[BNM] [BMN][OT] Banks etc

[Alan Newman]

Hi,

It's more the relationship for me, rather than the "fear" of having the
account closed.

You know the ability to extend an overdraft at will - of raise a loan to
avoid other troubles. Going to a new bank or souring the relationship does
not help. However I appreciate that the collective "we" should be beholden
to "them"....

- Alan


-----Original Message-----
From: Nick Wilsdon [mailto:n.wilsdon at e3internet.com]
Sent: 14 August 2006 14:10
To: 'Brighton New Media'
Subject: Re: [BNM] [BMN][OT] Banks etc


>>> Great work in getting the money back! I have heard that people have
had their accounts closed after taking this action though.

>From the FAQ page of their forum Alan:

Many people have asked if the banks will close there account, as well as
will they close my mortgage, or loan account that they have with the same
bank.

CURRENT ACCOUNT
The banks do have the authority to close the account that you are claiming
against on what they see as an unworkable relationship. However in practice
there are very few instances of this happening, this is not to say they wont
escalate this.
we always advice that people open what we call a parachute account with
another bank, just in case they do close your account (better safe than
sorry), most if not all banks will offer a basic account to people with
credit problems, and for others they will open up a like for like account,
so it is a simple swap over.

LOANS OR MORTGAGE
As far as closing other accounts such as mortgage or loan that is held with
the same bank then they simply cannot close these accounts as they are on
separate contracts, and if anything will persuade the bank not to close the
current account you are claiming on, as they will have no definite form of
payment.

if you are claiming against a mortgage or loan, it is highly unlikely the
banks will call in the loans as this would get very messy for them in
respect of ever getting paid back and if they wanted to take this to court
then you would more than likely only be ordered to pay back so much per
month, and probably less then they are getting by leaving the loan or
mortgage intact in the first place.

Banks work on losses and risk, if there is a chance they will lose they will
back off if it is cheaper or more profitable to leave well alone they will
do just that

http://www.penaltycharges.co.uk/forum.htm

HTH

Best Regards,

Nick

Managing Director
e3internet
http://www.e3internet.com







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