send this to the ombudsman if they havent replied by then
Olivia Daniels says
Hello Sara,
I finally had my response and they have close the complaint. I had a £1000 over draft that I was in throughout 2018–2023 they closed the account due to not be able to afford it anymore. That’s right.. completely closed it with all my money in and I had to go to nationwide bank to withdraw in cash.
Anyway this is what they said.. do I just accept it?
“ To reach this decision, I’ve reviewed your account and the overdraft applications. This has shown in the months leading to your overdraft applications and the increases, your account was receiving an income which on average was sufficient to support the decision to increase and your account activity weren’t indicative of a person in financial difficulty.
At the time of your requests to increase the overdraft, we also looked at the data provided by the Credit Referencing Agencies (CRA’s) which supported your eligibility and affordability to manage the overdraft. We were also able to review data from loan applications from around the time of your increases and the data input by yourself also indicate that the lending decisions were affordable.”
Thanks,
Sara (Debt Camel) says
They closed this account in 2023?
chloe says
Hi i’ve been stuck in my overdraft for around 2 years now, which has increased to £1500. i am a student and also was in maternity leave as a new mother at the time of applying for an overdraft and increases. There’s no interest charges as it is a student account so if i made a complain what would i get back if successful and if anything ?
Thanks.
Sara (Debt Camel) says
No you wouldn’t get anything back as you haven’t paid interest.
Do you have any debts you are paying interest on?
r says
hi, i have had a complaint upheld by the ombudsman, Santander have provided the refund but i feel they are short, in the final response letter it mentioned refunding all charges on the account and if in credit then 8% stat should be applied, should the charges also include the monthly bank charges for the account too? do we know if it’s common that the bank give the incorrect amount? i do have statements which tell me how much i have been charged.
Sara (Debt Camel) says
Go back to Santander and point out the FIS decision said to refund ll charges, not just interest, and that you don’t think they have done this
Tell your FOS adjudicator what has happened
MP says
Just looking for some advice really after seeing a video online.
I started an IVA in October 2016 and successfully completed in 2021. Am I right in thinking that any claim for irresponsible lending against NatWest (creditor included in the IVA) would just open a can of worms. Would and money I was entitled to just be redistributed amongst the creditors despite the Iva being closed for nearly 4 years? The main debt with NatWest was 2 loans.
Many Thanks
Sara (Debt Camel) says
So there are three problems here:
– Unless you have banks statements going back to the time those loans were taken, you have no proof of unaffordability
– the Ombudsman may well say this is too old to look at, that you should have complained earlier
– and if you do Win the complaint, any redress will first be used to clear any remaining balance on the NatWest loans
I think this is extremely unlikely to help you, it isn’t opening a can of worms, just a lot of hassle that isn’t likely to give you a good result
MP says
Thank you Sara
I’ll leave it.
Appreciated
Kelley says
I complained in September 2024 to TSB about a £3k overdraft that had been maxed for several years. They responded quickly and agreed with the complaint and refunded charges from 2018 and also 8% interest. However, I didn’t understand they way they applied the 85 interest, so I took the case to the FOS and asked them to look at it, and also whether the charges could be refunded further back than 6 years. The case was stuck with an investigator who didn’t seem to understand it, who then left and someone else phoned me. He was really in explaining everything, but didn’t follow up with the explanation in writing as suggested, and instead just closed the case. The bit I didn’t understand was around the 3-year time bar, as he said this is applied differently on overdrafts (compared to credit cards or loans) as there is a monthly charge, which should make it clear to the consumer what they are paying for. I don’t quite understand this, as credit cards also have an monthly interest applied, but I was hoping his written explanation might help me. Is there a clearer explanation of this anywhere? Thanks.
Sara (Debt Camel) says
Ombudsman decisions seem erratic about going back further than six years, as the article above says
JD says
Hi everyone,
Has anyone heard any news on cases that were affected by the judicial review and whether or not the ombudsman are making decisions on cases in relation to the 3/6 year rule?
Thanks!
Gabriella says
Hi Debt Camel – thanks so much for this helpful article. I’m trying to understand whether I should/could complain about an overdraft I used to have, please could you help? It started as I’m sure many others do, as a student overdraft of £250. Natwest then had zero issue extending it further and further over the course of a few years, it eventually stopped being 0% interest, and it was at its max of £2500 when I graduated. My first graduate job salary was hardly £1600 a month so I was in persistent debt, which also lead me to taking out my first credit cards. Fast forward to today and I’m in about £21,000 total of credit card debt. The trouble is, I left university in about 2015, so this was quite some time ago. Do you think it’s worthwhile pursuing this case? Thanks in advance.
