Urgent help please with CC advice

Hash68

Good morning all. I hope someone can help us with a problem! We have a cc payment due tommorrow but I (looking at bank account online) thought the payment was not due by DD until Thursday. We don't have the money in the bank until Thursday and therefore we are going to get late charges and returned DD from both CC company (MBNA) and bank (Lloyds). This will put our really tight budget into dire straights. I know this is my fault and usually I am on the ball. We have contacted MBNA and they have said there is nothing they can do. They have suggested we cancel the DD and then only get charges from them instead of them and the bank. they seemed unhelpful. Is there anything else we could do? Many thanks lovely people, Helen.

chattychappy

By how much are you short?

If it's only a small amount you could consider putting the card into an ATM, drawing out the cash and then immediately paying it into the bank account. As cash it should clear immediately. (Pay over the counter and check with them.)

This is classic "robbing peter to pay paul" stuff.

You will get interest and a fee, but this would keep the record clean and the charges could well be a lot less than the default charges.

Obviously you don't want to make a habit of this sort of thing and no doubt some posters will scream about this. But as a one off, it could dig you out of a hole.

YorkshireBoy

Hash68 wrote: »

They have suggested we cancel the DD and then only get charges from them instead of them and the bank.

That's excellent advice, providing your bank can cancel the DDI in time.

they seemed unhelpful

Really? What did you expect them to say? "Oh never mind...just pay us when you have some money".

I'd say they have done the best they can under the circumstances, and tried to save you some money.

Do you, or a family member, have an FP enabled current account? If so, send them the minimum payment today and it should clear onto your account by close of business tomorrow.

Hash68

Thanks Chattychappy, think I will transfer funds across (just this once)! x

Kyresa

Ah yes, the joys of Direct Debit, whereas when paying on your own terms, you'd only get one charge if you were slightly late, now you'll get two as the bank can hit you as well.

chattychappy

Kyresa wrote: »

Ah yes, the joys of Direct Debit, whereas when paying on your own terms, you'd only get one charge if you were slightly late, now you'll get two as the bank can hit you as well.

Agree totally. It is ridiculous that the DD system is so antiquated that you can't cancel a DD unless you give sufficient notice. It goes back to an age of punched cards and batch runs.

No end of threads where people get into a pickle by making a manual payment only to have a DD taken anyway.

I think it's not fair that the OP, knowing that a DD will fail, rings up in advance and can't stop the inevitable outcome and its associated charges. Certainly if my idea doesn't work, I'd challenge the DD related charges (not the late fee).