Money Shop helped themselves to husbands bank account

icecream69

Hi Guys,

I had quite a few payday loans, credit cards and general debt, i declared myself bankrupt in May 2011. I have had letters from the payday loan companies who i have now spoken to and advised that i am bankrupt. However, before i went bankrupt i used my husbands card (with his permission) to extend a loan i had with the money shop. On Friday my husband was paid and mysteriously all his money was taken out of his account with a card transaction, at this time we had no idea who had made these transactions on his card and his bank Smile said that they would refund the money back to his account as it was a fraudulent transaction, i have looked online today and noticed that the payments totalling over £900 were to the money shop. My husband doesnt have an agreement with them, i do and they are well aware that i am bankrupt. i have read on many different forums that banks will not refund these payments as they are with another financial institute and that agreements could be in place, my concern is that the loan i have with the money shop is in my name, not my husbands so is it legal for them to help themself to my husbands money? i only used his card once to extend the loan and therefore they only had permission to debit that money once, can anyone help me deal with this as that £900+ was the only money we have and we have to pay for our rent and bills yet. I am very concerned that smile will refuse to refund the money and we will end up with no money, considering i have declared myself bankrupt i thought they would have to deal with my official receiver and wouldnt be able to access my husbands money.

Any help is appreciated.

Icecream69

icecream69

I dont think i asked for criticism, i asked for advice. Unless you've been in my situation i dont think you have a right to judge me. I am well aware of my mistakes and what i could have done to make things better but i am in the sitation i am in and i am trying to deal with it. I took the loan out coz i needed it not coz i didnt want to pay it back...how things progressed were my own fault and i accept that but my husband doesnt deserve to have money taken from his account considering it was MY debt not his. I agreed to pay back the loan but not with my husbands card - mine. I used my husbands card to extend the loan and they are not within their rights to steal from my husbands account. If you dont have anything decent to say maybe you shouldnt say anything at all?

Icecream69

stclair

My understanding with companies such as these what ever card you use they will continue to use that card until you tell them otherwise.

However I always thought that the card should be in the same name as the applicant I could be wrong though im not very familiar with these type of companies.

I think if you have provided those details the company would be able to take your husbands money.

Maybe you should make a complaint to them?

cifpower

Surely using someone else's card (with permission or not) is against the T&C of the account and could result in the account being closed or any truly fraudulent transactions in the future not being refunded?

icecream69

Hi,

Thanks for a normal reply! i specifically told the money shop that it is not my card and they spoke to my husband to authorise the payment, they also told me that they would not keep his card details on their system, as they are not allowed to retain the cvv number, i stupidly accepted that as truth, i am making a complaint but just wondered if i had any stance legally?

Thanks,

Icecream69

cos_2

pcombo wrote: »

Dont take loans out if you cant afford to pay them back, Using bankrupt as an excuse not to pay them well you got what you deserved.

The company are within there rights as you used your husbands cards and agreed to pay back.

Once again, we get a moralistic response. Please stop doing this folks. Look at what the OP is asking and either help or simply keep quiet.

Kazipoo

I don't know whether this helps, but a similar thing happened to me some years back.

I had a mobile phone contract at the time, but there was a dispute with the amount owed but the mobile phone company took the outstanding amount from an old debit card number that they still had on file. I queried this with the bank and told them they did not have authorisation to debit this card and they told me that you only need to give permission once for the company to have legal authorisation to debit any outstanding monies. I told them the amount was in dispute and that it was taken from an old debit card number and even though they admit that they shouldn't have allowed the payment to go through, they refused to refund the amount and I had to take the dispute up via the ombudsman instead.

In a nutshell, I believe that if there is an outstanding amount and they have been given prior permission, they can legally take what is owed. (This is just my opinion and what I have been told, so I could be wrong)

Apples2

Out of interest, what was the Receivers opinion of you taking out multiple Payday Loans just prior to declaring yourself bankrupt??

I would have thought they would have placed restrictions on you holding you for much longer before discharging.

Enfieldian

Is your loan paid off now though?

One less creditor to worry about then.

Oh, sorry, just reread your first post. After you got yourself into a mess you decided to take the cowards way out of debt.

Serves you right. Will you be paying hubby back or is he another one that can whistle for his money back?

Emmzi

when yiou say renewing with his card you presumabley mean in his name?

as the card was used with his permission, it really was up to him to understand the T&Cs - which include repayment on demand

I am sorry but don't think you have much of a leg to stand on

Is that the whole amount repaid now or are you concenred there may be more to come?

paddyrg

OP, I think you're probably out of luck on this one. I think by virtue of being "financially linked" to your husband (ie you are treated as one pot of money as far as rent/mortgage, bills, etc), and especially as he paid off a loan on a card for you before, that they probably have a strong position. Being bankrupt doesn't mean the money isn't still missing from somebody's pocket, who will understandably try all routes to recover their money.

Otherwise it would make sense for every couple to have all the credit in one name, debt in the other, declare one bankrupt and carry on living as normal with the benefit of those loans.

Most people here won't judge you by the way, I'm sure if you have declared you have already realised the problem and taken steps to try to turn things around, you don't need a verbal kicking from people you don't know when you're trying to make things right!