Sara (Debt Camel) says
is the overdraft still being used?
the credit card debt, can you stop using the cards or are the minimum payments too high?
Shadida says
I made a complaint to Barclays in regards to my Overdraft. I had 4K overdraft for over 10 years and struggled to pay back because in that time i was made redundant and started eating into this overdraft. Barclays was aware of this yet they kept upping my overdraft. Anyway only recently i managed to pay this overdraft off in full. Three weeks a go i made and affordability complaint and they have responded back saying they don’t admit fault but a goodwill gesture payment of £5,248.80 and if accept they will deposit this on. This morning this has been deposited. Thank you Sara so much for all your advice and help on Instagram. you do not know how much this has helped me. I have many more complaints I’m still waiting to hear from. I will keep you updated.
Alexandra Joslyn says
Hello, I entered into a student account with Lloyds back when I was a student in 2011 I completed my study in 2014 and I still have the overdraft now. I’m horrified how much I pay in fees and I keep trying to pay it off but I struggle. Do I have a case if this account was never my main account for wages etc?
Thank you.
Sara (Debt Camel) says
how large is the overdraft? Do you have other debts?
Alexandra Joslyn says
Hi, The credit limit is around £1500 and I’m at around £900. The only other debt I have is a credit card.
Thank you.
Sara (Debt Camel) says
so this is definitely worth complaining about, although sometimes cases where you no longer use the account are harder to win.
Lloyds will likely want to see bank statements from your other account.
George says
Hi Sara!
I’m wondering whether I should make a claim on a £2000 overdraft I’ve had with Natwest since 2008. I took it out as a first year student and started to recieve charges and interest from 2013. In 2015, I called them and got a refund of interest and charges. However, I’ve called them on a few occasions to seek help with my overdraft, and have not recieved any help since – the only measure I was ever offered was a hold on missed payment charges in 2020 during COVID if I promised to make a payment in 2 weeks time from the call.
I’ve never earned above £1600 per month, have been in extensive debt with payday lenders in the past, had many missed payments on my credit file prior to 2022, and don’t recall a month where I haven’t been at the very limit of my overdraft. Since 2013, I estimate that to date, I have paid roughly 3x the value of the overdraft in fees and interest without ever coming close to clearing it. The interest fees since they went up in have been absolutely killing me, and I don’t see an end in sight.
Do you think I have grounds for a complaint?
Sara (Debt Camel) says
when did you last have payday loans?
what other debts do you have at the moment?
George says
Hi there.
Payday loans would have been around 2015-17. I also have a debt of £950 on a credit card.
Sara (Debt Camel) says
which lender is the credit card and when was that opened? was your limit ever increased when you were only paying the minimum?
George says
the credit card is with Capital One and it was opened in 2015. My limit was increased when I was paying the minimum – from 500 to 950.
Sara (Debt Camel) says
When was the limit increase. Do you have or can you get) your bank statements going back that far?
George says
The limit increase for the Capital One credit card was in 2022 – and yes, I have bank statements going back as far as 2018.
Sara (Debt Camel) says
Then it’s worth complaining about that increase,
George says
Okay, thanks. But you don’t think I have a case with asking for a refund on overdraft charges? Or are you referring to the credit card? thanks!
Sara (Debt Camel) says
I was referring to the card limit increase.
But yes, I think you have a case for a refund of the overdraft, for at least the last 6 years.
Amy says
Has anybody had any success with Bank of Scotland overdraft affordability complaint?
Sara (Debt Camel) says
yes a lot of people have!
Sophie says
I have just submitted a complaint via email to Santander, using email addresses I found here https://debtcamel.co.uk/santander-overdraft-complaints/ as there don’t seem to be any of Santander’s website. However, the email has bounced.
I have tried messaging their bot to ask for an email address to send in a complaint but they are just asking me to call them during opening hours.
does anyone have a working email address that I can use to email Santander please?
Sara (Debt Camel) says
Try customerrelations@santanderconsumer.co.uk
I think they have stopped the previous one just to be difficult
https://debtcamel.co.uk/email-addresses-banks-credit-cards/
Sissi says
Hi!
