Have you had a credit card, store card or catalogue where your credit limit was too high? So high that the monthly repayments were hard to manage and you got into more debt?
For some people the limit was too high at the start. Others were originally given an OK limit, but the lender kept increasing it. or it was OK while the 0% offer lasted, then unmanageable.
You may have a good affordability complaint that the lender was irresponsible in allowing you to borrow so much.
This applies even if you made every payment on time, as you may have borrowed more elsewhere.
This article explains how to ask for a refund of the interest you have paid.
Contents
What is “affordable”?
The regulator’s rules
Even if you made every payment on time, the debt may still have been unaffordable.
The following is my summary of the regulator’s rules:
- a lender must check if credit is affordable when you apply for it. For a very low limit, not many checks are needed;
- a lender should make similar checks before increasing a credit limit;
- credit isn’t affordable if paying it leaves you short of money for your bills, normal expenses, and your other debts;
- if you have to borrow more most months, this would not be affordable;
- you must be able to repay the limit set within a reasonable period. Paying the minimum amount is OK for a while, but not for a long time.
Good reasons to complain
If the lender could see any of these on your credit record, they should probably have declined your original application:
- a level of borrowing that looks very high in relation to your income; or
- you had a different credit card with the same lender where you were only making minimum payments; or
- other credit cards where you were near your limit and persistent overdraft usage. Here is an Ombudsman decision saying Zopa should not have given quite a low initial limit in this situation; or
- recent credit record problems: defaults, missed payments, or arrangements to pay, mortgage arrears; or
- recent payday loans or a lot of recent credit applications.
Your credit limit should not have been increased unless you could afford it. In addition to the points above, any of the following should have also warned the lender you were already in difficulty:
- making minimum payments for a long while;
- often taking cash out on the card;
- making a minimum repayment but then using the card to pay for food or petrol so the balance never drops;
- using most of your limit for a long period;
- significant gambling the lender was aware of;
- recent missed payments or an arrangement to pay on your credit record;
- your overall level of debt on your credit record had increased a lot.
NB many cases are won when someone has never missed a payment.
You don’t need to know the dates and amounts of any limit increases before you start your complaint – my template asks for these.
0% balance transfers
Here the lender should check that you would be able to repay the whole limit within a manageable length of time (say 5 or 6 years) taking into account that interest will be charged when the 0% term ends.
So if you were ok during the 0% term but then you couldn’t afford the payments when interest started being added, you can complain. Ask for any interest to be refunded and to be able to repay the rest with no interest. Don’t make a complaint about a BT that is still at 0%, it’s much easier to wait until the 0% has ended.
Do I need to know the limit and date details?
No. My template below asks for these. The lender already knows the details so it doesn’t help your complaint by listing them. Don’t delay making a complain trying to find these out.
Think about these points before complaining
You can complain about open or recently closed accounts
These complaints can be made if your account:
- is still open; OR
- it is closed and settled within the last 6 years; OR
- or if it is with a debt collector and you defaulted within the last 6 years (NB the complaint goes to the original lender, not the debt collector.)
If you have had a DRO, IVA or bankruptcy after these problems, ask in the comments below, as this can be complicated.
Old accounts
Many lenders reject complaints about a card opened more than six years ago and say the ombudsman won’t look at them.
FOS may look at these “old” accounts if they have still been open within the last six years. But you are much more likely to win if there have been limit increases in the last 6 years.
If your account was opened in 2017 say, but the lender increased your limit in 2021, that limit increase is within the last 6 years so it can definitely be looked at. You can always get bank statements going back six years, even from closed bank accounts.
A alternative for old defaulted accounts?
If your account was opened over 6 years ago, you defaulted and still owe a balance, perhaps in a DMP, think about asking the debt collector to produce the Consumer Credit Act agreement for the account.
If the current creditor can’t produce a proper copy of the agreement, the debt cannot be enforced in court and you can simply stop paying anything to it. This applies to all credit cards, store cards and catalogues.
It may be that the balance on the account is larger than any refund you might get. In which case, if the CCA agreement cannot be produced, you would be better off asking for this rather than making an affordability complaint.
Is a refund what you really need?
Any refund sounds good, but is your problem much bigger than this?
Complaining only gets the interest refunded – you still have to repay what you borrowed. If the debt is newish, you may still be left with a large, unaffordable balance.
Don’t spend months arguing with lenders and going to the ombudsman if you will still be in a mess even if you win. So phone National Debtline on 0808 808 4000, tell them you are thinking about affordability complaints but you would like to know what your other debt options are.
Poor reasons to complain
You can’t complain just because the interest rate was high or because you have paid them a fortune over the years.
You won’t win an affordability complaint if something unexpected went wrong later in your life. If you had been managing a credit card fine for years but then you lost your job or separated from your partner, this isn’t the lender’s fault. But you may still need help to get interest stopped on the cards – talk to StepChange or National Debtline about getting new interest stopped when you are in difficulty.
How to complain
The email address to use
The best way to complain is by email. Find the email address here:
Credit card and catalogue email addresses
Start with this template
I’ve invented an example so you can see how a complaint could read.
Change/delete the bits in italics to tell your story. Miss out any dates if you don’t know them, this isn’t a problem
I want to complain about irresponsible lending for my Barclaycard account number 987654/444.
My date of birth is dd/mm/yy. The email address I used for this account was myaddress@whatever.com.
Put this in if you think the lender may have an old address for you
I have moved and my home address is now xxxxxxxxxxxxxxxxxxx. Please do not send any letters to any older addresses on your system.
Put this in if you don’t know some details
I do not know the exact months when the account was opened or any credit limit increases or decreases. In your reply to my complaint, please tell me the dates and amounts of all limit changes, even if these happened over 6 years ago.
Then say IF they should never have given you the account:
You should never have allowed me to open an account with such a large credit limit.
On my income with my regular household expenses and other debts I could not manage to repay that amount in a reasonable time.
[if you had already missed payments] When I applied, you should have checked my credit record and would have seen I had recent missed payments to a credit card and a default only five months before on a loan.
[If this started as a 0% transfer: You should have seen that I would not be able to clear the balance in a manageable length of time, and that after the 0% period ended, I would struggle to pay the higher minimums once interest was being added.]
AND / OR say that they should not have increased your credit limit:
You should never have increased my credit limit. At that time I had only made minimum payments on this credit card for a long while and/or I was using a very high level of my credit limit.
If you had properly checked my credit record before increasing my limit, you would have seen that in the two years since my account with you was opened, I had got additional late payment markers and defaults and/or taken out a lot of other credit. This should have warned you I was struggling with my finances and it was not responsible to lend more. By increasing my credit limit, you made my financial position worse. Instead you should have offered me forbearance by freezing the interest on the card.
