Problems with direct debits.

fluffyhead69

Hi all.

I have an issue. 3 weeks ago i changed the direct debit date from the 1st to the 10th of the month for my car insurance.

I recieved a letter from my bank (halifax) around the 7th saying that a direct debit bounced on the 1st and i had been charged, I called my insurer who offered to refund bank charges as it was there mistake.

Then on the 10th they took the payment as i expected. Then on the 19th they took yet another payment. I called up and was told it was an error and i would get sent a cheque asap to refund which i was happy with.

Today i called them and asked where my refund was, they said i was not due a refund as it was a months payment.

To put you fully in the picture, I took the policy on the 25th of Jan and Paid £250 deposit and 1st month installment, I changed the direct debit date to the 1st of March as opposed to 25th of Feb due to my payday. But i changed jobs so i had to change it again to the 10th.

So far i have paid them on the 25th jan, 1st march, 10th april and 19th april and they say its due again on the 10th may. I was not told about the payment on the 19th untill i noticed my balance. I have asked for a refund from the halifax today but they say if the company say it was money owed then the refund will be reversed.

As far as i was aware a direct debit should be taken only on the date agreed not when they feel like it.

What can i do?

onlypaddy

comments in red...

fluffyhead69 wrote: »

Hi all.

I have an issue. 3 weeks ago i changed the direct debit date from the 1st to the 10th of the month for my car insurance.

3 weeks ago was the 5th, 4 days after said DD date. Given that you need 10 woring days notice to change direct debit dates, this is not feasible.

I recieved a letter from my bank (halifax) around the 7th saying that a direct debit bounced on the 1st and i had been charged, I called my insurer who offered to refund bank charges as it was there mistake.

Then on the 10th they took the payment as i expected.
(Makes no sense - no time to set up the payment, unless you have your dates wrong?) Then on the 19th they took yet another payment. (This sounds more like it - if you changed your date on the 5th, this is about 10 working days after) I called up and was told it was an error and i would get sent a cheque asap to refund which i was happy with.

Today i called them and asked where my refund was, they said i was not due a refund as it was a months payment.

To put you fully in the picture, I took the policy on the 25th of Jan and Paid £250 deposit and 1st month installment, I changed the direct debit date to the 1st of March as opposed to 25th of Feb due to my payday. But i changed jobs so i had to change it again to the 10th.

So far i have paid them on the 25th jan, 1st march, 10th april and 19th april and they say its due again on the 10th may. I was not told about the payment on the 19th untill i noticed my balance. I have asked for a refund from the halifax today but they say if the company say it was money owed then the refund will be reversed.

As far as i was aware a direct debit should be taken only on the date agreed not when they feel like it.

What can i do?

Sounds like you have to establish which of the 1st/10th/19th April is the error and ask for a refund under the Direct Debit Guarantee

Mikeyorks

fluffyhead69 wrote: »

What can i do?

Stop changing DD dates? Then you'll know where you are.

You owe instalments for Jan / Feb / Mar and April? That's 4 months. And you've made 4 payments ..... with the 5th (for May?) allegedly due out 10th May.

No problem as far as I can see. And if you reclaim via the DD Guarantee ...... you're likely to void the car insurance.

fluffyhead69

I called the insurers around the 24th of march so gave plenty of notice, they attempted to take the monty on the 1st of april and took it on the 10th and the 19th.

I dont owe any payments i have paid on the 25th Jan when the policy started, 1st March, 10th April and 19th April.

I had no choice in changing the dates due to work pay day.

They said that they would take the payments on the 10th of each month and said nothing about the 19th and have said i have to pay again on the 10th of may when i have already paid 2 installments in 1 month.

p00hsticks

[QUOTE=fluffyhead69;32222643They_said_that_they_would_take_the_payments_on_the_10th_of_each_month_and_said_nothing_about_the_19th_and_have_said_i_have_to_pay_again_on_the_10th_of_may_when_i_have_already_paid_2_installments_in_1_month.[/QUOTE]

But from what you say you didn't make a payment at all in February ?

Why was this ?

Mikeyorks

fluffyhead69 wrote: »

I dont owe any payments

I agree with you. But on the basis of simple arithmetic (4 instalments due - 4 paid) nor do they owe you anything.

In the light of the multiple changes you have made to dates - and the fact DD systems take time to reflect these - I'm not really surprised the dates don't coincide.

But if you stand on ceremony with the DD Guarantee and push for a refund based on instalments taken on the wrong date ..... be warned they may void your insurance.

onlypaddy

I think the insurer must charge a month in advance. OP says policy started 25th Jan, so first payment covers 25th Jan - 25th Feb. Then date was changed to 1st March, which covers 25th feb-25th March. Then April payment should cover 25th March - 25th April, but has been taken twice.

fluffyhead69 wrote: »

I called the insurers around the 24th of march so gave plenty of notice, they attempted to take the monty on the 1st of april and took it on the 10th and the 19th.

There is only 5 working days in between 24th March and 1st April, so this was not enough time to prevent the 1st April payment from being taken.

I dont owe any payments i have paid on the 25th Jan when the policy started, 1st March, 10th April and 19th April.

I had no choice in changing the dates due to work pay day.

They said that they would take the payments on the 10th of each month and said nothing about the 19th and have said i have to pay again on the 10th of may when i have already paid 2 installments in 1 month.

Complain in writing and threaten the financial ombudsman, should get them looking at it in more detail at least. Send by registered post and you have proof they received it.