Abracadabra!
Is the money in our banks ours? Sometimes it might seem that it’s not! From overdrafts to loans to direct debits, is there more expenditure than income? And then there’s the small print!
There’s a new language to learn for every situation, it seems, and money matters is just another one to add to the ‘pot’. Many of the communications you receive from your bank or other financial organisations may contain phrases that you’re not sure of.
Whilst initially speaking to many of my clients on the phone (financial management clients), I always have to make sure that if they want to proceed with the plan (which offers to consolidate and reduce monthly repayments), they have to change banks. Let me explain…
When you have fallen into arrears with payments to a credit card or loan provider and you hold savings or current accounts with the same provider, the provider can use ‘The Right To Offset‘. This allows them to take funds from your savings or current account without your permission, to bring the debt back up-to-date.
Yes. It does sound like an evil and underhand method, that’s devised last minute by the ‘demons’ that own the banks, however, they are within rights. I just think that everyone should be made more aware of terms and phrases that involves them potentially being at a loss.
It would obviously be a nasty surprise to go and get your last tenner out and find out the bank has swiped it, but as I have stated, they are within their rights.
The one thing I’ve realised a lot of people possess is abundant amounts of trust and clients have said to me on more than one occasion; they’re always dead nice to me when i go in. I’ll have a word myself and sort it out! Your words mean nothing, a contract means more.
Be more wary and read up things before venturing down certain paths and your money will not do a houdini.
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