I’ve taken my complaint to the Financial Ombudsman after Santander dismissed my affordability complaint about my student overdraft. I’ve been stuck in it since 2022, when it was automatically added to my account at 18. I’ve never been able to clear it, and as a vulnerable customer with a cognitive disability (diagnosed later due to NHS delays), this has caused me serious financial stress and anxiety.
Santander didn’t do any affordability checks, and in their final response, they said that since they don’t charge interest and I get a year post-graduation before fees apply, that should be enough support. I felt totally dismissed.
Most of the successful outcomes I’ve read here involve people who were charged interest or fees but I haven’t been. I’m asking for the overdraft itself to be refunded due to the harm caused.
Do you think I have a chance or am I wasting my time? Any advice appreciated!!
Sara (Debt Camel) says
I haven’t seen someone win this sort of case, unless the lender had previously been told of your mental health problems.
I do think you should be treated sympathetically. Do you have other debts? Have you looked at a debt management plan?
Sissi says
No i don’t have any other debts and would a debt replayment plan be with the bank i have the overdraft with?
Thank you for your response so i’m assuming that people often only get the interest charges refunded right? :( That’s sad to hear but at least i tried
Sara (Debt Camel) says
in 99%+ of cases only interest is refunded.
You may be able to ask the bank to clear the debt because of your cognitive disability. But you are asking for the write off here, not hoping for it because on unaffordability. See https://debtcamel.co.uk/debt-options/less-common/write-off/ and talk to your local Citizens Advice about this, as it may be better if they write on your behalf
Catherine says
A thank you from the bottom of my heart for the invaluable resources and advice you share here. I used your template to raise an affordability complaint on my Lloyds overdraft, which I had been pretty much living in for 15yrs+. They took a while to get back to me but today I had a call to say they’d be refunding all interest and charges dating back to 2010… almost £12k in total! A chunk of this will pay off my overdraft but there will be a sizeable amount left to pay off some other bits and have a financial reset I have so desperately needed for so long. Thank you so much!
Rebecca says
Hi Catherine
Can I ask, did you ask for charges to be refunded back as far as this. I can’t see when my overdraft started as I only have access to documents dating back to 2013, I have asked Halifax to confirm all Overdrafts throughout the history of my account though. Roughly how long did it take to get a response. I too have been living in my overdraft for probs about 15 years. Congrats on the refund amazing result 👏
Dan says
Hi Debt camel!
Thank you so much for this resource, it has been an incredible help to me on my journey to a debt free life.
I raised an overdraft complaint to Lloyds Bank back in Feb, no response so went to FO. FO emailed this week to say they have offered to refund all charges for the last 10 years, totalling around £1900, which is the majority of my £2050 overdraft.
However, the FO said they haven’t completed their investigation yet, and this is just the initial offer from Lloyds. Am I silly to accept quickly? I’m happy to accept seeing as the amount mostly clears my overdraft and I can afford to cover the rest when the close the overdraft (as part of the agreement).
Could you also advise if this will affect my credit score negatively and/or positively?
I’m slightly worried about the 12 month freeze on lending, and impact on my credit file, as my mortgage is due for renewal soon.
Thanks again!
Sara (Debt Camel) says
How long ago did your overdraft problems start?
Do you have any reason to think you have paid more than £1900 in charges in the last 10 years?
Dan says
Opened a student overdraft in approx 2013, which had no interest for 2 years, so to go back to 2015 I thought was generous from Lloyds.
I’ve responded to accept the offer pending confirmation the 12 month lending freeze doesn’t cover Lloyds group brands like MBNA/Halifax etc. because my mortgage is due for renewal soon and don’t want to impact that.
Thanks!
Sara (Debt Camel) says
Do you only want a new mortgage fix? If you do, it’s not lending more and it won’t be affected.
Mp says
Hi All,
Sorry to butt in but can you please explain why it would impact your credit score? In the article above it says it wouldn’t impact your credit score?
Thank you :-)
Sara (Debt Camel) says
It won’t affect their credit score negatively. It’s always hard to guess if clearing the overdraft will have a positive impact on a credit score as that depends on so many other factors. But not having the overdraft may make some lenders more prepared to lend even if the score itself doesn’t change.
Nicki says
I have raised an affordability complaint with HSBC which has been rejected by them and the FOS, I have not yet escalated to an ombudsman.
