Bank charges: will the Financial Ombudsman deal with cases immediately for people on benefits.................

Question

I read that, according to the Social Security Administration Act 1992, banks are not allowed to take charges from benefits money.

If the bank fail to comply with this, will the Financial Ombudsman deal with the case immediately?

Answer 1

I must admit I have never heard of that ..

It first begs the question 'how do you identify "benefits" money ?' = is it coloured pink or something :-) ??

Second, if that was true, what's to stop people on benefits running up a ££ million overdraft and then simply refusing to pay?

Re: Bank Charge reclaims .. I believe all claims are on hold whilst the 'principle' is tested in court.

Answer 2

Yes its true the money expert says" if income support ir jobseekers is your main income then there a slightly different process, tell your bank and if this doesnt work then go to the financial ombudsman, and tell them your reciving benifits and your case will be dealt with" I have this info in front of me now as yesturday I was going to the financial ombudsman about my bank, but today luckly Imy bank waiverd the charges as I explained Iam on benifits, so they can listen or it will cost them more in the end. The 7 banks go to court in jan 2008 to court so they will decide if the charges are unfair, I hope this helps.

Answer 3

All claims are currently on hold and have been since 27 July 2007 when the Office of Fair Trading and the banks agreed to wait for the outcome of test case in the High Court.

You can follow progress (and sign up for free weekly e-mail updates) at a really excellent free site:

http://www.moneysavingexpert.com/reclaim/bank-charges

Answer 4

No, unfortunately,they only get involved if you have already exhausted all the bank complaint procedures. You will better off to approach your local CAB and they will contact the bank on your behalf.

Answer 5

yep

Answer 6

No.