overdraft due to direct debit

adarggl · 09-20-2008, 02:39 PM

Hi.
I regularly check my bank statements to make sure I am in credit. Every month, there is a direct debit going off for my daughter's nursery. Said nursery gets paid £243 pounds a month in childcare vouchers form my salary. This month, I went into overdraft and incurred bank charges of over £150 pounds resulting from a separate charge for each direct debit nedding to be paid. Goind through the statement, I noticed that the nursery had taken the full fee for every month three months running, on top of the £243. I had assumed that the nursery had a competent accounts department which would subtract £243 from the total fee. I had assumed that there would always be that £243 margin in the account. However, cumulatively the £730 eventually resulted in the account being overdrawn.
Can I make the nursery repay the charges, seeing as they were responsible for the overdraft?
thanks for your help

**sobeit** · 09-20-2008, 05:23 PM

depending upon the laws in your country, if the nursery was taking more than they were entitled to, then yes, you should be able to recovery the fees associated with the overdraft. But you may need a lawyer or small claims court.

Something to consider, if you go after them for the fees, you may be looking for a new nursery.

adarggl · 09-21-2008, 05:27 AM

thank you for your reply. If I needed to go through a solicitor (UK), do you think I would be able to charge them the solicitor's fees as well? After all, this could be sorted amicably if they were to show a little goodwill.

**sobeit** · 09-21-2008, 05:31 AM

I really dont know the laws of your country so I cannot say what all you are entitled to. First see if there is some sort of small claims court in your country.

**WereBo** · 09-21-2008, 08:31 PM

I'm not up on the legalities of bank-charges, overdraft settlements etc., but I do know that, if you take it to Court to be settled, any legal fees incurred by you will be included in the final settlement as 'Expenses' - assuming you win.

It might be worth looking into trying for Legal-Aid though.

**Rhort** · 09-22-2008, 02:16 AM

The Direct Debit system guarantees you against this sort of thing; talk to your bank NOW about it - you should be clear.

09-20-2008, 02:39 PM	#1 (permalink)
adarggl Registered User Join Date: Sep 2008 Posts: 2 OS: xp	overdraft due to direct debit Hi. I regularly check my bank statements to make sure I am in credit. Every month, there is a direct debit going off for my daughter's nursery. Said nursery gets paid £243 pounds a month in childcare vouchers form my salary. This month, I went into overdraft and incurred bank charges of over £150 pounds resulting from a separate charge for each direct debit nedding to be paid. Goind through the statement, I noticed that the nursery had taken the full fee for every month three months running, on top of the £243. I had assumed that the nursery had a competent accounts department which would subtract £243 from the total fee. I had assumed that there would always be that £243 margin in the account. However, cumulatively the £730 eventually resulted in the account being overdrawn. Can I make the nursery repay the charges, seeing as they were responsible for the overdraft? thanks for your help

09-20-2008, 05:23 PM	#2 (permalink)
sobeit TSF Enthusiast Join Date: Nov 2007 Location: NEAR Posts: 7,433 OS: windows/linux	Re: overdraft due to direct debit depending upon the laws in your country, if the nursery was taking more than they were entitled to, then yes, you should be able to recovery the fees associated with the overdraft. But you may need a lawyer or small claims court. Something to consider, if you go after them for the fees, you may be looking for a new nursery. __________________ there's been global warming since the ice age

09-21-2008, 05:27 AM	#3 (permalink)
adarggl Registered User Join Date: Sep 2008 Posts: 2 OS: xp	Re: overdraft due to direct debit thank you for your reply. If I needed to go through a solicitor (UK), do you think I would be able to charge them the solicitor's fees as well? After all, this could be sorted amicably if they were to show a little goodwill.

09-21-2008, 05:31 AM	#4 (permalink)
sobeit TSF Enthusiast Join Date: Nov 2007 Location: NEAR Posts: 7,433 OS: windows/linux	Re: overdraft due to direct debit I really dont know the laws of your country so I cannot say what all you are entitled to. First see if there is some sort of small claims court in your country. __________________ there's been global warming since the ice age

09-21-2008, 08:31 PM	#5 (permalink)
WereBo Resident Village Idiot Join Date: Apr 2008 Location: SE London, UK Posts: 14,521 OS: Win-7, XP-Pro SP3 My System	Re: overdraft due to direct debit I'm not up on the legalities of bank-charges, overdraft settlements etc., but I do know that, if you take it to Court to be settled, any legal fees incurred by you will be included in the final settlement as 'Expenses' - assuming you win. It might be worth looking into trying for Legal-Aid though. __________________ I shall meet all of my deadlines directly in proportion to the amount of bodily injury I could expect to receive from missing them.

09-22-2008, 02:16 AM	#6 (permalink)
Rhort Waster Join Date: Mar 2008 Location: Edinburgh, Scotland Posts: 3,199 OS: XP SP1	Re: overdraft due to direct debit The Direct Debit system guarantees you against this sort of thing; talk to your bank NOW about it - you should be clear. Last edited by Rhort; 09-22-2008 at 02:16 AM. Reason: [sp]