I have had the overdraft for 20 + years and it has rarely been in credit for the last 20, I stopped paying my wages in about 5 years ago as I could not see a way out of the cycle. I was unaware I could make an affordability complaint about hardcore borrowing until 2024, when I saw an article about a Barclays refund. The FOS have said I am too late to complain and did not think that HSBC had acted unfairly. Do you think it’s worth escalating to the ombudsman?
I would appreciate your thoughts. Thank you
Sara (Debt Camel) says
what has happened to the abandoned overdraft? Has it defaulted? Has HSBC carried on adding charges?
what are the rest of your finances like?
Nicki says
Hi
I have been paying in small amounts, but basically it is still at the limit. I am still able to use it, the limit has never been reduced or restricted. Charges have been stopped periodically. My credit score is very low, I have several credit cards. I had a period of using payday loans which can be evidenced on my bank statements.
Sara (Debt Camel) says
how long ago were the payday loans?
are you able to pay more then the minimums to the cards and stop using them?
Nicki says
The payday loans were probably 2015-2019, before COVID.
I usually pay the minimum but then use the cards again.
Sara (Debt Camel) says
what is the balance at the moment?
Nicki says
The overdraft is £1500.
Sara (Debt Camel) says
so you can ask for an ombudsman to look at this, saying if HSBC had reviewed your account annnualy as the terms and conditions said, then they would have seen you were in diffiuclty and should have offered to help and not carried on proving the unaffordable overdraft facility.
But I think you should also talk to Stepchange about a debt management plan for all your debts, including the HSBC overdraft and the cards. this will get interest frozen and allow you to make one lower affoprdable payment a month to them. See https://www.stepchange.org/how-we-help/debt-management-plan.aspx
Nicki says
Thank you, what about the deadline? FOS said it was too late but I’m not querying the initial lending decision but the continued affordability. What is the timeline for that? . I was unaware I could make an affordability complaint about hardcore borrowing until 2024,
Jamie Lee says
I complained to Halifax about a year ago regarding affordability in my I overdraft I owe £2900 they called me yesterday and offered £2350 of overdraft charges against the £2900 and and £1350 of interest paid to me also agreed to change my default date from Feb 2024 to May 2015 when they increased my overdraft from £500 to £4500. They said that this will help my credit rating as the default will no longer appear. It still leaves a balance £550 which will show on my
credit file. How will the £550 look in my file if it shows as unsatisfied?
Sara (Debt Camel) says
“they called me yesterday and offered £2350 of overdraft charges against the £2900 and and £1350 of interest paid to me”
I don’t understand what the 1350 is here.
It still leaves a balance £550 which will show on my credit file. How will the £550 look in my file if it shows as unsatisfied?
This is hard to guess, as if they backdate the default, the record will no longer show at all on your credit file.
If they add a new record (they may not) and it shows as an unarranged overdraft, this harms your credit score but it will be better than the default that is there at the moment.
Good result!
Mm says
Hi, I am trying to lodge a complaint with Santander but can’t find their customer service email, they make it very difficult to lodge a complaint. Could you advise on how to reach them?
Sara (Debt Camel) says
The articleabove has a link to a page with bank email addresses- have you looked There? I have recently update the Santander email address
Darren Cowan says
I emailed a compaint to Santander yesterday and this was their response … not sure what the phone call will be about any suggestions??
Dear Mr Cowan
Thank you for contacting us about your concerns.
Email isn’t a secure way of contacting us. It’s important that your personal details aren’t put at risk. Please don’t send any personal or sensitive information by email.
We want to put things right for you. We have logged your issue on this occasion, and you should expect to receive a call. In future, it is safer to contact us using one of the options below. You can also find this information on website below
Sara (Debt Camel) says
That is an automated reply.
Banks sometimes phone people who have complained – not always, it seems random.
If taking a call makes you very anxious, simply say that talking about money on the phone makes you feel anxious and you find it hard to concentrate, so ask them to put any questions in writing and you will reply
Ignore any comments that you were told what the overdraft charges were/ asked for a higher limit/didn’t reject the offered limit increase – these are irrelevant to you complaint as the Santander still had a duty to review your overdraft for affordability. But don’t get into an argument – keep it simple and ask for a response to your complaint, or any questions, in writing.
Alice says
Hello,
Thank you so much for this information! I made my complaint with Halifax on 28th February 2025 and got the outcome today: I am being refunded £1164.42p against my £1800 overdraft with a payment plan for 12 months to remove the remaining amount and any negativity removed from my credit file going all the way back to 2019!
