Lloyds Standing Order confusion!!

l_go

Hi

I'm new here so apologies if I'm posting on the wrong section!

I have 2 accounts with Lloyds, account 1 where my wages are received and after advice from Lloyds staff I have account 2 where my bills come from.

I am paid on 25th of each month into account 1 and Lloyds staff set up a SO to come out of account 1 to account 2 on 25th to cover bills.

I set up a standing order on Lloyds account 2 to also come out on 25th to pay my rent (HSBC a/c).

Last month my payment for my rent didn't come out until 26th and nothing was mentioned by Lloyds.

This month, the standing order from a/c 1 to a/c 2 didn't happen until 27th, which I understand is becasue SO at weekends come out on the next working day (27th).

I expected this to happen with my rent money, but it didn't happen.

I called Lloyds and they told me the money hadn't come out of a/c 2 because I didn't have the money in the account the day before. I was told on the phone I wouldn't be charged.

If I am supposed to have the money in my account the day before, why have all my SO on a/c 1 been ok?

I understood this would almost act like a daisy chain and when the systems update, a/c 1 would send to a/c 2 and a/c 2 would send to hsbc. Is this wrong?

I've now had a letter to say I'm being charged £10 even though the lady on the phone said I hadn't been!

Sorry, one last questions...do the bank charges show up on credit reference agencies? Looking to try for a mortgage in the next 12m so don't really fancy it showing this.

If anyone could help clear up my confusion I would be grateful.

Btw, I'm changing the SO to come out on 26th to try and remedy this for next month.

To me Lloyds seem to have gone down hill recently which is a shame. Considering some of my tax has bailed them out I would love to send them a £10 charge for going overdrawn!:rotfl:

Many Thanks

L_go

jonesMUFCforever

Standing orders will not go out unless there are monies to cover them. The bank will try again the next day and send if enough monies.
You could well have a charge for an unpaid standing order.
Why not cancel the standing order and set it up as a bill payment on internet banking - the only thing to remember is that you have to send it by faster payment manually every month.
The only other alternative is to maybe shift the dates of the standing order to make sure your salary has been received.

Gromitt

I can't answer why one account decided to charge you and another didn't, but it's very risky having multiple SOs on the same date. At least have them 1 day apart - so your paid on the 25th, first SO on the 26th, second SO on the 27th, but you need to also take notice of weekends and bank holidays.

I'm paid at least 1 working day before the 25th to ensure the money is in the account by the 25th. So this month my account was credited on the 24th. I manually move my bill payment money each month to my bill payment account (Just in case of late payment). No bill is paid until the 1st at the earliest for the same reason.

jennifernil

l_go wrote: »

I have 2 accounts with Lloyds, account 1 where my wages are received and after advice from Lloyds staff I have account 2 where my bills come from.

I am paid on 25th of each month into account 1 and Lloyds staff set up a SO to come out of account 1 to account 2 on 25th to cover bills.

I set up a standing order on Lloyds account 2 to also come out on 25th to pay my rent (HSBC a/c).

Last month my payment for my rent didn't come out until 26th and nothing was mentioned by Lloyds.

This month, the standing order from a/c 1 to a/c 2 didn't happen until 27th, which I understand is becasue SO at weekends come out on the next working day (27th).

I expected this to happen with my rent money, but it didn't happen.

I called Lloyds and they told me the money hadn't come out of a/c 2 because I didn't have the money in the account the day before. I was told on the phone I wouldn't be charged.

If I am supposed to have the money in my account the day before, why have all my SO on a/c 1 been ok?

I understood this would almost act like a daisy chain and when the systems update, a/c 1 would send to a/c 2 and a/c 2 would send to hsbc. Is this wrong?


Many Thanks

L_go

Lloyds have given you bad advice in my opinion. Did they not make you aware that even internal SOs are not paid at weekends?

Why have 2 accounts at all? Just leaves more possibility of something like this happening.

If you need to keep your bills money separate so you don't spend it, rather send a set amount of spending money on to account 2, and leave the bills to be paid out of the account your wages come into.

What happens if the 25th is on a weekend or holiday, are your wages paid early?

Even if they are never later than the 25th, I would not set up any SOs for earlier than the 26th, even better would be to allow a few days inbetween.

Mikeyorks

l_go wrote: »

I understood this would almost act like a daisy chain and when the systems update, a/c 1 would send to a/c 2 and a/c 2 would send to hsbc. Is this wrong?

Totally wrong. You view them as a/c 1 and a/c 2 ..... the update system might view them the other way around. How does it know you have a dependency on a/c 2 being funded first?

Never ever use SOs for time critical transfers. They are unreliable, as they don't work weekends or Bank Holidays. Login and move the money manually. An internal transfer between the accounts and a bill payment for the rent. That way you know the money is in the right place first. Takes 5 mins overall.