First Direct acting unfairly?

[jmac]

Thought you might be interested in a battle I'm currently having with my bank. I bank with First Direct and have a credit card with them.

I used the card to buy some replacement windows for one of my ten properties and inadvertantly went over my credit limit. During a discussion of the matter with them they noticed that I had a number of transactions with DIY and builders merchants (not surprising since I'm improving one of my properties at the moment). They deemed this as business use since I own "more than 2 or 3 properties" and warned me that the card and my account was for personal use only. I was advised that I should really have to open a business account (which they cannot provide)! All this despite the fact that I have been paying in rents and paying mortgages from the same account for the last 2 years.

It seems that the banks having established a reputation for overcharging the small businessman is also after the small investor!

[P.Pilcher]

Well, I did the same as you with one of my free personal bank accounts and my bank (LloydsTSB) tut tutted but did little more about it! Two years ago I decided to go limited liability so I had to get a business account didn't I and the charges! Anyway, I have just discovered that Alliance and Leicester will supply free business banking, provided no more than £1000 cash is banked (via any post office) per month. Now, will I change to A&L or will LloydsTSB agree with me that as the transactions on my business account are less numerous than those on my (free) private account, they can give me free business banking after all!

P.P.

[MrShed]

Cant say I really blame them jmac! If you have more than 2 or 3 properties, I would entirely agree with them! You dont own and manage property as a "hobby"!

[seaview]

Hi, I have just opened two business accounts with Abbey and they offer free business banking FOREVER they do charge if you go over the limits they allow which i think are very generous they allow you 100 free cheque deposits and you can bank £3,000 for free each month. I hate being tied to ridiculous bank charges, thought you might like Abbeys offerwww.abbey.com/business
cheers :o

[MrWoof]

I like the sound of Abbey, try also Mortgage Trust, not the most efficient lender but they offer offset mortgages even on limited company business accounts. My business current account is offset against one of the mortgages, client account against another and best of all, I have a personal savings account offsetting another business loan. All my savings in this one are counted as a loan to the company.:D . No, repeat no, charges.