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the_kat
11-02-2013, 00:44
Can a bank remove an overdraft from a persons account in a situation whereby doing so would leave the person in serious financial difficulty, i.e not being able to pay their rent? Do they not have a responsibility to find a realistic repayment plan to help the person get back to a point where they no longer need the overdraft to start with?
Any help would be greatly appreciated on the subject :pray:

timmylish
11-02-2013, 02:03
Terribly involved question which needs a hell of a lot of info.
Do you have a written agreement with the bank? If so you,ll need to go thru' that for an answer. If its just a verbala greement the bank will always have the right to cease the said overdraught. Without being callous I think you are on a sticky wicket. Having said that if you have the amount of the overdraught in your pocket and no monies being paid into your a/c then the bank is on a sticky wicket. Extracting blood from a stone situation.
I really think its necessary for you to speak to your manager immediately or have they given up on you?
So many questions need answering before being able to advise but banks are not normally considerate are they?
Best of luck anyway.

the_kat
11-02-2013, 10:33
I'm asking for a friend, so not sure on the whole story, but the overdraft was given so they could get back on their feet financially, however this month, when the wages went into the bank the money for the previous months overdraft came off, naturally, however then they took away the overdraft altogether, so now it's left her in a position where she is not even able to pay her rent! It's not like she's taken the money and run, she still has they account set up with her nomina to go into it, and indefinite work contract so no worries there....but due to recent personal events out of her control was left in a bit of a state financially and specifically joined this bank and spoke to them regarding how she could get back on top of things, and this was their solution.........which they have now just whipped away!!! The idea was to gradually lessen the overdraft every month until everything was square again, but this is only month 2 and they've stopped it.

bonitatime
11-02-2013, 15:07
My understanding is they can remove your over draft facility when they want reguardless of how this would leave you as clients
Whether this is ethical is another matter.

Sundowner
11-02-2013, 15:26
Can a bank remove an overdraft from a persons account in a situation whereby doing so would leave the person in serious financial difficulty, i.e not being able to pay their rent? Do they not have a responsibility to find a realistic repayment plan to help the person get back to a point where they no longer need the overdraft to start with?
Any help would be greatly appreciated on the subject :pray:

In the U.K. a bank can remove an overdraft facility anytime they want. I would imagine it would be the same in Spain.

Your friend needs to approach her bank manager and try to sort out what went wrong! I would take a set of figures showing how she could pay down any overdraft she might set up.

Or she could talk to her landlord explain what has happened and ask him if she could pay him a bit extra each month until she catches up.

Hope this helps.

casabonny
11-02-2013, 17:46
A lot will depend on whether this is a formal overdraft set up with a signed contract etc or an informal one made directly with your manager. if it is the latter then it is possible that the manager has changed or is on holiday and the standing or replacement does not know of the agreement.The only way to find out for sure is to visit the branch

the_kat
24-02-2013, 12:08
thanks everyone for the advice :)