You cannot pay me.

MoveOver

You would expect your Bank to take security measures to protect your money from being removed, wouldn't you? But what would you think of an Investment Business that tried to stop you paying your money in? "For Security Reasons"!!

I was a Lloyds TSB Customer for 14 years and had opened an investment account with Scottish Widows. Lloyds TSB then got into financial difficulties and closed some of their branches. My account was transferred to another Branch. In the following three months I had complained about three major Bank errors. Add to that the growing numbers of customers in the queues and I decided to change my Bank. I chose to automatically transfer to the Royal Bank of Scotland. Everything appeared to go very smoothly.

In the next two months I had three more major Bank errors. Also the RBS Customer Service left much to be desired. So I decided to change my Bank again. I opened an account with HSBC and asked them to automate the transfer of Direct Debits and moneys from RBS. It was the 1st of October and HSBC told me that the move would be completed on the 27th.

Following their instructions I returned my RBS debit card. I explained to them that I had opened a new HSBC account and they would automate the transfer of Direct Debits and any monies. I took pains to explain that I had left sufficient funds in my RBS account to pay any Direct Debits due. I also provided my telephone number in the event that there might be any problems.

That night I was adnitted to Derby Royal A&E and was released on Sunday 9th October 2011. I found post at home. The first letter was from RBS stating that on the day I had handed in my Debit card they had transferred all the money to HSBC. Another letter explained that later on the same day they had returned two Direct Debits with the message that there was insufficient funds in the account!! Then they had closed the account.

It was immediately apparent to me that all other Direct Debits due before the 27th November would receive the same treatment and on Monday the 10th November I visited HSBC and explained the urgency of the problem. I was assured that the Bank would complete the Direct Debit transfers as a matter of the utmost urgency.

On Friday 14th I received a long distance phone call. The static interference and low volume, coupled with a strong Asian accent and poor English language skills made the conversation difficult but in the end I understood that all the Direct Debits had been set up and would be active on Monday 17th November.

However, on Tuesday 18th I received a phone call stating that my Broadband and Telephone services would be cut off if I did not pay the Direct Debit by 1700 that day!!. Also a letter from Derby Homes stated that, as I had failed to pay my Rent by Direct Debit they would be placing me on their arrears list and would be taking action to evict me unless I paid within 48 hours. Also a letter from my Gas and Electricity supplier stating that as I had failed to pay the Direct Debit my bills would be doubled for at least six months to ensure that I would have sufficient credit to cover any future missed monthly payments.

I was forced to draw money from my Building Society reserves to pay off the urgent debts. I also paid some Invoices by HSBC Debit card and used the telephone to inform everyone of the new HSBC Bank details. I then visited the HSBC Bank where I was unable to obtain sufficient information to determine which Direct Debits had been paid. Eventually I saw a Customer Service Advisor who used great charm, smiles and patience to explain that all the Direct Debits had been set up and were "Pending". I asked what "Pending" meant and was told that all accounts were on hold "Pending" the changeover date of 27th October!!!

I had more irate phone calls from Businesses who had applied to the HSBC Bank, using the details that I had supplied, but their requests for payment had been refused, because the accounts were set up but "Pending" activation on the 27th October

Only one Business showed that they understood the meaning of Customer Service. Seven Trent Water wrote to inform me that they had not received the Direct Debit payment and had added it onto next month. Well done Seven Trent Water.

On the 28th October I visited HSBC and spent three hours with a Manager because some Direct Debits were not listed and some were still "Pending". I was now told that the "Pending" accounts would remain pending until the businesses requested payments. Had I informed all the businesses that they would have to request payment to activate their Direct Debits? No, I had not. Because I had requested an Automated Transfer. Had I known that the Bank expected me to do all the work it would have been completed weeks ago.

