Online Banking Legality

prime_2

I cancelled all my direct debits online, as I only use online banking for all my transactions. However, several DDs continued to be paid for a few months afterwards. I cancelled the DDs as I was changing banks, and didnt realise that I should have left them for the other bank to 'take over'.

I wrongly assumed that using an electronic cancellation, their system would spit any any calls for further payments.

The FSA have told me today, that I should have also told the providers that I had cancelled the DDs. This is the first I have heard of this, and my question is - should the internet service page where you can cancell DDs have stated and informed me of this responsibility?

I see this an an ommission on their part, and thought that I was in control - what a joke - needless to say, the account went overdrawn, and I was charged for the priviledge.

Do I have any recourse with the bank?

natweststaffmember

prime wrote: »

I cancelled all my direct debits online, as I only use online banking for all my transactions. However, several DDs continued to be paid for a few months afterwards. I cancelled the DDs as I was changing banks, and didnt realise that I should have left them for the other bank to 'take over'.

I wrongly assumed that using an electronic cancellation, their system would spit any any calls for further payments.

The FSA have told me today, that I should have also told the providers that I had cancelled the DDs. This is the first I have heard of this, and my question is - should the internet service page where you can cancell DDs have stated and informed me of this responsibility?

I see this an an ommission on their part, and thought that I was in control - what a joke - needless to say, the account went overdrawn, and I was charged for the priviledge.

Do I have any recourse with the bank?

I think you might want to ask them, if you have the exact date you cancelled them, whether new payment instructions were set up or whether there was a glitch on their online system which prevented their calculation.

prime_2

I wrote to the bank - as luck had it, I had printed off the cancellation pages showing the DDs had been cancelled, on the day I did it. So I sent copies as evidence of the cancellations, along with a letter with all details requesting that they refund the charges, and also asking how their system paid out on cancelled DDs.

Needless to say, they have completely ignored my letter and I still have no answer from them.

Surely internet banking sites should alert users of the consequences of cancelling DDs or SOs and what they should also do?

natweststaffmember

prime wrote: »

I wrote to the bank - as luck had it, I had printed off the cancellation pages showing the DDs had been cancelled, on the day I did it. So I sent copies as evidence of the cancellations, along with a letter with all details requesting that they refund the charges, and also asking how their system paid out on cancelled DDs.

Needless to say, they have completely ignored my letter and I still have no answer from them.

Surely internet banking sites should alert users of the consequences of cancelling DDs or SOs and what they should also do?

the straight answer is no. It asks you to confirm cancellation if memory serves me right. However, that isn't the main issue because I would agree with the bank and FOS on one issue, which is telling the providers of the DD's you have cancelled that they need to take money from another account.

For me the issue could be one of 2 things in relation to cancelling the Direct Debits online:
were the Direct Debits that you cancelled done,
1)If the answer is YES then were others "live" or re set up by the originators and when?
2) If the answer is No, is there an online internet banking issue(bank error so refund is required), was there an issue as to why they weren't cancelled?

McKneff

The FSA have told me today, that I should have also told the providers that I had cancelled the DDs. This is the first I have heard of this, and my question is - should the internet service page where you can cancell DDs have stated and informed me of this responsibility?

They do tell you, its in your terms and conditions when you set up DD's
Apart from that its just common sense. How could your providers possibly know if you didnt tell them

flam147

McKneff wrote: »

The FSA have told me today, that I should have also told the providers that I had cancelled the DDs. This is the first I have heard of this, and my question is - should the internet service page where you can cancell DDs have stated and informed me of this responsibility?

They do tell you, its in your terms and conditions when you set up DD's
Apart from that its just common sense. How could your providers possibly know if you didnt tell them

check the banking code you should cancel your DD at the bank or the company concirned we RECOMMEND (not must) both and the companies are advised when the bank returns the DD cancelled by account holder it may not be possable to contact the originator for several reasons

Itsgottabedone

I do online banking with two of the big banks and both systems alert you to the fact that when you're cancelling a Direct Debit you should communicate this to the recipient.

david39

In all cases where I have cancelled DD's on-line, the otherparty's bank have always notified the company concerned - I always get an auto-reply letter back from them saying "why have you cancelled etc.etc." even if I've already told them directly.

Also, surely the bank act on the instructions of their customer, not the instructions of the company raising the direct debit. If the customer has given clear instructions not to pay the direct debit, the bank should not be paying it no matter who it is that is asking for it.

flam147

prime wrote: »

I cancelled all my direct debits online, as I only use online banking for all my transactions. However, several DDs continued to be paid for a few months afterwards. I cancelled the DDs as I was changing banks, and didnt realise that I should have left them for the other bank to 'take over'.

I wrongly assumed that using an electronic cancellation, their system would spit any any calls for further payments.

The FSA have told me today, that I should have also told the providers that I had cancelled the DDs. This is the first I have heard of this, and my question is - should the internet service page where you can cancell DDs have stated and informed me of this responsibility?

the FSA are talking ******* just taking the banks fraud view
THIS IS FROM THE BANKING CODE

Cancelling payments
12.10 If you want to cancel a payment or series of payments
you have authorised, you should do the following.
• To cancel a cheque or standing order, you must tell
us (we cannot cancel cheques covered by a cheque
guarantee card).
• To cancel a direct debit, you can either tell the
originator of the direct debit or tell us. We
recommend you do both.
• To cancel a recurring transaction, you must tell the
originator. We recommend you keep proof of the
cancellation.
• It may not be possible to cancel payments if you do
not give enough notice of your decision to cancel.

---

notice the word either and the word Or and the word recommend

when you get charged the banks change this to

• To cancel a direct debit, you MUST tell the
originator of the direct debit AND YOU MAY tell us.

FRAUD

flam147

Itsgottabedone wrote: »

I do online banking with two of the big banks and both systems alert you to the fact that when you're cancelling a Direct Debit you should communicate this to the recipient.

Should should be we recommend but when they charge you it becomes YOU MUST

if you have complied with the banking code it becomes a bank error but will the bankers (change first letter) acknowlidge this ? NO

flam147

natweststaffmember wrote: »

the straight answer is no. It asks you to confirm cancellation if memory serves me right. However, that isn't the main issue because I would agree with the bank and FOS on one issue, which is telling the providers of the DD's you have cancelled that they need to take money from another account.

For me the issue could be one of 2 things in relation to cancelling the Direct Debits online:
were the Direct Debits that you cancelled done,
1)If the answer is YES then were others "live" or re set up by the originators and when?
2) If the answer is No, is there an online internet banking issue(bank error so refund is required), was there an issue as to why they weren't cancelled?

if you cancel a direct debit at the bank the originators are not allowed to re set up without your permission they do not hold any legal powers only a court can order you to pay something if the FOS think so then the banking code is being breached and you have been missold your bank account, if a judge was shown the banking code he would disagree with the FOS.
i wounder why prision probation officers are not ex prisioners, makes as much sence as having bankers regulate the banks IMHO