I am very grateful for your guidance on this, you have been SO helpful.

I will follow your advice, and see where it gets me.

Thank you SO much

Sue

suzie81:

The lady I spoke with said that the reserve was applied to my account .........said that if i didnt want this on my account I had to opt out of it, by sending the letter back.

I can't comment on what the previous opt-in/opt-out procedure was, I simply quoted what the current procedure is.

If it was the case that the previous procedure was opt-out but is now opt-in, I would say that is because Barclays has been "persuaded" that opt-out was seriously flawed.

What I suggest you do is as follows. Obtain the Barclays complaints procedure. Put in a formal written complaint scrupulously in accordance with the Barclays complaints procedure. Send it "Signed For" delivery and check online it has been delivered.

The complaint is only that you do not accept you ever opted-in to Reserve (which you note is now an opt-in arrangement). That's all. Do not refer to charges or letters or anything else.

If you are phoned by Barclays about the complaint do not get sidetracked or tricked into saying more than you should. It is better to decline to discuss the issue on the phone. The easiest way is to refuse to reveal security to an unsolicted phone call. Insist on a written response.

If you remain dissatisfied at "deadlock" or after 8 weeks, whichever occurs first, refer the issue to the Financial Ombudsman Service. I stress the issue is only that you were opted-in by Barclays. Do not refer to charges.

I cannot say this will produce results, partly because Barclays are clearly better with letters than you are but I think the fact that Reserve is now opt-in should see Barclays being on the back foot. If you get the FOS to accept the case Barclays will be hit with a £450 case fee regardless of the outcome. It will cost you nothing.

Good luck. Barclays Reserve st*nks in the circumstances you describe.

Sorry, I am a little confused.

The lady I spoke with said that the reserve was applied to my account automatically, with details of the charges etc in the letter, she said that if i didnt want this on my account I had to opt out of it, by sending the letter back. Of course, in my wisdom, I dont think I even looked at the letter let alone considered the implications on what it ment.

Are you basically saying there is nothing I can do?

Sorry for being dim!

suzie81:

From the Barclay's Reserve FAQ

5. Do I have to have a Reserve?

No it’s optional. You'll need to apply for a Reserve if you want one. If you already have a Reserve, you can cancel it at any time by phone or in any of our branches. However, if you do cancel your Reserve and decide to re-apply, eligibility for a Reserve and your Reserve amount may vary.

That's the only issue you haven't mentioned and is central to the situation you describe. The Reserve system is Barclay's attempt to circumvent "unfair charges". While for many people, up to 5 days, it's potentially preferable to individual charges, above 5 days it's indefensible. You have described the very worst of what can happen if a customer is blind to how Barclay's Reserve works.

Regarding being upset at nobody looking at your complaint (for the moment), unfortunately that's not Barclay's doing but the fault of the UK financial Regulator, but as long as you have registered a complaint, subject to the charges court case outcome, you will be able to return to it in due course.

Hi,

Sorry if this is in anyway a repeat of other posts, I dont know if I can do anything, and would be very grateful of any helpful advice....

Before I start, I realise I have not acted the best way, but please understand, I am not pretending to be perfect

In March 2009 I found myself short of cash, I had opened a new bank account some 6 months earlier, and still had my old bank account open with barclays which I had been trying to use for savings (really I had been transfering savings into it then taking out at end of the month when I was short) Come March, no savings, and was short so (stupidly) I used the unofficial over draft and took out two cash withdrawals totaling £150 (the max) I intended to pay it off in the coming months.

After March I didnt take any more money out and continued to put £50 a month into the account by standing order. This means to date, since March I have paid £300 into the account. I knew that I would get charged and, I thought (stupidly) that I would prob be charged for each withdrawal (hence why I used two large amounts to withdraw instead of lots of little ones) and then maybe a monthly fine, but (again, please try not to judge, I know I have been stupid), as I was short of cash decided the charge would be my fault and worth paying as I was short I needed cash and you dont get something for nothing.

Today (11/09/09), I got a letter from the bank (Barclays) saying I owe £360 (overdrawn) and they want me to pay it back. I have not used the bank account since March and made regular payments each month.I called them to find out what the issue was.

Speaking with the debt collection dept, the lady asked how my account had managed to get in this way, I explained I suspected large amounts of bank charges, she looked back and confirmed what I have already told you, then explained as it was unauthorised over draft they charge £21 every 5 days!! Therefore the £50 I had been paying in monthly had not covered the charges, never mind clear £150. She then went on to explain there was a further £85 (ish) load of charges pending plus another £21 pending, thus brings the total amount of my 'debt' to £430 (ish). I was horrified!! I know what your thinking, how did it get this far? am I stupid! surely I got letters!.. truth is I did get letters, but didnt read them, as considered them to be statements and as not using account just put them with the rest (yes, I know I have been stupid!)

Now I find myself in the position of owing Barclays £430 (which they have arranged a re-payment plan for) having already paid £300 into the account. This meaning, The £150 I 'borrowed' has cost me £580 in charges!!!

I asked the lady on the phone if I could appeal the charges, and was told that they would log it as a complaint, as the bank charges issue in recent times has been acknowledged by the banks, but really it would just be taken as feedback and really not even looked at!!

I have no issue with paying charge for using un-authorised over draft, I know the bottom line is I was in the wrong, but truely feel the bank is treating me very unfairly. And the fact I have pretty much been told, yes you can complain but no one will even look at your case let alone reverse such charges, leaves me very upset.

I understand that I did recieve a letter some 12mths if not longer ago saying something about the charges, but as you can see I am not good with money, and didnt really pay much attention (if I even read it) Turns out this letter was telling me all about these charges!!

Please try and look past my stupidness, I know really its my own stupid fault that I find myself in this position, but really, the bank in my view seem to be treating me very unfairly. Even if I could get them to half these charges it would be a help. Clearly the fact I got myself into this position is because I am short of cash flow anyway, and this is crippling.

Your advice and comments (please dont point out how stupid I have been) would be very gratefully recieved, as these charges (for this amount) seem so unfair, and I dont know if I can do anything about it, or if I should pay it and put it down to a life lesson, all be it, an expensive one!

Please can anyone give me some advice?

Best Regards

Suzie