unpaid direct debits

babyroo

Hi,


Just wondering if anyone has any idea about this, i had a letter from my bank regarding a unpaid direct debit and resulting in a bank charge.

But what i don't understand is when i spoke to the company who the direct debit was for they said it had been paid, but no money has left my account.

So very confused.

YorkshireBoy

The direct debit system works, to some extent, on trust and a promise to pay. The originator will assign funds to your account on the due date even though they haven't yet received them.

You'll probably find when the originator does a sweep (in a few days?) they'll realise and either chase you for the money or represent the DD to your bank (so make sure the funds are there this time!).

Who's the originator? What date was the payment called? And what's the date on the bank's letter to you?

JuicyJesus

The originator (the company you have the Direct Debit with) will not know the DD has been bounced until a few days afterwards. The BACS system takes a few days to return it to them.

The only people who can accurately tell you if a DD has been returned or not is your bank, as they are the ones who do the returning.