I cannot believe how much i am being charged for my overdraft!?

Question

I started a small business with a £1000 business overdraft which cost £150 to 'arrange', expensive, but i went ahead .After 10 months I asked for an increase to £2000 and suprise suprise, another £150 'arrangement' fee was charged.2 months later, they charged me another £150 arrangement fee for the 12 months on the initial £1000! - so far £450 in arangement fees for borowwing £2000 in 12 months!!! i stayed within my limit but when they took out the £150 fee it took me over my agreed limit and now, 6 months after writing to them to explain why they have taken all theses fees with no replies, they have added a further £500 in interest and charges!!! Now they have kindly sent me a letter demanding repayment of the principle amount + all the charges and have threatened that they will destroy my future ability to borrow including any one who is associated with me financially!

Am i mad? IS THIS RIGHT? £950 charges in 12 months on £2000?This is a major High st Bank. Help

Answer 1

This is ridiculous indeed. Claim your money back and leave.

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  # 2 years FREE business banking

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Answer 2

Go in and vent this anger at the Bank Manager, My arrangement fees (for a personal account) are only £25 there has to be something wrong there.

Answer 3

Yes you are mad, to start a business on an overdraft in the first place. Have you never heard of a business loan or a personal loan, you need to clear this debt and get a job because you are definitely not a businessman