If the lender should have known you had problems with your account, mention these
You should also have realised that I was having difficulty because:
of the late payment charges you added to my account
I had missed payments to you in 2023
I had already asked you on the phone if it was possible to stop adding interest for a while.
End with asking for a refund:
I would like you to refund me all the interest I paid and any late payment charges from the point the account was opened
OR
I would like you to refund me all the interest I paid and any late payment charges after you increased my credit limit in 2021.
OR
I would like you to refund all the interest I have paid since the 0% period ended and allow me to clear the balance without adding interest.
I would also like any late payment and default markers to be removed from my credit record. (do not mention this if the credit record for this card doesn’t have problems)
Don’t be put off by a rejection or a poor offer
Lenders often reject good cases
If a lender rejects your complaint or offers a low “goodwill” gesture, don’t be fobbed off – they want you to give up.
Here are some bad or irrelevant comments lenders sometimes make when rejecting a complaint:
- you made the payments to them on time – that doesn’t mean you could manage a higher limit;
- the account was opened over 6 years ago – if it was still open in the last 6 years the Ombudsman may look at it;
- you accepted the limit increase – that doesn’t make a difference! The increase should not have been offered if it was unaffordable.
You know if this card or catalogue has caused you difficulty – it’s easy to send a case to the independent ombudsman. Don’t delay doing this!
How to send a case to FOS
Send FOS a complaint using their online form. You can use bits of what you put in your complaint to the lender. If the lender has rejected your complaint or given a poor offer, say why you think this wrong.
The FOS form at the end asks you to add supporting documents. Don’t bother to send A copy of your credit or finance agreement – the lender will supply that if FOS asks for it.
Send FOS a copy of your credit report, they always want to see it. If you have any old credit reports, send the oldest one you have, otherwise send the current one. You can download a statutory TransUnion report for free.
Also get your bank statements if they will support your complaint and send those to FOS too. Do not wait to be asked by FOS for these.
Ideally you want them 3 months before and three months after the account was opened and before /after any limit increase
FOS is a friendly service but not fast. Just use normal English, not legal terms. Using a claims company or a solicitor doesn’t help or speed this up.
Ask questions below!
There are hundreds of comments from readers who are using this template. It’s a good place to see how these complaints often go and to ask any questions.
FAQs about Affordability claims
Can you get an overdraft refund?
Could a Debt Relief Order help you?
Dave L says
Anyone had any issues with Monzo, I’ve recently had a complaint upheld by an FOS adjudicator which they’ve accepted. This is where the fun starts sent them my new sort code and account details only to receive a reply which stated they can’t accept a card number for payment . Replied that is my account details and haven’t had a response off them
Since I’m a week despite emailing their complaints and their customer service chief. Just seem to be totally rude and ignorant at worst, totally incompetent at best.
Sara (Debt Camel) says
Is your complaint against Monzo and you want it paid into a different bank?
Or your complaint against a different bank and you want the refund paid into your Monzo account?
Dave L says
Hi Sara
Complaint is against monzo , I have now closed my account with them and wanted the compensation to be paid to a different bank. They seem to have made a mistake in their initial reply and have been unable to get any response from them since . Just very frustrating
Dave
Sara (Debt Camel) says
Well how do they expect to pay you if it’s not by bank transfer? Are they offering a cheque – that would be weird for a challenger bank.?
If you are on Facebook or Twitter I suggest you ask them there.
Chris says
Anyone have experience of Santander current account complaint. In short I complained that they were continually charging in the past for overdraft fees and missed payments that were unreasonable as on some occasions fees were over £300 a month. They have written back after second complaints as they did not reply to my first complaint at all. They have not upheld my complaint as they always gave three weeks notice of charges and that gave me time to dispute before they charged. Not sure whether to pursue or just drop as unlikely to win?
Sara (Debt Camel) says
Can you say how you have used this account over the years. Have they increased your credit limit? Have there been long periods when you were never or almost never out of your overdraft?
Chris says
Hi Sara thanks for getting back so quickly! In my complaint I did state that’s for over 80% of each month i was in my overdraft and they had also increased the limit without being asked to. Also said that there charges each month compounded the problem as would set me back every month and led to a financial spiral. However they have just stated they gave notice of charges. Not sure I can pursue further as hard to win?
Sara (Debt Camel) says
I suggest you send this straight to the Ombudsman. Notifying you what the charges are each month doesn’t make them affordable!
Ljc says
Hi Sara
I’ve made a complaint to NEXT about irresponsible lending and have requested a DSAR (the debt was sold to a debt collection agency ) however next have coma back to me and said as the debt collection now owns this account I have to go to them and request the SAR and then they ask Next for it ?! They said sorry for inconvenience but as it’s now owned by them I have to go through them first . Is this correct ? The agency is Debt Managers Ltd (DMS) in Rotherham
Sara (Debt Camel) says
How long ago did you make the complaint?
Tell Next you are not interested in the data being held by the debt collector, you want the personal information that Next holds about you and you will report them to the ICO if they don’t send you this.
Chris says
Hi Sara, looking for a little advice, I commented on here a few days ago that Santander did not uphold my complaint regarding fees and overdraft etc. So was about to send to ombudsman when I noticed the letter they have sent states I have 6 months from the date of the original letter (nov 20) which I did not receive hence why I complained again that they had never replied! The new letter says the original letter date stands so I.e I am out of time?
Sara (Debt Camel) says
I suggest you send the case to FOS and say you never received the letter which is why you complain they had not replied.
Ali says
Hi there! I have recently had success with Shop Direct, refunded on both Very and Littlewoods. The Littlewoods account was closed last year after I paid off the debt with Lowells and this was no longer on my credit file. Very was an active account although sold to Lowells also. The refunded awarded cleared this balance and I was left with the remaining as a cheque refund. This was also no longer showing on my credit file, both had fallen off last year some time. Since this happened, roughly 6 weeks ago, I have since had a Very account appear on my credit file, albeit in a closed status. I immediately emailed them on Saturday and had a reply first thing this morning saying they had escalated my complaint and by this afternoon I had a phone call from someone in the Executive Complaints Team wanting to talk to me. I missed the call so they emailed and said they would call tomorrow. My question is, am I right in thinking that they cannot re add this account to my credit file? I waited weeks for any type of response response my last complaint so a little taken aback they are dealing with this within 1 working day. I want to make sure I have the correct information for when they call tomorrow..
To be clear, it says there is no data and it’s marked as closed. I just wondered why it would be added in the first place
Many thanks in advance.
Sara (Debt Camel) says
Sounds like an error. Ask for it to be deleted.
