Direct Debit is going to bounce

hebawom

Hi, I usually transfer money into my current account (Royal Bank Scotland) each month to cover the rent. I forgot to do it this month and my rent comes out on Monday - without funds in there to cover it. :mad:
I've looked at my online statement and the money has provisionally left the account (i.e it shows it leaving with a date of monday and puts me well over my overdraft limit)
Could I cancel my DD to stop bank charges?
Could I go to the bank on monday and pay cash to stop the bank charges?
If I do incur charges, how much would they be?
Thanks in advance for answers!

withabix

DD can't be cancelled as (technically) it is already Monday as far as banking days are concerned.

You MIGHT be able to avoid the charge if you go in to your branch on Monday and pay cash in.

All banks process debits before credits on a banking day anyway - it's their way of extracting as much out of customers in charges and interest as possible.

Mr_Anon_2

I work for a high street bank, and the previous poster is correct RE the timescales involved. You're likely to be charged 1 transaction fee, usually around £30. The exact figure will be in the terms and conditions of your account. Because you'll be exceeding the overdraft limit you'll receive a fixed fee for that too, maybe around £25, plus interest. Be prepared for your letting agency/landlord trying to charge you aswell. They may claim because of the bounced direct debit that they have been charged by their bank also, but this isn't true.

Extant

hebawom wrote: »

Hi, I usually transfer money into my current account (Royal Bank Scotland) each month to cover the rent. I forgot to do it this month and my rent comes out on Monday - without funds in there to cover it. :mad:

How silly. Set up a standing order so that you don't have to worry about it in the future.

I've looked at my online statement and the money has provisionally left the account (i.e it shows it leaving with a date of monday and puts me well over my overdraft limit)

Yes, batch processing happens over the weekend. That said, though...

Could I cancel my DD to stop bank charges?

You might be able to ask your bank to recall the direct debit, and it would reappear the same day. I say "might" because the RBS Terms and Conditions specify that you cannot cancel a direct debit after the fact (i.e. you must notify them in advance) so it depends on whether they class a recall as a cancellation (which they are perfectly entitled to do, as it technically is).

"You will not be able to stop a cheque or cancel a Standing Order or Direct Debit if you do not advise us before we are committed to pay the cheque or make the payment from your account."

Could I go to the bank on monday and pay cash to stop the bank charges?

Not usually. Most banks make it pretty clear in their terms and conditions that money should be in the account the day before a payment is due to be processed, as does RBS.

If I do incur charges, how much would they be?

Oh come on, you could easily have gone and found this.

According to RBS, you will pay their maintenance charge of £28 (£21 if you're a student or graduate), and either a £30 Paid Referral Fee if they choose to make the payment, or £38 if they choose to bounce.

debsy42

I'm with RBS and have found them very good when I've paid money in on the day when a DD has been due (not recently I admit). Have a quick chat with the cashier telling them the moneys for the DD and see how you go on.

brookerbabyisababy

remember to depoist the cash at earlier in the day because most banks from my experience do not process credits after a certain time till the next day even though they have dealt with it with the customer their and then. I think the cut off for barclays is 3.30. make sure you ask them to add it immediately to your account and go preferably in the morning - when the cut off doesn't start.

withabix

As recent evidence proves, the high street banks are all clearly NO USE AT MANAGING MONEY THEMSELVES, so they can hardly expect their customers to be any better.

Perhaps RBS might lend you part of the billions of pounds of our tax money that the government have given them in the last few weeks, to prevent them needing to extort any charges out of you

Extant

brookerbabyisababy wrote: »

I think the cut off for barclays is 3.30.

Varies from branch to branch, there will be a sign somewhere displaying it (this is mandatory and it will be along with the base rate notices etc.)

Extant

withabix wrote: »

As recent evidence proves, the high street banks are all clearly NO USE AT MANAGING MONEY THEMSELVES, so they can hardly expect their customers to be any better.

Perhaps RBS might lend you part of the billions of pounds of our tax money that the government have given them in the last few weeks, to prevent them needing to extort any charges out of you

I would like to point out at this time that Barclays (a high street bank) is yet to take any Government money, and that the FSA has stated it is happy with our current capital position. We also hold an AA credit rating and have done so consistently for nearly 20 years.

PROLIANT

You could use faster payments bank to bank transfer as the money could be in the account within minutes.

hebawom

Hi all - just a quick update for anyone that cares!
I did try the faster online payment thing since both Abbey and RBS have signed up to it. But I checked before I went to bed on Sunday and it hadn't gone through, so I rang the bank this morning and gave them my sob story they said if I could pay cash before 3:30pm they would waive the charges!!

I'm well impressed by this, and for this reason alone will continue to give them my custom for the next 6 months.

Thanks to everyone who took the time to reply!