Excess Bank Charges Recovery Service
It is no longer news that Banks rips-off their customers, but the rate at which they do it these days is becoming alarming. Banks capitalise on the ignorance of their customers as regards banking rules and regulation to rob them of their hard earned money. This situation is very dangerous when the bank account holder is running on steady overdraft or loan facility.
Below are some common ways at which Banks rip-off their customers.
1 COT is expected to be charged only on valid withdrawals. Bank overcharge COT by inclusion of
transactions exempted from COT charges like returned cheques, loan liquidation, Bank induced charges and other transaction that has to do with liquidation as well as inclusion of COT convenant in the loan agreement signed by their customers.
Experience has also shown that COT regime as specified by Guide to Bank Charges of 2013 (Effective 01/04/2013) where not implemented by most Banks until 2016 and excess were never refunded, especially the big Banks. COT is expected to be maximum of N3 per 1,000 in 2013, N2 in 2014 and N1 in 2015.
2. Loan and overdraft interest above the interest margin allowed above the Monetary Policy Rate (MPR) and/or periodical Maximum Lending Rate (MLR). Most bank violates this regulation.
3. Backdating value dates of Debit transactions so as to make withdrawals to have value earlier and/or deposit value on latter date than the transaction date, the effect is to make account holder suffer overdraft interest on backdated days.
4. Excess overdraft interest by applying dual rates for overdraft charges. One the agreed rate while the
second which is higher applied to Excess overdraft (amount overdrawn in excess of overdraft limit). Penalty rate can only be applied after 7 days of exceeding limit on the excess portion.
5. Charging VAT on interest. VAT is Not excepted on interest.
6. Using unauthorised rates for miscellaneous fees. That is, charges outside CBN's guide (Bankers Tarrifs issued by the Bankers Committee from time to time).
Miscellaneous charges such as:
* Returned cheques
* Renegotiation fee
* Above-the-limit charges
* Commitment fee
* Mgt/processing fee
* Commission on counter cheques
* Maintenance fee
* COT Shortfall fee e.t.c
Our expertise is helping client to ensure Bank do not rip you off your hard earned revenue and where banks have already overcharge you, we assist in the recovery process. We have developed an EXCEL template for easy discovery of any overcharges and willing to share the template with you and offer training for its useage.
Salami Idris & Co
Suite 53, 3rd Floor, Saadatu Plaza, beside Nikky Africa, 70D, Allen Avenue, Ikeja, Lagos.
Suite 1, Jacbeat plaza, beside sawmill, Magboro Rd, Magboro, Ogun.