Barclays to hammer the poorest by tripling fines on standard accounts

8 December 2011

barclays_bank_limitedBarclays are going to triple the fines received for missed payments on basic accounts. You could be looking at fines of £24 per day. This of course, could ruin the poorest customers who have these basic accounts.

Over one million customers will see these charges coming into place from March next year, being hit with three £8 charges every 24 hours if payments bounce. Basically, you've got 'til then to get a bank account with someone else.

Barclays are trying to justify this by claiming that they're losing ‘a lot of money’ on basic accounts. Accounts, its worth pointing out, that were designed for customers with dicky credit ratings or low-income.

Basic account don't have overdrafts, which is one of the ways banks like to make a profit on their customers. Barclays clearly want to make a fast-buck on these account holders, so now, if a customer's balance drops and a direct debit or standing order fails, Barclays can hit them with an £8 penalty.

A spokesman for Barclays said: "We want to ensure this product remains financially sustainable so that we can continue to help those at risk of financial exclusion gain access to banking'

'We also want to ensure the product continues to meet the needs of those it is designed for. The changes we are making are based on solid research of our customer base and Citizens Advice Bureau clients'.

TOPICS:   Banking   Investments


  • Bob
    Got this letter through yesterday, they also said in it that they will upgrade some to a "new kind" of current account if they look at your account and you are in good standing for which you will get two months notice of. No thanks Barclays. I really would like to change banks but my credit rating is in the toilet (my own fault) but there doesn't seem to be any other alternative (a lot of the other banks that offer basic accounts restrict you to only using their cash machines and other arbitary measures.
  • Alexis
    Are they 'fines' or 'penalties'? They'd be unlawful if they were. I think they were deemed to be be 'fees' or 'charges' in the big case Martin Lewis was involved with.
  • Lord M.
    Perhaps this is Barclays way of trying to claw back the 25% of all UK tax that the top 1% pay?
  • arthur's g.
    Dear all, Barclays are cunts, proper cunts! That is all.
  • George
    Let us go back in time. We were FORCED to take out bank accounts years ago!, they stopped paying wages by pay packet. The government, banks and employers were behind this. It was all very well planned to rob us all blind over the years that were to come, they made it so we can`t live without having a bank account of somekind. The word "Crooks" comes readly to mind
  • Big S.
    I reckon that at least 5 of the people affected by this are useless cunts that cant manage their finances or control their spending and then blame everyone else when they are made bankrupt, usually owing money to tax payer owned banks. Why cant be ban these people from managing their finances - problem solved - no more fees from barclays. Of course someone will say "thats not fair on them" - but they are cunts as well.
  • Dick
    I say "Fuck the poor." They are cheaper and need the money.
  • George
    "cant manage their finances or control their spending and then blame everyone else when they are made bankrupt" You are talking about the banks when you wrote the above. You seen to have a short memory, who got us into the mess we are in!!!. Its all too easy these days to have your employer not pay into your account your monthly salary for a variety of reasons, not your fault but you can end up in financial stress, why should the banks profit from it, its all win, win for them.
  • The B.
    "who got us into the mess we are in" The EU governments, the FSA, BOE, banks and commodities traders. Mainly the EU governments by relaxing existing banking regulations and spunking money like it was going out of fashion though. France are shitting themselves at the moment, most of the Greek debt is owned by French banks, if Greece goes belly up France haven't got any money left to bail them out because it's all already gone to Greece, ironic huh?
  • George
    It was Thatcher and Reagan that started off the "relaxing existing banking regulations", they were the disciples of Milton Friedman and his philosophy of giving free reign to the financial sector. Sir Ian Gilmour warned us and tried to stand upto Thatcher, he was sidelined and demonised. I will tell you this, it was planned to be this way, they knew where it would all end up, so...Why, what is really behind it all ?.
  • The B.
    Certainly it started during the 80's but it wasn't limited to Thatcher and Reagan, it happened all over the world and carried on until the recent collapse, now all governments are debating what to do to reign it back in. Lets face it, currently the FSA aren't fit for purpose.
  • George
    Indeed, it "wasn’t limited to Thatcher and Reagan". What happened was that many saw where the bandwagon that they had started was going and jumped onto it, in double quick time, so quick it looked like it had started spontaneously. When it comes to making money people can act very fast!. Many knew where it would end up, they were blinded by the amount of money they were making and could make and thought tomorrow can take care of itself. The FSA have never been fit for purpose, it was made to be that way, as are all government institutions, they are there not to act for us the people but for a select minority (it has always been that way). What worries me is that it is not about money, there is something big happening behind all this..What though is my question, I think it has something to do with global resources and that they may be in a much more pitiful state then we are being led to believe, the people behind all this saw that coming and planned for it. What will be the outcome ?.
  • George
    " Many knew where it would end up, they were blinded by the amount of money they were making and could make and thought tomorrow can take care of itself. " *************************** “When plunder becomes a way of life for a group of men, they create for themselves in the course of time, a legal system that authorizes it, and a moral code that glorifies it.” Political economist Frederic Bastiat, The Law (1850)
  • The B.
    "I think it has something to do with global resources and that they may be in a much more pitiful state then we are being led to believe" You're not wrong there, not so much even oil and gas, more minerals and metals, most of the really precious metals that go in tech come from China who claim they have an abundance of them but they way they're destroying their own country currently how much longer can that last? I'm starting to think the tin foil hat brigade might actually be saner than initially thought.
  • dvdj10
    Too much sense being talked in these comments. Banks are cunts and so are the poor. That is all, I hope I've restored some of the abusive balance.
  • Dick
    I've been stock piling tin foil for years. I've now got 10247 50m rolls. Come the revolution I will be selling tin foil hats. I'll make a fortune. It's capitalism at its best (ie. capitalism where I get the money).
  • Sicknote
    Banks fuck everyone. For us wealthy customers they please & thank you and for you poor bastards they usually just say '....get fucked you skint bastard'
  • Me
    Why are these people complaining? They are lucky to have a bank account. In some countries there are so many charges for having a bank account that if you are poor you would not be able to keep one anyway. Those cunts that just need the account to receive their benefits might as well walk to the post office and... oh!! wait a minute!!
  • Yup
    This article makes out bank accounts are some sort of free public service. Basci bank accounts cost the bank money to run and administer so when ididots cost them more money by being overdrawn they take the hit twice. The government also FORCES them to have this service as an offering

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