Even though the full amount couldn’t be cleared, this has been a massive help in my financial situation and your information has helped me massively!
Thank you :)
H says
Hi, I complained to RBS regarding my overdraft (started as a student). They didn’t agree with the complaint so I moved onto Financial Ombudsman. FOS got back to me last week saying they agree and are upholding the complaint however RBS have replied to them today saying they disagree. Do you know what happens now?
Sara (Debt Camel) says
It goes into a queue to be looked at by a more senior person at FoS with the title of Ombudsman. Am Ombudsman’s decision is legally binding and the lender can’t reject it
Amy says
The case worker from the financial ombudsman got in touch with me today to let me know they believe the complaint should be upheld and included the email that they have sent to Halifax with all the reasons why they think they acted irresponsibly. Halifax now have until 26th June to get in touch with them with their decision , anyone been in this position how did this go for you?
Claire says
Hi Amy, I’m in the same position with RBS. The investigator found in my favour, and I have agreed to their findings. RBS have asked for an extension to consider the findings, they have twice requested an extension. We’re waiting patiently as it would be better than it being escalated to an ombudsman for a final review. Hopefully you hear back soon too
Fingers crossed.
Ryan says
Afternoon,
Thanks for this post! I’ve just made my complaint for a student overdraft that I had from 7 years ago. I had an overdraft of £2k and since 2018 they started charging interest on only £1,000 of it until 2019 when they changed my account back to a normal account and started charging interest on the full £2k. My income never took me over the overdraft amount so there was no way I could attempt to pay it off. I still have the overdraft to this date although I’ve managed to reduce it recently. Had other debt issues for a few years in the same period too. Hopefully NatWest refund the charges.
Liz says
Hi, I have two overdrafts with Barclays, both have £2k limits and both have been consistently up to there limits for over 5 years. One is a joint account one is just mine. Money goes into both each month but not enough to clear so I am constantly overdrawn. I’m paying £50 a month charges for mine and about £30 for the joint. Can I complain about both? If so do I do the complaint separately or together? Thanks
Sara (Debt Camel) says
Yes you can complain about both I assume your partner knows that you will be complaining about the joint account?
I would make them separately
Laura says
Hello,
I raised a complaint with Halifax beginning of April and just keep getting the standard “ we are sorry there has been a delay” message.
Do you know how long it’s roughly taking them to resolve cases and is it now worth referring to the FOS or just waiting? Thanks so much.
Sara (Debt Camel) says
Halifax (and Lloyds and Bank of Scotland) are being very slow. Your complaint isn’t in the “difficult” pile, literally no one has looked at it yet.
I expect they have quoted you a date in July sometime.
If you go to the Ombudsman now, Halifax will carry on looking at your complaint, if they make a decent offer you can then tell the Ombudsman you are accepting it and they will cancel the case.
it’s up to you whether you go to FOS now, or wait until that July date and go then
Cameron McKenzie says
Hello,
I emailed Bank of Scotland regarding my student overdraft on 26th May 2025. I have not had a single email saying they are investigating or looking into my complaint.
In 2024, I managed to pay off the overdraft despite being charged interest once I exceeded my interest-free limit.
Unfortunately, I am now back into my overdraft and being charged interest again. There has been no duty of care from Bank of Scotland considering they could see I was not originally using the overdraft for short term borrowing.
Should I have heard back from them by now to at least say they are looking into this?
Thanks
Sara (Debt Camel) says
If you haven’t heard after a month, phone them up and ask them to confirm that they have your complaint
Maria 2007 says
Hi Sara, thanks for your articles, they are so informative and helpful. I had an overdraft with Halifax which was increased repeatedly over short periods of time up to £2000 – which was about my take home pay each month. This went on for about 2 years til early 2020. During COVID they offered to hold payments for 3 months as I was really struggling at this point and this was followed by, in late 2020 they offered me a loan for £2000 to pay off my overdraft – which I accepted as I was never going to get out of it otherwise. I’m still paying off the overdraft now as part of a DMP which I had to set up in 2022 as my debts had completely swamped me. Do you think I have a case of unaffordable lending on the overdraft – seeing as Halifax actually took steps already to support when I couldn’t get out of my overdraft?
Sara (Debt Camel) says
yes you can try.
But what may be more useful is to complain about all the debts in your DMP, including this Halifax loan. What other debts went into it?