Recurring Payments Warning! discussion

vt2012

I got stuck in one of these a few years back. I just called my bank and said my card had been lost. Old card cancelled, new card sent out with new long number - sorted!

stclair

SallyG wrote: »

http://www.guardian.co.uk/money/2012/feb/24/continuous-payments-authority-know-your-rights

That reporter was very sure of himself he even said the oft was wrong lol how does he know he's right?

jalexa

stclair wrote: »

That reporter was very sure of himself he even said the oft was wrong lol how does he know he's right?

I would say that the Regulations posted by savagej are quite clear in respect of "cancelling", which was the word mostly used in the article.

Being "refunded" without a prior cancellation instruction is however an entirely different matter.

emmag73

Does anyone have a link to the FSA's document Bank Accounts - Know your rights? I've been told that there's a section on page 15 of this document that's pretty conclusive and clear about your rights in relation to recurring payments.

Optimist

emmag73 wrote: »

Does anyone have a link to the FSA's document Bank Accounts - Know your rights? I've been told that there's a section on page 15 of this document that's pretty conclusive and clear about your rights in relation to recurring payments.

http://www.fsa.gov.uk/consumerinformation/product_news/banking/know_your_rights/payments

When you give your credit or debit card details to a company and authorise them to take regular payments from your account, such as for a gym membership or magazine subscription, it is known as a ‘recurring transaction’ or ‘continuous payment authority’.
These are often confused with direct debits, but do not offer the same guarantee if the amount or date of the payment changes.
In most cases, regular payments can be cancelled by telling the company taking the payments. However, you have the right to cancel them directly with your bank or card issuer by telling it that you have stopped permission for the payments. Your bank or card issuer must then stop them – it has no right to insist that you agree this first with the company taking the payments.
Be aware though that you will still be responsible for paying any money that you owe.

David1345

When I put all this to my bank (Santander) in writing and on the phone, they insisted it was not an option for a customer to cancel a continuous payment authority.

I pointed out it was in their own terms and conditions, but they didn't seem to know anything about it. For the record, their t&c states:

If you are stopping a recurring debit card transaction (that is, a continuous payment transaction on your debit card initiated by a payee and authorising us to make payments) you must also tell the payee. You should provide us with a copy of any notice of withdrawal of consent given to the payee. We will stop the payment provided that we receive notice from you no later than close of business on the working day prior to the date the payment was due to be made.

I'm totally stuck! How can I convince the bank that this is not my imagination, that the FSA say it, and their own t&c say it?

They told me the only way of stopping a recurring payment would be to have my debit card blocked. That cannot be right can it?

Biggles

vt2012 wrote: »

I got stuck in one of these a few years back. I just called my bank and said my card had been lost. Old card cancelled, new card sent out with new long number - sorted!

Getting a new card, with or without a new number, doesn't affect it. The account is still open and recurring payments will still be debited.

Biggles

I recently received an email from Barclaycard updating their T&Cs.

One of the changes was to confirm that, to cancel a continous payment authority, all I had to do was to ring Barclaycard. Though they did point out that best practice was to tell the receiving company first.

wilf55

i changed my card but recurring payment still continued!

Optimist

David1345 wrote: »

When I put all this to my bank (Santander) in writing and on the phone, they insisted it was not an option for a customer to cancel a continuous payment authority.

I pointed out it was in their own terms and conditions, but they didn't seem to know anything about it. For the record, their t&c states:

If you are stopping a recurring debit card transaction (that is, a continuous payment transaction on your debit card initiated by a payee and authorising us to make payments) you must also tell the payee. You should provide us with a copy of any notice of withdrawal of consent given to the payee. We will stop the payment provided that we receive notice from you no later than close of business on the working day prior to the date the payment was due to be made.

I'm totally stuck! How can I convince the bank that this is not my imagination, that the FSA say it, and their own t&c say it?

They told me the only way of stopping a recurring payment would be to have my debit card blocked. That cannot be right can it?

At this point you need to raise a complaint through the banks complaints process. Then go to the ombudsman but I doubt it will get that far.