can you re bank freeze one Account with money in it ,if you owe money on a unpaid direct debit in a diff acc?

Question

Have two accounts with nationwide, one i haven't used for over a year ,Turns out i had a unpaid direct debit on this account which i cancelled but still came out ,so every month they've charged me, now they have froze my other account which has just had £500 paid in saying i cant touch my money till i pay £250 of which i owe on the other account, can the bank do this?

Answer 1

I would say no, but you should get in touch with CAB or a solicitor (lawyer) right away

First of all - if you have a record of canceling the direct debit than they are in the wrong and they owe the money back to you in full - and on top of that if you have the proof that you canceled the direct debit and go to the CAB office there is a chance that you could of course not only claim back any charges plus interest.

The bank should have sent you a letter or statement about this account warning you that they planned on freezing your account. If they didn't more shame on them.

You also need to get in touch with the company that was taking the direct debit out and tell them that the money was still coming out after you cancelled it. again you will need proof.

I am surprised that they froze the account instead of just transferring the money owed to another account. Sounds to be that the bank froze your account on recommendation from another source ... call and write the bank asking for all the information - keep a record of the phone calls and letters when they were sent etc and try to always get a record of the mail sent by asking for a signature.

But definatly talk to the CAB office they should be able to help you with this -

For future reference-

When cancelling a Direct Debit always do it in writing with the bank and keep a record of it even if you just take a copy of it and have the cashier sign your copy as received. Also send a letter to the company telling them that you have cancelled the direct debit.

On a direct debit receipt (that you sign for them to be able to take the money out) read the fine print... the company that took the money out owes you the money back plus any further charges that you have incurred because of their mistake.

Good luck and I hope things work out for you

Answer 2

Yes they can, as the other account is still with them. Go to your local CAB office for further advice. Also ask for an appointment with the Bank manager and perhaps you could come to an amicable agreement with the bank.

Answer 3

Yes they can. Nationwide cleaned out my bank account when I was late with the credit card payments. The swine!

Answer 4

Now you know why most people have Current Accounts and Savings Accounts with DIFFERENT Banks ..

Answer 5

,Yes they can. They just freeze everything to cover their backs. The stupidest part is how do you get to the other money to pay the other account.

Answer 6

yes they can

if you have difficulty understanding that think of it this way

you have an envelope belonging to me and inside it is £100. However I owe you £50 rent. You tell me that when I pay you then I can get my envelope. That's fair isn't it?


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Answer 7

yes they can - and after you have paid it they are likely to closes all your accoutns down. The lloyds tsb did that to me a few years ago for going £6 overdrawn and racking up the "letter charges"

Answer 8

yes they can, after all it you who owes them money, and you have it in another account.