Credit Card Companyies taking unauthorised payments from current accounts

John7289

Is it legal for if you have a credit card with your current account bank provider for them to take unauthorised payments out of your account if you fall behind with your payments

cifpower

Yes it is. It is in your T&Cs and is known as "the right to offset". This is why I keep my CC with different banks to my savings and current accounts

fermi

There is an article about this on the main MSE site.

Link: Setting Off Rules: DON'T bank where you’ve got debts

hippey

Oh yes, been done for years, but only just coming to notice more again.

But if they are doing that, if my memory serves me right, they can't cause you to be double charged. But someone might be able to correct me on that one.

jonesMUFCforever

hippey wrote: »

Oh yes, been done for years, but only just coming to notice more again.

But if they are doing that, if my memory serves me right, they can't cause you to be double charged. But someone might be able to correct me on that one.

Not sure what you mean here - but if you mean that they take money from your current account one day and another transaction the next day takes you overdrawn or over your limit then yes the bank will charge you.

You have to remember that they will only take money from your account if you do not pay at least the minimum repayment on time.