Refund of Interest charge - who pays?

ManicMum

Hello there

This has just happened to me too. I hadn't used my MBNA card for about 17 months and the direct debit was refused by Smile. Further to a lot of to-ing and fro-ing between the 2 organisations blaming each other for the mistake, it would appear it was made dormant by Smile.

I incurred interest that no one is willing to refund. Smile say they have made no error. I think there is at least an issue of common courtesy here to have written to me to say my DD was now dormant. They write to confirm a cancellation when you yourself cancels a DD yet don't bother when it just slips into dormancy. As DaveO says, this is going to lead to interest charges being incurred by the customer every time.

Does anyone know where you are informed about this dormancy period in any paperwork? It isn't in the general 4 clauses of the DD guarantee that you get read.

Smile just won't budge. I think I will contact the Ombudsman becuase this just isn't fair.

Cheers