Please Help! Credit Resource Solutions/Hastings

Fridge03

Hi all,
Any advice here would be massively appreciated! I just don't know what to do! Not sure where it fits best so put it here and in debt free wannabe!

Basically, I had my car insurance with Hastings and everything was fine. Then I wrote off my car (didn't claim) and bought a new one. Hastings then couldn't insure my new car (for some reason) so I cancelled my monthly direct debit. I tried calling them, but on several occasions I was on hold for 30 mins+. After getting very frustrated I wrote a letter saying why I was cancelling, and put it in the post along with the certificate of insurance and a cheque for the cancellation fee (£55).
I then went off travelling around for about 6-7 weeks, even popping down to NZ for a bit of the rugby world cup!
Anyway, upon returning last week I had letters from Credit Resource Solutions saying I owe them (on behalf of hastings) £789. I'm now looking a letter saying they may attend my property in the next few days WHICH I DO NOT WANT TO HAPPEN).

Im really worried. I thought it was all done and dusted, and then I get back to find this. No way can I pay anything like that amount, and I don't see why I should.

Please help!

Cheers

InsideInsurance

You evidently need to speak to Hasting's to see what has happened.

Have you looked to see if the cheque has been cashed or not?

dunstonh

You have to pay the unpaid premium due which is a relatively pro-rata basis in the policy year. This may not be quite in sync with the direct debit. You also have to pay any non-refundable items you may have included on the policy (such as legal expenses or breakdown). There may also be a charge for credit that was factored over the 12 months but as its not going that long, will have to be cleared early.

So, sending them a cheque for £55 was never going to work.

Now, onto what happens next.
Did they present the £55 cheque or has it not yet come off your account?

if it has come off your account then you know they got the cancellation letter. What they should do is be chasing you for the money you owe. Not the full premium.

If it has not come off your account and they deny getting it then its a bit harder.

Can you confirm if the if the £55 has come off your account yet?

The need to ask Hastings to break down the £789 charge to see what amounts applies to make up that figure. If it is not relatively pro rata (after cancellation fee and non-refundable costs removed) then you should make a formal complaint. The FOS expect cancellation terms on the premium to be relatively pro rata (they allow a bit of rounding and a bit more weighting in the insurers favour near the start but typically no more than a month or two out at most. i.e. if your annual premium was £1400 and you cancelled mid way through the year you would expect a cost of around £700 minus premium paid (remember premium doesnt mean add ons or credit cost).

Quentin

Fridge03 wrote: »

Basically, I had my car insurance with Hastings and everything was fine. Then I wrote off my car (didn't claim) ......

You say you didn't claim, but was any other third party involved who may have??

Fridge03

Hi all, just to clear up. To cancel the policy out of the 14 day cooling off period, a fee of £55 needed to be paid. Hence why I sent a cheque for that amount. No the cheque has not been cashed.

dunstonh

Hi all, just to clear up. To cancel the policy out of the 14 day cooling off period, a fee of £55 needed to be paid. Hence why I sent a cheque for that amount. No the cheque has not been cashed.

You have misread it. The £55 is the fee but that doesnt mean you dont have to pay any relevant premium and non-refundable addons.

Fridge03

dunstonh wrote: »

You have misread it. The £55 is the fee but that doesnt mean you dont have to pay any relevant premium and non-refundable addons.

Hi, I was under the impression (that Hastings gave me) that if I paid the premium for the month I cancelled, plus the cancellation fee, then that was it sorted. (Stupidly, I assumed no different as I've had to cancel car insurance in a similar fashion before).

At the moment, I just want to get CRS off my case. I just want to deal with Hastings.