Problem with A&L and Standing Order

choccie3

Hi
I wonder if anyone has had a similar problem with Alliance & Leicester and can offer me any advice or explain if I have made the mistake.

I set up a standing order on my A&L online account in Sept 08 for my Virgin Credit Card. I selected 23 Sept 08 as the first payment date and monthly payments thereafter. The first payment went out fine in Sept 08. I was away for much of October and in November got a letter from Virgin stating I had missed my Oct 08 payment and they were charging me a late fee and interest and removing by 0% deal. I checked online and my standing order says the next payment is due on 23 October 2009. I checked to see if I could have entered the details wrong but I couldn't have.

When you set up a standing order you select the first date (23 Sept 08 in my case) and then the frequency ie weekly, monthly, yearly, quarterly (monthly in my case). Even if I had selected the wrong frequency ie yearly instead of monthly the next payment would have been scheduled for Sept 2009 not October 2009. There is no option on the standing order set up to have a 13 month frequency gap between payments. Therefore I couldn't have set it up like that and the only explanation I can think of is a computer error on A&L side.

I complanined over the phone and got a letter stating that I had entered the details and therefore it was my problem. I called again and spoke to someone who seemed to understand what had happened better but yesterday got a final response again stating that I had entered the information. I have asked the Ombudsman for a complaint form but was wondering if anyone has any advice?

I don't know if I am not explaining it correctly to the bank but I can't see how it could have been set up like that by me. I have incurred £110 costs because of this and have a missed payment on my credit record. I have asked that they either refund the money and give me a letter saying the missed payment was their error or in the alternative if they can explain to me how I could have set it up like that I am happy to reconsider.

Any advice?

Thanks

Stoneman_2

I would suggest writing to Virgin and explain what happened (if you haven't already) as they maybe understanding and reinstate your 0%.

I recently had a similar problem with A&L after switching accounts from NatWest. I switched all of my Direct Debits, but one failed to show on my online list. I assumed that it was in the process of being set up, but when the payment came out of my old account I phoned A&L to check. They confirmed that the direct debit was in place, but might not show on the DD list!

I was dubious about this and contacted M&S (the missing DD) just before payment was due and they still had my old bank details. I missed my payment date by 2 days, but luckily M&S were understanding and have not taken away my 3.9 rate or charged me a late fee.

I gave M&S the new DD details and it miraculously showed on my A&L DD list, only to disappear 2 days later!!!

As for your charges, a letter to A&L seems in order because as you stated, there is not way you could have made the mistake if your September payment went out ok.

The Ombudsmen is always a good final option, but its worth giving A&L a chance to retify the mistake first.

choccie3

Thanks for your reply. Unfortunately Virgin are not being understanding and won't reinstate the 0% - I have switched elsewhere but have had to pay a fee.

I have now got 2 letters including a "Final Response" from A&L saying that I entered the details and therefore it is my fault so I think my only recourse is the Ombudsman now.