My question is quite complicated and to cut a long story short my husband and I became bankrupt in September 09 and we had our meeting with OR on 5.10.09 at that time my husband had a current account with Smile Bank and he cut up the card in front of him and told him not to use it which he has not since that day, however, the account was overdrawn by £250.00 and the OR told us we must never pay anything to our Creditors as it would be favouring one over the other. We openend a joint bank account with Cooperative Bank (part of Smile) in October and both our salaries are now paid into this. My husband started getting letters and phone call from Smile regarding the overdraft amount on his Account and even after explaining the situation to them culminated with a final letter 2 wks ago stating that as we had some money in our joint account this would be transferred (even though the overdraft was in my husband name only). We immediately got in touch with the OR who to be honest was not very helpful but said he would get in touch with them, which he did. However on Friday my husband and I found we were unable to draw any money out of our joint account and upon ringing them found they had frozen our account until the Overdraft amount was paid; we had more than the overdraft money in our account I hasten to add but they chose to freeze all of it meaning we couldn't even buy food. I was absolutely livid and rang as soon as I got in from work only to be told that my card should not have been blocked and this had been transferred to the incorrect dept, but we have got to wait until tomorrow to find out the complete outcome, however, I just need some advice as to how ethical this has all been because to be quite honest I find the whole procedure disgusting. As I stated to the Manager I would be making an official complaint and if it turned out we did have to repay this money we would have to do it over stage payments. A little advice would be much appreciated.
First of all you do not have to repay the money, As the joint account was opened after the bankruptcy they cannot take this money off you. The only thing they can do is refuse to have you as a customer, if they do that they should immeadiatly give you your money back so that you can go elswhere.
for them to take money from either of you to pay for a debt included in BR would be illegal as it would be for you to pay them as has been said the mosty they can do is close the account and return the money
Dave
Don't worry or know that worrying is as effective as trying to solve an algebra equation by chewing bubble gum.(Baz Lurhman) RevivaUK and Paul Johns helped me through it all i can't recommend them enough!!
My question is quite complicated
Posted - 21 February 2010 : 10:40:13
