Regular Payments off a Credit Card Discussion

Paul_Herring

ICan'tStandIt wrote: »

Not sure if this has been said already as not read the whole thread, but you can cancel a regular payment as long as you're within you right to do so, ie. you've not signed up to something for a year and want to bail out after a month.

If you cancel and they accept your cancellation, you need to keep proof in case they continue to charge you.

The point here being that it's a darn sight easier to cancel a direct debit than it is to cancel a CPA.

To cancel a direct debit, you merely need to go to your bank (or log on,) and cancel it there.

To cancel a CPA, you must go to the charging company, and hope that your asking to cancel it 'sticks.'

agsnu

Paul_Herring wrote: »

To cancel a direct debit, you merely need to go to your bank (or log on,) and cancel it there.

Although this does lead to people thinking they've cancelled their accounts with service providers when in fact all they've done is cancel the payment instruction, leaving them to accrue late payment charges etc until their service is finally suspended as a non-paying debtor.

Paul_Herring

agsnu wrote: »

Although this does lead to people thinking they've cancelled their accounts with service providers when in fact all they've done is cancel the payment instruction, leaving them to accrue late payment charges etc until their service is finally suspended as a non-paying debtor.

This negates the fact it cancels the payment how?

You attempt to cancel a service with a 3rd party (by informing them.) If you pay by DD, you can make sure they don't withdraw more funds. If you pay by CPA, you have to trust that 3rd party to cancel their end.

Witness the ire AOL used to raise way back when they continued to charge people for service that customers had 'cancelled.'

ICan'tStandIt

Paul_Herring wrote: »

The point here being that it's a darn sight easier to cancel a direct debit than it is to cancel a CPA.

To cancel a direct debit, you merely need to go to your bank (or log on,) and cancel it there.

To cancel a CPA, you must go to the charging company, and hope that your asking to cancel it 'sticks.'

Yes, I agree that a DD is much better, however, many people do use their credit card to pay for their Sky or broadband, so I just wanted to point out how people should go about cancelling a payment should they wish too.

vasundhara

I want to share here my problem with my Credit card here. Recently I have transfered my funds in Pay Pal account to my Credit Card account. In my next month credit card bill they have put $20 penaltly for non-payment of minimum balance. I said I paid through my Pay Pal account, more than my minimum balance due. They said it is not a payment, it is only a credit from some transaction. I don't how these people work, they doesn't understand the transfer of funds to cancellation of merchant transaction deal. Anyhow...nice forum to discuss problems like mine. Thanks to the administrators for giving me this forum's membership.

ICan'tStandIt

vasundhara wrote: »

I want to share here my problem with my Credit card here. Recently I have transfered my funds in Pay Pal account to my Credit Card account. In my next month credit card bill they have put $20 penaltly for non-payment of minimum balance. I said I paid through my Pay Pal account, more than my minimum balance due. They said it is not a payment, it is only a credit from some transaction. I don't how these people work, they doesn't understand the transfer of funds to cancellation of merchant transaction deal. Anyhow...nice forum to discuss problems like mine. Thanks to the administrators for giving me this forum's membership.

If funds are received via a merchant (in this case PayPal) rather than an actual payment, it is treated like a refund and will not be classed as part of the due payment.

You always need to make a payment via BACS or similar to cover the minimum.

thomasz

Thanks for your payment is debit card, it is adventages and quickly.

olly300

Paul_Herring wrote: »

To cancel a CPA, you must go to the charging company, and hope that your asking to cancel it 'sticks.'

You should do the cancellation in writing by two methods one being recorded delivery or special delivery stating at the end of the letters which methods you send your letter by. If the company then ignores your cancellation request you can then start small claims court proceedings against them i.e. send them a letter before action.

Any judge would find it hard to believe a company who received a cancellation request by recorded delivery and fax/recorded delivery and email/special delivery and normal post did not get one of the letters.

olly300

BTW I have just been stung by a recurring payment set up without my permission. The company involved decided to change their terms and conditions without notifying me. In addition no where on their website are any statements about recurring payments.

I have disputed it with my credit card company and if the worse comes to the worse I will threaten to take and will take the company concerned to court.

cymrubaby

Hello everyone. Just to let you know that I had a very nasty jolt today as an old credit card bill of mine had been sold to a debt agency and they contacted me asking for immediate repayment. I told them I could only afford £20 a month but they then told me that they would knock £100 off my £669.25 balance if I paid today. I thought on my feet and said that I couldn't afford that and they then offered to reduce it to £501.25!! Which would have meant a saving of £168 but again I told them I have three small kids and can't afford to repay that in one go. At the end of the day if I could afford to do that then I wouldn't have got into debt in the first place, I pointed out. So, once again they lowered the amount and this time they lowered it to £435.01 which gave me a grand saving of £234.24!!! Or 35% saving!! I agreed to this because it seemed better than repaying the whole amount over three or four years. I took some money out of my small savings this morning and repaid the new amount of £435.01 and now the whole debt is cleared and they will write to the credit agencies to say my account has been settled in full and the account is now closed :j .
If this is an option for you and you're in the situation where your debt has been sold then do try to barter them down as low as possible. At the end of the day they just want to get rid of you and from their original offer of a £100 discount for immediate repayment, I managed to get it down by another £134.01 on top of the first discount. Don't be afraid of them, they do want to help and most will accept a bit of bargaining for an immediate settlement.
Just make sure you have the newly agreed settlement amount to hand and that you're not borrowing it from elsewhere where it could have repercussions.