Andrew says
So an update vanquis initially disagreed with adjudicator but following discussions they have now relented has anyone a timeline form agreement to figures sent to you to payment
New day (2 cards aqua and marbles) despite adjudicator trying to sort it same way they rejected so on way to ombudsman
Ali says
Hi all
I just wanted to let you know that my natwest overdraft complaint has finally been allocated to an adjucator.
I first complained to natwest around a year ago regarding affordability of giving me a £1250 overdraft on account opening in 2018/19. It was never increased but I had other debts at the time and pretty bad credit.
They refused my complaint so I referred to FOS last October 2020 and been waiting since then to be allocated so I’m pleased that it has been now as I received an email a few weeks ago saying they were looking at overdraft cases separately so it could be another few months before it was allocated…I know it could still be a long journey but fingers crossed!
Ali
Asl says
Hey Sara
Having a bit of trouble with Very just now, they only partly refunded my affordability complaint so I have sent it to the fos…. I also made another complaint to them about harassment phone calls and issuing my file with 6 missed payments while the account was on hold (which was rectified) but my problem now is that I logged into my credit file and under they very account tab is says the the word “debated” can you advise what that means in terms of my file… or is it there because I have sent the case to fos.
I am about to ask them to go into a payment arrangement for a couple months I’m assuming they won’t honour that?
Thanks in advance for your reply
Sara (Debt Camel) says
I don’t think it is worth worrying about this for two reasons – first because you have FOS complaint in and second because you need a payment arrangement.
If you need a payment arrangement then they can’t refuse because you have a FOS complaint or because they reduced your balance. They have to look at your financial situation and whether you can afford the normal monthly minimum payments.
How many problem debts do you have?
Asl says
Yeah I just wondered what it meant though, is it them who update this term? and why do they do it?
I’m in a financial pickle just now I have a couple of payment arrangements with credit cards but it should all become affordable again in February when my childcare bill will half. I have an amigo loan but I have more it less paid that it’s just Interest now so hoping it gets written off when they eventually start paying the compensation. I know payment arrangements arent good on ur file but I thought wen I go back to norma payments they will come off. Trying very hard to get out of debt without totally destroying my file. Very catalogue I feel is nothing short of bullying and they are being awkward. I know it’ll be a long wait till the fos look at the case 😢
Sara (Debt Camel) says
Yes it is the lender who adds that label. It is done when someone is disputing a debt, which you are.
It sounds as though you do need a payment arrangement for the Very account. You can say you already have arrangements for X and Y credit cards.
re Amigo – there isn’t going to be any resolution any time soon. it’s a horrible situation. It seems very unlikely you will get any resolution from it in under 6 months and it could be more.
N says
Anyone had any luck with studio? I have just today sent a complaint its my last debt to complain about. I didnt have any luck with very and littlewoods. I still owe studio £350 even though i haven’t bought anything for over 2 years the interest is just ridiculous paying £50 a month back
Sara (Debt Camel) says
Have you sent the Very and Littlewoods complaints to FOS? Many good complaints are rejected by these lenders – it’s not a question of “luck” you just have to persevere if you think the limit you were given was way too high.
Andrew says
Can you please tell me how long you can go back for a complaint to Very and how long will very records go back.
Sara (Debt Camel) says
These complaints can go back to April 2007, when the law changed to allow them. Many lenders will reject a complaint about anything over 6 years, but the Finacial Ombudsman will often look at these older complaints if you explain you have only found out about them in the last 3 years.
Is your Very account still open? When did you open the account? When were the credit limit increases?
Andrew says
I have an account with very but the account I would like to complain about was going back to around 2009 I closed account after sorting out and clearing big debt. I reopened account couple of years ago which I have very little debt on. I am unsure of the credit increases on old account.
Sara (Debt Camel) says
Well make a complaint and see how it goes.
Jay says
Hi Sara, can’t find my previous comment, but this is just a quick q – to you or anyone who has been through this process.
Complained to HSBC credit card about affordability. After 8 wks. Sent to ombudsman. Picked up by an investigator end of August. She summarised complaint and I’ve replied with some added info, she responded and said she has given HSBC to until 9th Sept to respond.
When I initially complained to HSBC direct it took several weeks (beyond 8) to hear back.
My question is, will the investigator allow HSBC more time to respond, or will she act on the info I have passed her?
I’m on a time constraint to get this resolved as if I win case, am hoping to get CCJ removed and this will make a huge different to my PENDING mortgage application.
However, I fear that it could be several weeks to hear anything.
Anyone got any positive news?! OR even vibes! Thanks :)
Anita says
Hi Sara, I have requested a Subject Access Request from Littewoods and they told me I have to pay for it. Ii it right?
Sara (Debt Camel) says
No! Go back and say the ICO says a SAR is free.
(They can charge if you make unreasonable requests. Sending a SAR every week just to be a nuisance… but not for normal requests.)
Ams says
Hi Sara. So I took your advice and complained to barclays about overdraft charges and received a refund on my joint account that I share with husband. He then made a complaint on his sole barclays account as he has also lived in overdraft for nearly ten years constantly. They didn’t uphold his complaint though saying that he could have contacted them about being in financial hardship and therefore they would not refund his charges. They also asked him if he was complaining about prior to 2016 or the time after and he was not sure what to say so said from 2016. I’m guessing he should now take this the the fos? Also, I’m now thinking that although barclaycard also rejected his complaint that they also should have noted that he was also permanently living in his overdraft so should have not increased his card limit?
Sara (Debt Camel) says
I think he should be complaining to FOS that he was in his overdraft constantly for 10 years. This by itself was wrong – they made it worse by increasing his limit.
S says
Very/ISME took less than 3 weeks. Recieved just over 11k which removed my entire balance.
Littlewoods have taken almost 8 weeks with a letter after 4. I called a week ago and the agent said he could see that elements of the complaint had been upheld but it was waiting for sign off.
Given that I had the account at the same time as my Very and isme I expect the same outcome. Will be referring if not!
Be worth giving them a call.
Carl says
Hi Sara
I wanted to ask a question about overdrafts. I’ve been in my overdraft of 2.500 since at least 10 years. I live in it and basically my wages go in monthly and I use it to live as I have to so I get charged around £32 a month for living in my overdraft. Can I do anything about this?
Sara (Debt Camel) says
Are you in the red even when your wages go in?
During the 10 years, has your bank increased your overdraft limit?
Carl says
Hi Sara
Yes I’m just living in it always. My wages don’t cover the overdraft so monthly I’m just always in it. They haven’t upped my overdraft in many years….it’s been at the same for at a guess 8 years. They charge interest of around £25 and charge around £12 a month for the use of it.
Sara (Debt Camel) says
Then I think you should complain that the bank (who is it?) should have realised you were using the overdraft for all your everyday spending, not a short term problem, and that their charges were making your situation worse. Ask for a refund of all fess and charges for the 10 years you have been constantly in it.
