krusty Posted January 14, 2010 Share Posted January 14, 2010 Friends have an agreed overdraft limit of 500e on their account.They have been 200e overdrawn for the past 2 months.They recently paid a cheque for a bill for 150e.Today they got a letter from CA saying they should not have written the cheque as they did not have the funds in their account , and they could face 5 years in prison.Is this correct ? Link to comment Share on other sites More sharing options...
Dog Posted January 14, 2010 Share Posted January 14, 2010 Don't know if the 5 years is correct but it is a very serious criminal matter and the gendarmes may arrive. They could lose the bank account and then they are up a creek without an outboard.I have an ongoing case with Bonclays Bark in UK who made my CA account go overdrawn - they are meant to be apologising to CA for their actions and recompensing me. Link to comment Share on other sites More sharing options...
krusty Posted January 14, 2010 Author Share Posted January 14, 2010 But if you have an agreed overdraft limit and have not reached it , surly you should be able to keep spending ?I am sure you can in the UK , but this France. Link to comment Share on other sites More sharing options...
Jay Posted January 14, 2010 Share Posted January 14, 2010 [quote user="krusty"]But if you have an agreed overdraft limit and have not reached it , surly you should be able to keep spending ?I am sure you can in the UK , but this France.[/quote]Yes it is serious but your friends will not be sent to prison, I've sent you a PM. Link to comment Share on other sites More sharing options...
AnOther Posted January 14, 2010 Share Posted January 14, 2010 Talk about scaremongering, 5 years jail might well be the maximum penalty for deliberately writing dud cheques but that's as disingenuous as baldly stating that the penalty for speeding is a €5000 fine and 2 years in jail !A agree with krusty as this seems perfectly reasonable however as I understand it you have a certain period (14 days ?) to make good on dud cheque, after all accidents can happen and what if someone has written you a dud which you turn, and in all innocence, draw a cheque against ? Link to comment Share on other sites More sharing options...
Tricia Posted January 14, 2010 Share Posted January 14, 2010 Are the regulations on an overdraft with CA the same as with a UK bank?I ask because at one time I thought transfer of funds from the UK to our CA account would be late and we would be overdrawn for a few days. I asked for this to be "forgiven" and all they could offer was areduction in the overdraft charges for a limited time. Link to comment Share on other sites More sharing options...
Chancer Posted January 14, 2010 Share Posted January 14, 2010 There are many many documented cases of French banks refusing to honour cheques written that are within the customers agreed découvert, bouncing standing orders etc and then running up far greater debts by charging €50 a pop for each letter informing the customer that they the bank are not keeping to their side of the bargain.I have seen camera caché reports on the telly where a guy from the consumer association went with the beleaguered customer to a meeting with the manager who didnt bother to turn up, an underling just shrugged his shoulders and said there is nothig we will do, what made me see red was the typical polite response from the consumer guy "Ben, alors, merci pour nous avoir recu" - thanks for nothing more like, they wouldnt treat someone from the trading standards or a consumer society like something stuck to the sole of their shoe in the UK branches of the very same bank.The reporter then asked the consumer champion what happens next, he said like all these cases they just ignore us, we will help her to prepare a case in front of the tribunal which she will definitely win but it will take several years. Link to comment Share on other sites More sharing options...
Frenchie Posted January 14, 2010 Share Posted January 14, 2010 [quote user="krusty"]But if you have an agreed overdraft limit and have not reached it , surly you should be able to keep spending ? ABSOLUTELY. I'M SURE ABOUT IT 200% !!I am sure you can in the UK , but this France.[/quote] Link to comment Share on other sites More sharing options...
allanb Posted January 15, 2010 Share Posted January 15, 2010 [quote user="krusty"]Friends have an agreed overdraft limit of 500e on their account.They have been 200e overdrawn for the past 2 months.They recently paid a cheque for a bill for 150e.Today they got a letter from CA saying they should not have written the cheque as they did not have the funds in their account...[/quote]If your friends look very closely at the small print of the overdraft clause (I think the usual phrase is a découvert autorisé), they will probably find a requirement that whenever they overdraw, the amount must be repaid within a certain time (30 days, for example). I don't know whether this is completely standard in France but it is certainly very common. So it's not quite the same thing as a British overdraft: it's strictly temporary, although it can be repeated. Link to comment Share on other sites More sharing options...
Northender Posted January 15, 2010 Share Posted January 15, 2010 [quote user="Frenchie"][quote user="krusty"] But if you have an agreed overdraft limit and have not reached it , surly you should be able to keep spending ? ABSOLUTELY. I'M SURE ABOUT IT 200% !!I am sure you can in the UK , but this France.[/quote][/quote]Is it not this sort of attitude that's got us all into the global financial mess that we find ourselves in? Link to comment Share on other sites More sharing options...
BJSLIV Posted January 15, 2010 Share Posted January 15, 2010 THE OP stated that their friends had been overdrawn for two months. This would not be the normal arrangement for a French overdraft. The usual maximum is 30 days. The maximum amount and duration will be set out in the application/contract that they signed for the facility. Link to comment Share on other sites More sharing options...
Jazzer Posted January 15, 2010 Share Posted January 15, 2010 The system is beyond me, On taking up a debit card this year I was given an Overdraft limit of £100-which I have never used. I know from UK experience that you can become "technically" overdrawn if a cheque is paid by the Bank before a cheque you have paid in has cleared. In France I believe the system is even more complex. Despite this, and I never pay cheques into my account I am frequently charged small sums like 0.03€ with a narrative ADI particulier. I seem to remember from another thread this means an overdraft charge.Because of the small amounts I have never challenged but I just find it annoying.Unless the system has changed I think that an unauthorised overdraft means a fine and if it is not cleared within 30 days or occurs twice in 12 months the account will be closed. Your name is blacklisted at the Banque de France and you will be unable to operate an account at any bank in France for a year and your name will, remain on the blacklist for 2 years. Whilst the matter is taken very seriously I think Prison is a long way down the line. Link to comment Share on other sites More sharing options...
Clair Posted January 15, 2010 Share Posted January 15, 2010 [quote user="Jazzer"] I am frequently charged small sums like 0.03€ with a narrative ADI particulier. I seem to remember from another thread this means an overdraft charge.[/quote]ADI probably refers to assurance décès-invalidité (death or disability insurance), which is usually included in the overdraft package.Check your contract for details. Link to comment Share on other sites More sharing options...
Jazzer Posted January 15, 2010 Share Posted January 15, 2010 Thanks. All becomes clear!. Link to comment Share on other sites More sharing options...
Recommended Posts
Archived
This topic is now archived and is closed to further replies.