Credited in error ?

cjdl_2

Hi all,

Newbie here, so my apologies if this has been posted on the wrong board.

Just looking for a bit of advice really. A bit of background:

Just checked my online banking, and I've been credited over £400 by 'Scot life assur co' which is THINK is a pensions company called 'Scottish Life Assurance', part of the Royal London Group.

Now, I don't have a pension or any other dealings with them, so my first thought it that I've been credited in error. Checked with the bank, they basically say they know nothing about it and it must be correct if it's landed in my account (something about account number / sort code checksums in the BACS system).

Anyways, on further thought... years ago, c.2000, I had a mortage with Bank of Scotland and I used their life insurance provider - I'm POSITIVE they were called Scottish Life.
I recall getting a letter after a couple of years saying they'd went into administration, so my DD had been cancelled and my mortgage life assurance was rearranged with another provider. I then recall another letter from their administrators, the usual 'to all known creditors' type of letter, basically saying, you're stuffed - you might get a few pence back in a few years time.

So, i'm now wondering, if the administrators have now finished sorting out the mess and processed premium refunds, and thats where this £400 quid credit has come from.

Also, it seems that in 2001, Scottish Life merged with Royal London, it's around about the same time - so I wonder if RL merged with them to bail them out / buy their assets & name.


Anyway, my question is: what should I do with this money ?

I know it's illegal to keep money that has been paid in error, but part of me thinks that this is indeed a premium refund from that mortgage life assurance I had years ago.... and, as the bank say the transaction is fine, I don't really see how I can go about resolving this.

I'm thinking of sticking it into a notice savings account, that way if it does turn out to be an error, I can just pay it back. But, would I be committing an offence by doing this, and if not, am I entitled to do this and keep the interest ?

Cheers for any thoughts / insights !

Chris.

Reaper

My understanding is that if the money is not yours you are not entitled to keep the money or the interest. However in practice it is rare for them to bother with the interest unless you obtained the money by deception or did anything else underhand.

You did the right thing querying it with your bank. Them saying it could not be an error due to checksums or whatever sounds a load of codswallop. It is easy enough to send money to the wrong account and it has happened plenty of times in the past.

Did you contact them by email or letter? Having something in writing is always better than a disputed phone call later.

On the whole since you at least have a reason to suspect it might indeed be your money you should be safe to put it into a savings account and get a little interest on it while you wait to see if it turns out to be yours.

dunstonh

Quite possibly the first pension income payment (as Scot Life are nearly totally focused on pensions). Its probably a mistyped or misquoted account number or sort code.

Someone out there is waiting for it. Hopefully, they are not desperate for this money as its no good in your account.

Berty

Keep hold of it and put it to one side so you never spend it. If after 1 year you hear nothing then I guess its yours.
I have something like yours which was an overpayment for my late father. My solicitor is keeping hold of the money as a liability but has told me that if after 1 year I hear nothing I will be sent the money and interest which I agreed too.
I too think you did the right thing to start with.

leviathan

Put everything you've said to them in writing and get them to reply stating that there is no error on their part.
Enquire by writing to the previous pension fund/administrators.

Then stick the money into high interest account and leave it for now.

grnglide

Checked with the bank, they basically say they know nothing about it and it must be correct if it's landed in my account (something about account number / sort code checksums in the BACS system).
Checked with the bank, they basically say they know nothing about it and it must be correct if it's landed in my account (something about account number / sort code checksums in the BACS system).

Your bank wouldnt know anything about it - BACS merely puts the money where it's supposed to go.

Technically you should inform Scottish Life and see what they say. From what you have posted you havent done that yet.

cjdl_2

Hi All,

Thanks for your responses, most helpful. I haven't written to them, but banks record all calls don't they ? Hmm, scratch that, I'll drop them a letter/email and CC to Scottish Life.

I too noticed that they seem to be solely a pensions outfit, rather than doing a whole range of investments - thats the part that's making me think it's NOT my money, my pension is L&G through my employer anyway.... but if it IS my old life assurance premiums refund, maybe they restructured after the merger ?

I'll fire off a couple of quick letters Re: my concerns and see if I get a response. If it's still there after a week or 2, I'll stick it into a savings account. Don't want it sitting in my current account TOO long, or it might just be used to fund that extra-fat turkey for this years crimbo dinner

Thanks again !

leviathan

cjdl wrote: »

but banks record all calls don't they ?

Calls may be recorded.

And later if we find we made a mistake, they may be erased. Allegedly.