Duncan says
Hi Sara, Am I glad to have come across your posts.
Couple of questions, I spiralled into a drink and gambling addition 2018, I gambled savings of around 45k, I then ran up debts on my credit card and current account, maximising my £9500 credit card limit and my current account overdraft of £750, which my bank actually allowed my gambling to take me past my overdraft limit on many occasions, I would often get paid then once my general bills were paid it sent me straight back into my overdraft, both of these accounts are HSBC.
I have just checked my HSBC credit card, before my gambling problem My credit card limit was £5000, but only had a balance of around £3000 which was manageable..
Now in December 2017 HSBC increased my limit £9500, I can’t remember why this has happened, I have no recollection as the balance was always being paid off.
I also had an exiting credit card with MBNA which was balance transfer of £7741 back in Aug 2018, with a Limit of £9600, my gambling didn’t take into affect on credit cards till the the summer / Autumn I 2018, I maxed my HSBC credit card, roughly around £6700, I then Transferred around 5k from HSBC to MBNA, which then allowed me to gamble again on my HSBC credit card again , so I was left with two credits cards maxed out at around £19,000.
I then remortgaged a property I had for 55k with interest and fees on top so nearly 60k, not to mention my earnings were [servers let impacted] By a change of job, from around £4000 per month £2500. Once the remortgage was through I paid the HSBC card off, left the MBNA I as it was on 0%. I. I then saw the opportunity to gamble on my HSBC credit card again and maxed it out so I was back to square one.
I Missed numerous HSBC credit cards payments, mobile phone bill. To the present day I still have 7500 on HSBC and 7200 on my MBNA and do not see the light at the end of tunnel.
I incurred interest charges on my current account too. Not to mention in more debt having to take out a mortgage on mortgage free property.
I stopped the gambling in December 2019 and could not believe the law changed in March 2020 where a credit card could not be used for gambling. Gutted.
What can I do. Do I have a case.
Sara (Debt Camel) says
Now in December 2017 HSBC increased my limit £9500
Thus was before you had a gambling problem?
K M says
Hi there. I wonder if you can help. I recently made an affordability complaint to my bank for overdraft (£3,500), Loan (£16,000) taken out in 2012 and further loan (£1,000) taken out in 2015 along with my credit card (limit £1,500) (which I have had since 2010). The bank have come back to me to say that because I have had the overdraft/credit card for a number of years and the large loan was taken out in 2012 they cannot consider my complaint at all as it is more than 6 years ago. They say that the further £1,000 loan I took out passed their credit scoring. Their actual response was “if you knew you were in so much debt, why did you apply for the extra loan of £1,000”. They say that I should have known about the level of debt I had as I was sent regular statements. I have told them that I only knew that I could complain about irresponsible lending since Wonga partially upheld my complaint. Can I take this to FOS?
Sara (Debt Camel) says
Yes you can. make it clear to FOS that you are complaining about both the overdraft and the loan.
Say you have only recently found out that a lender should check that credit is affordable so you are complaining within the 3 years period since you found out you had cause to complain. Say when and how you found out – did eg did a Friend or relative tell you? Did you see an article in a newspaper or online?
Jax says
Hi, has anyone got a complaints escalation email address for Capital One please? I am not happy! They have had my complaint for nearly 15 weeks but due to an error on their side they don’t have the details of my complaint logged on their system, they can only see that they acknowledged receiving it! They won’t be investigating at all and will wait now for the FOS to investigate as it has been escalated to them. They have had plenty of opportunity to tell me this before as I have contacted them on numerous occasions during the complaints process. I have updated the FOS on this.
Sara (Debt Camel) says
Annoying but I think you just have to wait for FOS. Capital One often didn’t give good offers anyway….
Emma says
Hi Sara
I’m in the process of setting up a DMP with my creditors and would also like to file complaints against 2 of my credit cards for irresponsible lending. Is it advisable to do both of these things at the same time or will one affect the other? Thanks
Sara (Debt Camel) says
Yes you can do both of these at the same time. The DMP won’t harm your complaint and your complaint isn’t a reason for the creditors not to accept the DMP.
I recommend people who want to make affordability complaints but can’t carry on with the payments while they go through look at a DMP to help them immediately as it can take a long while sometimes for complaints to be resolved. A DMP puts you in a safe financial space while the complaints progress.
Mel says
Hi Duncan, I have a complaint in now with HSBC for the exact same reason as you. I was gambling £k’s from my HSBC bank account so the signs were clearly there that I was totally out of my head with an addiction. I was living in my HSBC overdraft (which I have literally just paid off after well over 5 years!) at one point I did repay it, but then like you – the opportunity was there to take it back again. And I did. They still granted me with further credit, a card (my mum helped me pay the credit card) and a loan (the loan I defaulted on as it was unaffordable).
I know I was totally reckless for what I did, and as you will also know when you are in the depths of an addiction you lose way more than just money and I for one have lost more than just that :( I wish you well on this journey
Duncan says
Hey Mel. Thanks for reaching out. I just wish the government stepped for all the people that used credit cards via irresponsible banks pre Mar20. Keep me posted on your complaint. I assume we just follow the wording on the template.
Sara (Debt Camel) says
Change the wording so it describes what happened to you. That you had a credit card and an overdraft with HSBC. The huge jump in your credit card limit at a time HSBC would have seen gambling on your accounts etc.
Duncan says
So I have a case! Also I was amazing f that MBNA engage 9600 especially I have just transferred a balance in Aug17 from Sainsbury cc around 5000 and Tesco 3500. Should I put a complain to MBNA. Although they never increased my limit but should they of given that much credit. And finally PayPal gave me 2500 in credit card which I used in 2018. Should I complain. PayPal. I was so annoyed I cleared th me debt twice if HSBC, I wish they had closed if Automatically like Tesco’s and Sainsbury did. Do I put one complain into HSBC But referencing both accounts. Do I use the template on this site.
Sara (Debt Camel) says
I’m not saying it is the easiest case because it was over a short period and you were on a good income with a mortgage free house. But because the card and bank account were the same lender they should have seen the gambling.
MBNA is much weaker as it was a balance transfer card, so this wasn’t new credit and it was making your payments lower.
PayPal you can try.
Toby B says
Hi Sara,
I did unaffordable complaint on behalf my mother with Vanquis Bank credit card company. The investigator rejected the complaint even do I said my mother was a homemaker and made up income to get approved of the card. I also made them aware my mother did an I+E with vanquis bank only to find out she isn’t even able to make a affordable monthly payment plan. Does this not prove to the investigator that this was unaffordable? The credit limit also went from £500 to £1000 in 4 months. I highlighted those 4 months my mother made the bare minimum payments and was always near to the credit limit but was still approved a new credit limit of £1000.