Today is the 7th November and I am still struggling to solve problems created by Direct Debit payments that were refused. Specifically a Direct Debit payment to Scottish Widows was not made. The Direct Debit has now been successfully transferred to HSBC but the October payment is missing. Scottish Widows would like a cheque. Unfortunately I did not ask HSBC for a chequebook. In the last 18 years I have only written three cheques. I therefore did not consider it economical to order a cheque book. Other Businesses allowed me to pay the missing amounts in cash, or by Debit card or by Credit card. Not Scottish Widows.

I rang them to ensure that they had the new HSBC account details but "for security reasons" they could not accept the new Bank details over the phone. Nor could they accept payment by Debit or Credit card. "For security reasons."

I visited HSBC Bank to ask them to make a Bank Transfer. They rang Scottish Widows who asked all kinds of Security questions and then explained that they could only accept a Bank transfer from LLoyds TSB or Halifax BS. "For Security Reasons." I took pains to explain to Scottish Widows that if they knew of anyone who wanted to pay money INTO my account they had my approval and to please not allow "Security reasons" to get in the way. The irony was lost on them.

I visited Lloyds TSB and explained the problem. I offered to pay the money to the Bank if they would then transfer it to Scottish Widows. Lloyds TSB rang Scottish Widows who carried out all their security checks and then said they could only accept money from Lloyds Bank if I had an account with them!! In desperation I offered to open an account with Lloyds TSB, pay in the money, write out a cheque to Scottish Widows, and immediately close the account.

The Lloyds TSB customer service advisor said it would take about a month to arrange. She then rang Scottish Widows again and suggested that they should add the missing payment onto the November DD request in nine days time. Scottish Widows replied that they needed a letter of agreement from me and they would need a months notice. So I have written today giving them authority to draw double the usual payment in December. Which means that it will be the end of January before I can be certain that they have carried out the instructions correctly.

The automated transfer from LLoyds TSB to RBS took ten days. The "Automated" transfer from RBS to HSBC will not be completed for 4 months, has given me dangerously high Blood Pressure, stress, anxiety, frustration, and anger. It has meant daily phone calls, daily travel to the City and back, hours waiting for interviews and more hours writing letters. So if you read anywhere that changing Banks has now been automated to make it easy for the customer, just be sceptical.

le_loup

If you do a precis of your novel, it might be readable.

tagq2

tl;dr Don't rely on the BACS automated DD/SO switching service for your real current account. Also keep a valid cheque book around as you never know when one will come in handy.

noh

Also don't give instructions to close an existing account until the new one is up and running.

System

Whilst I don't doubt what you say; it all seems a bit OTT.

[Summary]

• Firstly, you've changed banks because you have been uphappy about the service and have experienced Direct Debit issues.
• Secondly, you've received poor service by Scottish Widows.

HSBC use overseas call centres; if your understandably unhappy with this move to another provider and ask them e.g. NatWest or Halifax.

As for the failed direct debit issues, you may want to take it with the relevant banks. However speaking from personal experience it can also be due to the companies not setting up the change; I also found them reasonably flexible about taking other forms of payment e.g. funds transfer, PayPoint or Debit card.

As for Scottish Widows. They are an insurance company and need cheque payment. You could have sent for a cheque book, asked your building society for a cheque or even your new bankers would have been able to issue some form of cheque/draft for free or a small fee.

MoveOver wrote: »

You would expect your Bank to take security measures to protect your money from being removed, wouldn't you? But what would you think of an Investment Business that tried to stop you paying your money in? "For Security Reasons"!! ...

Mikeyorks

For goodness sake - it's long enough as it is. Without unnecessarily copying the entirety of it into a response!

JuicyJesus

I'm interested to know how two banks between them made SIX "major bank errors" when I've never experienced a single one in my life.

notts_phil

Wow I need a stiff drink after reading that novel.

WhiteHorse

Sigh. Aren't computers wonderful? It all went smoother and faster when it was a little guy with jam jar glasses, a card index and a telephone.

esuhl

le_loup wrote: »

If you do a precis of your novel, it might be readable.

Yeah - with a post that long a summary at the beginning would be helpful. I was going to read it, but I probably wouldn't have any suggestions to help you anyway so I didn't bother.