NatWest & RBS Banking Problems: How to Reclaim Your Losses

Millions of people across the UK have been affected by a technical glitch with NatWest, RBS, Think Banking and Ulster Bank banking systems. Here’s the latest on the issue and what you need to do to avoid losing out financially as a result.

If you ever wondered how much your bank relies on computers RBS & NatWest have given everyone a clear indication over the past week.

Update: The refunds have now started...

RBS have announced that they have started the first phase of refunding their customers affected by their technical incident.

Charges and interest will be refunded to accounts throughout July.

From the 23rd July, RBS will send letters and communications to all affected customers detailing the corrections to fees, charges and interest on all the accounts affected by the problem.

All affected customers should be contacted by 31st July, 2012.

For more information on the refund process read our guide: RBS & NatWest Update: The Refunds Have Started.

I need to withdraw money

If you have been left short of funds as a result of the glitch you should be able to get an advance in branch beyond your ordinary agreed overdraft level.

RBS, NatWest and Ulster Bank are all operating extending opening hours to help their customers; you can find your nearest branch on your banks website.

I’ve gone overdrawn

RBS and NatWest have confirmed that customers won’t have to pay any overdraft charges or fees applied as a result of their technical problems.

The RBS will automatically reimburse all their customers who have incurred overdraft charges and interest on their current accounts.

What happened?

After trying to update their IT systems the RBS Group encountered a serious "technical glitch", leaving transactions unprocessed, balances outdated, online accounts inaccessible and generally causing chaos to millions of customers.

While the initial problem has now been fixed for most customers the banks have a massive backlog of financial processing to work through and this could cause further problems over the coming days.

Chief Executive of the RBS Group Stephen Hester has promised that customers won’t be left out of pocked because of the technical glitch, but this doesn’t solve the problems many face right now?

Here’s what you need to know if you’ve been hit by RBS’ technical turmoil:

I’ve been charged

If you have incurred bank charges or late payment fees because of the NatWest/RBS problems you will be able to claim a refund for the full amount. This is the case whether the charges were applied by a bank in the RBS group or a third party company.

Make sure you keep track of exactly what you’ve been charged, when and by whom so you can get all of your money back and don’t end up losing out.

The RBS Group have confirmed taht all charges and interest incurred on current accounts, credit cards, mortgages and loans will automatically be reimbursed following the glitch.

What about my credit rating?

If you have missed or made a late a payment because of the RBS technical fault your credit rating won’t be affected.

If you do get a ‘black mark’ because of the banking issues NatWest or RBS will add a notice of correction to your file neutralising the entry.

However, to minimise any possible issues you should contact any company that you owe money to and explain the situation. Given the wide-spread awareness of the NatWest/RBS banking problems they may well be understanding and willing to negotiate a later payment date.

If you are concerned that a late or missed payment will appear on your credit file you should note down details of the payments and let your bank know so they can correct any damage caused.

What about other costs I've had to cover?

NatWest, RBS and Ulster Bank have confirmed that they will reimburse any other costs you have incurred as a result of their technical issues.

However, details about how the refund process will work have not yet been announced.

It is likely that you will need to prove the costs you’re trying to claim for so make sure you keep statements, receipts and any other paperwork that shows you’ve been short changed. Having this to hand will mean you have a full record ready as soon as you are able to claim.

We’ll be updating this guide with details of the claiming process as soon as they’re available.

How can I get further help?

For further help or support you should either visit your nearest branch or call one of the following numbers (you can use these whether you are a NatWest, RBS or Ulster Bank customer):

• 0161 931 9959

• 08457 77 77 66
• 0800 656 9639

If you are currently overseas you can call: 0131 549 8888

How can I make a complaint?

If you have been affected by the RBS/Natwest banking chaos and would like to make a complaint you need to complete a form on the RBS website, NatWest website or Ulster Bank website depending on who you bank with.

What if I’m not an RBS customer?

This is where the problems surrounding the RBS Group’s technical issues are less clear.

If you’re not an RBS, NatWest or Ulster Bank customer at the moment the bank is recommending that "you contact your bank, lender or any other company to let them know what's happened. They will be able to advise how they can help."

While contacting your bank, lender or the company involved is good advice it’s unclear whether the RBS Group will be accepting any responsibility for the impact its technical failings may have had on third parties.

We’ll be investigating and will update this guide as soon as we have clarification.

If you don’t have an account and would like to complain you will need to complete this form on the RBS website.