Your thoughts please most welcomed
Sara (Debt Camel) says
Can I ask what the rest your mother’s finances are like? How large is this Vanquis debt now and is she making the minimum payments? Is she behind with any bills?
Toby B says
The vanquis credit card balance is £979 (credit limit £1000) She has two other credit cards with balances of £1200 and £450. The latter were taken out after the Vanquis bank credit card. I have also made unaffordable complaint on the latter cards – does she have a better chance of winning these? Her only income is joint UC payment she receives with her husband. The UC covers all of her outgoings but has very little remaining at the end of the month.
Sara (Debt Camel) says
So her complaint will be harder if she made up income she didn’t have. A lender only has to make proportionate checks, the first limit was low. I’m not saying this is impossible to win but it’s not a good case. The same may apply to the other cards?
Is she now making token payments to these cards?
Another problem is that their UC will probably be reducing by £20 a week due to the UC cut you may have seen about. If she was only just managing before then they may now be in more difficulty.
If she wins a complaint, only the interest is refunded. I don’t know how much she has paid, but that may still leave her with debts?
It may be that she has to look for another option for clearing these debts. I suggest she talks to National Debtline on 0808 808 4000 about her options. And her husband too if he has debts.
Heather says
I am about to do down the route of a DAS in Scotland but I was wondering if it might be worth going down the route of claiming irresponsible lending first to reduce my overall debt.
I have had 3 credit cards and a loan (although the loan has been sold on, which is another issue) approved by New Day Ltd all with varying but increasing credit limit.
What would be a good form of words to address this?
Sara (Debt Camel) says
I don’t think you have to wait, I think you can make a claim in a DAS. But I am not a Scottish expert so I suggest you ask this question on https://www.advicescotland.com/home/debt-arrangement-scheme/
That sounds like a very good complaint. Make a single complaint covering all the cards and loan, if the loan is decided to be unaffordable New Day will have to sort things out with the debt collector.
Mhairi says
Hi,
I had a Next Plc credit account. I defaulted and the account is with a third party debt collection, which I am paying a small fee.
I raised a complaint to Next regards to affordability and I have received a letter from Next, today stating that they are unable to consider my complaint as it’s time barred because it is more than six years since I applied for the account.
They have went on to explain I can take my complaint to FOS.
Really, I wanted to know if this is worth my while?
Thank you
Sara (Debt Camel) says
It’s up to you, but FOS will often look at complaints about things more than 6 years old if you explain that you have only recently found out that the lender should have checked it was affordable and so you have complained within 3 years of finding out you had cause for complaint.
It may take some time, but does that matter?
What limit did Next give you and did they then increase it?
PS don’t delay taking the decision. It’s sad when some comes back and says they forgot and it now too late to send the completion FOS.
turtle says
Well my complaint against Barclaycard has been picked up by an “investigator” at the FOS. Has the system at the FOS changed (it was an adjudicator before)?
So Barclaycard rejected my complaint stating that it was over 6 years old (the last credit limit increase was in 2014). The FOS asked me what prompted me to raise the complaint in 2021 which I answered truthfully, that I was only made aware that a credit card lender should have checked limit increases were affordable and I am complaining within 3 years of finding this out.
Hopefully the investigator decides my case is within there jurisdiction and I can get some money back. Has anyone else had success with accounts going back over 6 years?
My SAR has statements going back to to day 1 (over 10 years). I worked out they charged me over 100 times for late payment/over limit. I was constantly maxed out on the limit, gambling transactions over several years. All these factors and they still were happy to increase my limit 4 times within 15 months from £500 to £5200.
Sara (Debt Camel) says
Same system, different job titles. Investigator = adjudicator.
If the adjudicator says they won’t look at your case, as for this to go to an Ombudsman.
Kate says
Morning,
I am going to be getting in contact with Littlewoods and look real reclaim interest paid and fees.
Does anyone have a contact email ?
Thanks
Gollums Twin says
Hi
Would this scenario warrant Irresponsible Lending:
Branded NewDay credit card taken out in 2014.
In 2017 I requested help with payments and a payment plan put into place Nov 17 for 6mths (default notice issued bit no default recorded).
April 18, successfully applied and received another credit card, which was also a branded NewDay card.
The Payment plan did not show on credit reports, but I expect Newday should have done there own internal check to see if I had issues with any of their other products?
Sara (Debt Camel) says
Did the payment plan reduce your balance a lot? How large was the limit on the new card?
Gollums Twin says
Both card limits were £200
The card with the payment plan had a balance of £225.01 and plan was to reduce by £5 each month, the plan was intended to stop interest and charges being applied.
Sara (Debt Camel) says
Well you can complain, but those are very small credit limits so it may be hard to win.
Elle says
Hi Ams,
In all honesty I don’t really hold up much hope of getting Barclays to look back any further than they have, especially as whilst refunding me a goodwill gesture and admitting there was a problem i.e. they said the overdraft was heavily relied upon for some of the past 6 years and that the overdraft had been unsustainable and unaffordable, yet they still didn’t uphold my complaint?!?!
I simply wanted to give them every chance to reconsider before sending/escalating it via Resolver to the FOS (as it may then take longer to sort) and I wanted to point out their contradictions.
Going only by my past complaints with them, they will likely get back to me this week/next and I’ll let you know what the outcome is.
As I’ve said, I phoned them in the end, (even though I hate dealing with them this way because even with a transcript things can get badly mis- typed/misconstrued), but once I’d finally got them to look at my complaint again as “Irresponsible lending” they have now called it…
“Mis-Sold overdraft facility/unfair charges” so maybe try that as a starting point if you call them again.
I’d use this number 0800282390 Customer Relations and maybe try to speak to Lucy Malkin as she did at least understand the issue I was having i.e it’s not “fees and charges”, and it was her that phoned me to chat about the actual complaint, and later organised the partial/GW refund.
If you take it to the FOS, I’d still call it “Irresponsible Lending.”
Mike_p says
Sending it to the FOS is dead simple, I’ve done it about 12 times. All you do is fill in their online form attaching any correspondence you had with the lender which takes all of 5 minutes. They get back to you some time.later asking for any credit reports and bank statements they need and some tr after that you get an email with their decision.
Tia says
Hi Sarah,
I’m wondering if your could tell me whether this case would be worth complaining about or not.
I had a child’s bank account with NatWest, and when i turned 19 (2009) in i was offered an overdraft on this account. at this time i was living alone with 1 dependent and on benefits.
no affordability checks were carried out, and when my income was inevitably eaten up by the overdraft the following month i was again offered an increase in overdraft. over the space of a couple of months this was increased from 0 to £1700 (estimate). Because the debt was overwhelming, i changed banks and the debt with NatWest was handed over to a collection agency.
I’m not sure if this debt is still active; I’m paying a number of debts to collectors and this debt is possible with one of them.
Is this debt too old to complain about?
Sara (Debt Camel) says
I think you should find out first of all if you are still paying it.
How many debts are you currently paying? What is the total and how much are you paying to them a month?
frogman says
Please has anyone recently dealt with NewDay (Aqua and Marbles creditcard) at FOS level? I have just received a final decision with FOS upholding my complaint. NewDay now have to remove two defaults on my file and possibly refund me as interests already paid should clear my outstanding balance. How long more do I have to wait for calculations, removal of entries etc from NewDay? I have read somewhere that they are quite stubborn. I am over the moon with this decision and I thank you so much once again Sara.
N says
i had an overdraft with santander a few years back. Its was £1650 which i used all of. My pay every month was around £800 at the time an so i was stuck in this overdraft for about a year paying £30 for usage until i asked my mother for help which she then paid off and they closed the overdraft facility for me. I obviously complained and its still waiting adjudicator at the moment but i was wondering if i have a chance at anything back? From what i can remember i was applying everyweek for £50 more each time it went up really quickly anyway.
Sara (Debt Camel) says
Regular requests for a larger facility, even if only a bit more, should have suggested that you were in trouble. I think that was worth sending to the ombudsman.
ajay says
Hi All
need some advice pls.
I was given an aqua card back in september 2018 with a limit of 1500, despite having 3 ccj on my file totalling 6k, and pay day loans
my limit has gone from 1500 to todays limit of 6150. 1500. 2300. 3100, 4100, 5100, 6150
i am currently paying £160 a month including interest. i am struggling to pay
i want to put in a complaint for unaffordable lending, if my complaint is not upheld, do they close your account and expect full payment or do you just carry on paying monthly
thanks
Sara (Debt Camel) says
If you lose your complaint, they may close the account but they can’t insist you repay it in full – you would be able to carry on with making monthly payments, just not use the card any more.
Jenn says
Hi,
I am after some advice please. I put in a complaint about irresponsible lending regarding an overdraft I had and financial ombudsman has agreed that my bank should not have increased my limit and asked to refund all interest and charges. This overdraft is currently with a debt company who I pay back monthly. I am currently in a bad financial situation and have rent arrears and this refund would clear the rent arrears but not the total balance of over draft with the debt company. Is there a way I can get the bank to give me the refund instead of taking it off my outstanding debt? As I believe they have the right to off set. So I could clear the rent arrears as that would help me out much more than reducing a balance. Is it worth going into the branch of my bank and discussing it with them before accepting the refund? Thank you
Sara (Debt Camel) says
It’s unusual for FOS to say a bank has to refund you in cash, but this is worth talking to your adjudicator about.
If the rent arrears are cleared, would you realistically be able to start clearing the overdraft? How long would that take?
Paul says
Hi,
Can you advise me please.
How long should an adjudicator at the Financial ombudsman take to give an answer.
The reason being an adjudicator picked up my case in August and still nothing. I have emailed for an update but all I get is, I will contact you when I have reached a decision.
This is the longest I have waited for an adjudicators decision.
Thanks
Paul
Sara (Debt Camel) says
It isn’t that long… I suggest you ask them in a couple more weeks if there is any additional information you can give.
Have you already supplied a copy of your current credit report and relevant bank statements?
Tracy says
Good morning Sara
I’ve hav a complaint upheld by an adjudicator regarding vanquus credit card. They agreed to refund all interest from April 2013. After going through my SAR this is roughly around 5550.
I have today received communication from vanquis stating they are refunding 4700 but that’s including 8% interest.
I’ve asked for a breakdown but I’ve calculated the 8% on the 5500 which is around 448. Daily rate 1.22.
From April 2013 to today is 3096 days. 8% interest roughly 3777.
Am I calculating this correctly?
Thanks in advance
Sara (Debt Camel) says
probably not. Because that interest you are being refunded was added gradually from 2013, not all in a lump in 2013. So the interest that was added later will not have had so much 8% interest added.
But the first thing is to get the breakdown as it doesn’t sound as if they have the interest refund part correct – until that is right, you can’t have any idea what the 8% should be.
Rich says
I’m in the same boat. Just about to put a complaint in 3k overdraft maxed out for 8 years, never in the black. Account was closed and defaulted. Lloyds now sending me 8 years of statements via post and I have to go through it all as they have no idea how much was charged. Still owe about 1.8k I’m hoping they agree, I’ll probably be happy with them just writing off the outstanding tbh. If they agree should default be removed Sara?
Sara (Debt Camel) says
Don’t delay making a complaint while you wait for the statements – complaints can take a long while so get it underway.
I don’t know if Lloyds would offer to remove the default.
LW says
I submitted a complaint regarding unaffordable credit increase to Very 14 weeks ago. I’ve had the usual updates that they need more time them I’ve had no further communication from them. My account was with Lowell with an outstanding amount of £949 which I was paying monthly. This has now been closed and balance £0. I logged into my Very account and it had the following:
Payments Applied
16 Sep 2021
Administration Charge Amendment £354.00 £354.00
17 Sep 2021
Payment Correction £2246.43 £2,246.43
Adjustments To Your Account
16 Sep 2021
Interest Charge Amendment £1,689.71
16 Sep 2021
Interest Charge Amendment £1,029.58
16 Sep 2021
Interest Charge Amendment £1,293.01
16 Sep 2021
Payments Refunded £2,246.43
16 Sep 2021
Correction To Account £0.01
My current very balance is now showing as being in credit of £2246.43.
What does this mean? Should I hold off escalating to the FOS?
Sara (Debt Camel) says
what was your balance before this?
LW says
My outstanding balance was about £2119 with a credit limit of £2350, this was transferred to Lowell’s and I’ve paid it down to £949. It’s saying available spend is £4596.42.
Sara (Debt Camel) says
So assuming that is Very’s decision on your complaint – do you think it is is satisfactory?
LW says
I’ve just received a letter today, I’m getting a refund of £3326.43 as they’re upholding my complaint from 2011. I really wasn’t sure what to expect so thanks to this site or I would never have complained to them. This was the last default to be removed from my credit file!
I’ve also just had a win with Mr Lender after it was initially rejected by the FOS but I disagreed with their decision so that’s another minimum of £1000!
Also just had a win against Capital One who allowed me to open a 2nd card with them with a £300 limit, no further increases so I received £249 and the remaining balance cleared.
I’ve also been successful with another few payday loan companies and have two outstanding with Marbles and HSBC credit cards, not expecting these ones to be easy though.
This site has made a huge difference to me!
Chris says
Hi Sara
I’m after advice
I’v just put irresponsible lending complaint with Barclaycard today, they were increasing my limit from £2000 over the years several times to £9500 in 2016. despite always paying only minimum, my financial problems, pay day loans, overdraft always used to last pound. Now my card is suspended I have over £6900 still to pay back, now they asking me to contact them and do paydown plan that will help me clear the balance in 2 years. I’m not sure what to do, can I still go ahead with paydown plan while I complaint is investigated or should I contact Barclaycard and ask them to continue to pay minimum and wait until the outcome of the complaint ?
please advise.
thanks Chris
Sara (Debt Camel) says
can you afford the repayments to the paydown plan they have offered?
Chris says
Hi Sara
Thanks for reply
Yes, at the moment in getting better financially so I can afford it
Sara (Debt Camel) says
I don’t see any downside to your accepting it then. It doesn’t change your affordability complaint if the balance is now dropping – your complaint depends on what your finaces were like when they increased your limit.
Scott says
Hi LW,
The adjustments that you mention total £4366.30. If you deduct the credit amount showing on your account of £2246.43 there is a difference of £2119.87.
Assuming that the balance of £2119.87 was the amount that was transferred to Lowell, then Very need to take into consideration that you paid £1170 to Lowell and need to include this in their calculation.
Scott
Sara (Debt Camel) says
Good spot! I think it is definitely worth asking Very to explain the numbers and point out what you have paid to Lowell also needs to be refunded.
Jenn says
Hi, sorry only just seen the reply. I did speak with the adjudicator regarding this and he said he would have to put forward a very good argument for the bank to pay me instead of taking the balance off the debt. The overdraft was sold to PRA group a couple of years ago and in his final response he has said the outcome is for my bank and pra group to organise amongst themselves what will happen with the balance? I’m assuming this means he has not put any argument forward for my case of the money directly to me?
I already have a payment plan in place with PRA group and would be unable to pay for the next few months as my priority is clearing my rent arrears. If these were cleared, I would be able to adjust my payment plan for my overdraft and pay this back quicker as my current payments are very small due to my financial situation.
Thank you
Sara (Debt Camel) says
I already have a payment plan in place with PRA group and would be unable to pay for the next few months as my priority is clearing my rent arrears. If these were cleared, I would be able to adjust my payment plan for my overdraft and pay this back quicker as my current payments are very small due to my financial situation.
Go back and tell your adjudicator this and say you would like them to ask the bank if the money can be paid to you to clear the rent arrears – this is worth a try.
Tracy says
Good afternoon Sara
With regards to a default. Vanquis have agreed to refund all interest and charges and remove all adverse information
The default was made when I ran into difficulty and it was Vanquis who lodged it. They have since sold the debt on to NCO.
When they have calculated my redress they said they will pay NCO and give me the remainder.
Firstly if the debt has been sold on why would they say they have paid it off before I have even accepted the offer. Surely all parts of the redress come to me with the option of me contacting NCO to.pay balance.?
Secondly, NCO recently contacted me with regards to offering a reduced amount and if I were in a position to pay before 20th November to contact them.
Even if Vanquis pay them or me, why havnt NCO reflected the reduced figure to Vanquis as Vanquis figure is the higher amount in their calculations.
Thank-you in advance.
Sara (Debt Camel) says
Firstly if the debt has been sold on why would they say they have paid it off before I have even accepted the offer. Surely all parts of the redress come to me with the option of me contacting NCO to.pay balance.?
This is what normally happens when a debt has been sold. It is what the Ombudsman says a lender should do.
Secondly, NCO recently contacted me with regards to offering a reduced amount and if I were in a position to pay before 20th November to contact them. Even if Vanquis pay them or me, why havnt NCO reflected the reduced figure to Vanquis as Vanquis figure is the higher amount in their calculations.
because where you are getting a cash refund, this makes no difference. If the higher amount is used, more interest is refunded – if the lower amount is used, less interest is refunded. It will have no effect on your cash refund.
Tracy Sowerby says
Good morning sara
I have received a breakdown. Vanquis agreed to refund all interest and charges on account. after April 2012. There was 4 credit limit increases after and including this one. Outlined below is their response. This does look like they have only refunded on the first credit limit increase?
Also when calculating the simple interest, dont they have to calculate up until the complaint is resolved, not when the last interest was added?
Based on the CLI in February 2013 from £500 to £1500 being unaffordable
First exceeded £500 on 13 March 2013 and never dropped below again
Interest last applied 6 September 2018 – Purchase rate – 41.16%
Actual interest applied 13/03/2013 – 06/09/2018 – £5573.54
Interest on £500 for 2004 days – £1129.92
Interest refund – £4443.62
Charges refund – £12
Total due – £4455.62
Notional interest estimate
Period 13 March 2013 – 6 September 2018 is minimum 65 interest cycles
£4455.62/65 = £68.54 or say £69 per month
Thankyou in advance
Sara (Debt Camel) says
Vanquis agreed to refund all interest and charges on account after April 2012.
were those the exact works they used? because they certainlt don’t seem to have done that…
What happened to the account, is there still a balance (before any refund here), if so how large? Or was it cleared, if so when?
Xubo says
Can I ask anyone delt with Vanquis, I put a complaint in July 2020, got the email saying they’ve recieved my complaint but have heard nothing since, I’ve used resolver for my complaint and have sent two emails if they have looked at my complaint but nothing
Any advice would be great
Sara (Debt Camel) says
is it now past 8 weeks?
Xubo says
Yeah it is must be coming up to 12weeks
Sara (Debt Camel) says
Then I suggest you send the complaint to the Ombudsman. Vanquis often don’t make a good offer, so there isn’t much point in spending more time trying to get a response at the moment. Details of how send the complaint to FOS are in the article above – it’s pretty friendly if you use their online form.
tracy sowerby says
Your reply
Vanquis agreed to refund all interest and charges on account after April 2013.
were those the exact works they used? because they certainlt don’t seem to have done that…
What happened to the account, is there still a balance (before any refund here), if so how large? Or was it cleared, if so when?
Sorry it was April 2013 when they should refund all interest and charges.
Vanquis agreed with the adjudicator regarding all 4 credit limit increases. The card defaulted in sept 2018 and was sold onto Arrow at 3574.42 which will be reducing the redress.
Im not sure my messages are getting through.
Kind regards
Sara (Debt Camel) says
So did the adjudicator specify that they should refund all interest and charges after that date?
Or just the ones over the previous limit of £500?
This is one issue.
The second is that because the refund they have calculated is larger than your balance – that suggests it should have been cleared some time ago and you should be receiving 8% statutory interest from the point the balance was cleared.
Have you been making any payments to Arrow?
(yes your comments have been getting through but I have been in a meeting and it’s confusing when you leave so many comments to work out what the “real” one is.!)
Tracy Sowerby says
Apologies
Yes the adjudicator specified they should refund all interest and charges after the April 2013 increase. He stated all 4 were irresponsible.
The debt was sold on but not cleared. I am currently paying a token payment of 1.00 per month
Sara (Debt Camel) says
ok then I suggest you go back to Vanquis and say the adjudicator said they should refund all changes, so why are they taking off
“Interest on £500 for 2004 days – £1129.92”
Also point out that you should be due 8% statutory interest per year from when your account went into credit.
Copy your adjudicator into this email.
Lise says
Hello Sara I have has a response regarding my unaffordable lending complaint to vanquis
The FOS investigator has said they can only look into the increase after 2017. Do you feel I should let an Ombudsman Look into this, this was their response
Vanquis have responded and They’ve said the account opening and first two credit limit increases were more than six years prior to your bringing your complaint. They have however confirmed they consent to our service investigating the credit limit increase of 2017.
Also, I’m satisfied that more than three years have elapsed since when I think you would have reasonably become aware you had cause to complain. You’ve said in your complaint submission “I feel my credit limit was Increased Irresponsibly which put me in financial difficulties on a number of occasions. I have used consolidated loans on two occasions to clear my Vanquis credit card balance.”
I’ve checked your account statements from 2015 and can see you were frequently in arrears and missing payments in 2015. After taking a consolidation loan as you’ve referred to above, you cleared the balance on 10 September 2015.
We would be able to consider a complaint outside this timeframe if there were exceptional circumstances why the complaint wasn’t brought in time.
Exceptional circumstances might be where a consumer had been incapacitated. I’ve considered what you’ve said and I understand you didn’t bring your complaint sooner as you’ve said:
“The reason I had not contacted Vanquis prior to the 14 April 2021 is because I had only recently become aware that a lender should check credit is affordable after coming across an article online in April 2021. Although I had set up payment plans in the past to help my situation. I didn’t know I could put forward a complaint until reading the article. Prior to this I did not know what checks had to be carried out and was not aware of unaffordable lending. Therefore, I am applying within the 3 years period in which I found out I had cause to complain.”
However, I’m satisfied that you ought to reasonably have been aware you had grounds to make a complaint about irresponsible lending when you found yourself in financial difficulties in 2015 and needed to consolidate your debts.
I cannot say the reason you have given amounts to exceptional circumstances that would have prevented you from bringing your complaint sooner.
I think it’s fair to say you should have reasonably been aware that you’d be disadvantaged by Vanquis’ lending decisions by the time you needed to consolidate your debts in 2015 and therefore had cause to complain.
I acknowledge you’ve said you weren’t aware a lender should check credit is affordable until you read an article in April 2021; but what have looked at here is when I think you reasonably ought to have been aware. I think it would be fair to say this would have been at the point you found yourself in financial difficulties and consolidating your debt.
So, although we can’t consider the events of the account opening or first two credit limit increases, I think we can consider the merits of your complaint regarding the credit limit increase of 2017.
So, please let me know if you agree to our service considering the 2017 credit limit increase only.
Do you think I should let the ombudsman look into this or should I accept the investigators decision.
Thank you
Sara (Debt Camel) says
When was your account opened, with what limit and when and how large were the limit increases before 2017?
You probably should ask an Ombudsman to look at this – you are not saying you had “exceptional circumstances” but that you were withing 3 years of finding out you had cause to complain. You may well have known you were in finacial difficulty earlier, but you have onlt would out this year that Vanquis should have checked for affordability, so until then you probably thought itwas your fault not the lender’s.
But if you can answer those questions about the limit increases that would help.
Lise says
Hello Sara
My account was opened in 2010 with an initial limit of £250 in 2012 it was increased to £1000 and increased again to £1500 in 2015. After I had paid of the balance it was increased again to £2500 in 2017.
Thank you
Sara (Debt Camel) says
ok so the increases were both more than 6 years ago – in that case i suggest you send the case to the Ombudsman.
Jax says
Feeling very despondent. Capital One didn’t even investigate my complaint due to an error on their side so now waiting for the FOS. Very and MBNA rejected my complaint. MBNA responded within a week and seem to have missed the point and now it looks like my bank has rejected my complaint re my overdraft despite me having paid around £10k in charges over the last 10 years and constantly living in my overdraft. Think I’m in for the long haul with the FOS.
Sara (Debt Camel) says
It’s normal for these complaints to have to go to FOS, it doesn’t mean your complaints are weak.
Bobby Reds says
Hi Sara,
I made a complaint to NatWest because I was in financial difficulty during 2014-2020 and during this period of time NatWest collect charges from me for unarranged overdrafts, returned direct debits etc. totalling £3,000. Initially NatWest refused to accept my complaint, so I forwarded the complaint to the FOS. Since then, NatWest have now said that as a gesture of goodwill they will refund me £1000 (plus 8% statutory interest) for only the period 2018-2020, because 2018 is when I phoned them and said I was having financial difficulty.
Do you think I should accept this gesture of £1,000 or reject it and ask for the full amount of £3,000? Please let me know your thoughts.
Jane says
Hi,
I have put in a complaint with Jacamo, using the above template. (Thank you for that.)
I have just received a reply. They have asked for supporting documentation evidence in the form of; bank statements, credit report, details of any creditors I may have had at the time my account was opened/credit limit increased,
any other evidence that may support my complaint.
Is this necessary? I have nothing to hide in sending this information, so can send if it’s necessary. However it does feel a little intrusive and I would have thought that them not already having this information is proof in itself of irresponsible lending.
Also I have had my account with them for many years but I’m uncertain of the exact year it was opened, and I also am unsure when the credit limit and interest was increased.
Any advice on what steps I should take next would be greatly appreciated.
Sara (Debt Camel) says
I would have thought that them not already having this information is proof in itself of irresponsible lending.
You will only win your complaint if they did not make enough checks AND the checks would have shown the credit was unaffordable.
So yes, you should send them your bank statements. Do you know the dates they increased the credit limits?
Jane says
Thank you for taking the time to reply.
I’m afraid that I don’t know the dates that they increased the credit limits.
This may be a silly question but when sending bank statements, I have had the account for years, so do I send them all my bank statements for the duration or is it enough to send only the ones when the account was opened and when the credit limit was increased? (Providing that I can find the correct dates, of course.)
As well as the statements, should I also provide the additional information that they have asked for? E.g any other creditors.
Thank you for your help.
Sara (Debt Camel) says
So this is the perfect point to find out the details of the credit increases, whichy it is useful to know.
I suggest you reply to them saying you are happy to send them the relevant information but you don’t know the dates your limits were increased, so if they can send you a list of the increases, with dates and amount, you will be able to send them the relevant bank statements.
Your credit report will give details of your creditors going back 6 years – but they can access that themselves, you don’t need to send one.