Advice on Santander loan

firestorm908

To provide context to this thread, a couple of months ago I took out a loan in store with Santander that was interest free with no fee, so I figured why not, what harm could it do (more fool me).

Issues began when the first payment on the direct debit was taken from my account - without any prior information from Santander as to what date this would be. As it was unexpected I cancelled the direct debit (as I believed it to be an erroneous payment claim from an old, closed credit card and it had made my account overdrawn).

Having managed to trace the source of the DD payment to Santander I made the payment again same day, thinking that would be the end this issue. Alas no, about a dozen phone calls regarding an outstanding account arrears followed with numerous confirmations from Santander that they received the payment on the due date. They continued with a letter threatening Debt Collection Agencies to recover the arrears which I was not impressed with given the arrears lasted a matter of hours.

To get to the point, I submitted a complaint to Santander after I received the Debt Collection letter as I feel that I have been harrassed by them, when it was their error in the first instance that I spent time chasing to rectify in order to make the payment and received numerous phone calls / letters after making the payment demanding rectifying action on my part.
Since submitting my complaint I have received two letters from Santander, the first of which acknowledging the complaint - the date they claim to have received it was two weeks after I emailed it and have automated confirmation thereof. The second, only this week, stating that they were currently unable to resolve my complaint.

What I am after advice to is the way forward with progressing this complaint as I feel the treatment I have received is nothing short of contemptuous. I have thus far given Santander 6 weeks since submitted my complaint to them, with Financial Ombudsman stating I should give them 8 weeks within which to resolve the issue. Having never done this before I don't really know what to do once the 8 weeks expire, do I just call the Ombudsman or is there a better way?

Apples2

Not sure about firestorm, more like storm in a teacup.

Not sure what notice you were expecting from them, you had recently signed up to their product and surely to goodness was expecting a direct debit to come out.

Were you expecting a call from them before taking the money?
Going overdrawn is self inflicted, again, this DD was coming out, you weren't financially prepared for it in any case.

I see your complaint is based upon a single letter threatening DCA, which has been resolved. You now want to bring upon them the wrath of the FOS? What for?

firestorm908

Thanks for that Apples, very helpful & warm welcome to the forum there. If you have nothing constructive to add why bother?

As for what I was expecting, that would be what I was explicitly told I would receive, which is confirmation letter fromSantander!informing me the payment date. Granted this information was from the store and not the lender and maybe that was my mistake, trusting that information. But from my experience I have never had a direct debit taken from my account without prior notice of the date, hence the money not just sitting idly in the account.

With regards to the complaint, if you read my post you would know it was not just a letter. There were a dozen phone calls, often during my working hours which were disruptive and the three employees I spoke to (most calls were automated) all confirmed payment was acknowledged and had no idea why I was being harassed. I doubt many people would put up with this treatment especially when threatened with legal action.

And for the record the only thing that has stopped them contacting me is the complaint I submitted. What I am after from it is an explanation as to how and why this behaviour was allowed to continue, as I’m sure I’m not the only customer to be treated this way.

zxspeccy

I am a little surprised that a bank like Santander would call in a DCA after only one payment being missed (even if it is the first payment). Usually they would try and reclaim Direct Debit a few days later, by which time they should have seen you made the payment anyway. If banks nowadays are "sending the boys round" in situations like this then things have changed dramatically since I worked as a loans officer.
In addition I am not sure what the delays are in replying to your complaint with Santander. If the information you have given is correct then it is a fairly straight forward investigation and resolution. Santander should not be responding saying they can’t resolve your complaint (they can reject your complaint though). Refer to the FOS as if the letter from Santander is there final word on the matter then you would be entitle to escalate the matter further.

Apples2

firestorm908 wrote: »

hence the money not just sitting idly in the account.

It wasn't, you didn't have it anyway.

Santander have the poorest reputation for customer services in the UK out of the main street banks, this board (as are many others) riddled with examples of their incompetance. I would challenge your knowledge if you didn't already know this.
http://www.which.co.uk/money/bank-accounts/reviews-ns/bank-accounts/best-banks-for-customer-satisfaction/

You cancelled the DD which generated a systematic response to hasten payments. Of course, you resolved it your end quite quickly, but the wheels of missed payments were already turning.

I remain completely befuddled that someone could sign up and agree to the loan terms, but be taken completely by surprise that the first payment came out. It seems you took zero action to find out what it was all about before jumping half cocked into a DD Guarantee withdrawal.

firestorm908

zxspeccy wrote: »

I am a little surprised that a bank like Santander would call in a DCA after only one payment being missed (even if it is the first payment). Refer to the FOS as if the letter from Santander is there final word on the matter then you would be entitle to escalate the matter further.

I was quite surprised myself, which is why I complained, especially given the payment was made well over a month before the letter was received (and so the second payment was made also).

As for referring to FSO, which is what I was after advice about, thanks for that. In order to refer the complaint do I have to wait for Santander to state they either reject the complaint or state they cannot resolve without cavaets - latest letter said they would respond again within 4 weeks

firestorm908

Apples2 wrote: »

It wasn't, you didn't have it anyway.

Did I somehow offend you or are you always this obnoxious? You know nothing about my financial situation other than I went overdrawn due to an unexpected DD payment which was paid when verified.

Apples2 wrote: »

I remain completely befuddled that someone could sign up and agree to the loan terms, but be taken completely by surprise that the first payment came out.

The agreement stated the amount and duration of the payments, not the due date. How do you not understand this? Every company I have ever established a DD with informed me the payment date prior to taking it, with the exception of Santander.

Apples, this is the second rude post you have sent, please don't bother posting a third time unless you have useful content to add.

Bravehearted_2

The fact that you feel that this is harassment is your own opinion, which you're entitled to. It isn't. Fos will laugh your claim out.

It s normal for a lender to ask for THEIR money when you have failed to pay.

You said what you're after is advice on howw to progress the complaint when you have nothing to complain for. Santander will reject your complain then you have a right to go to the fos (who will then do the same).

So keep wasting all that time and effort, ok? Rather than accepting accountability for not being prepared to face your financial responsibility.

The DD rules don't require the lender to chase you for the date, the onus is on you to be prepared, which is why the fos will side with them.

jon142

Santander are utter useless you might as well get use to it during the duration of your loan.

firestorm908

Bravehearted wrote: »

The fact that you feel that this is harassment is your own opinion, which you're entitled to. It isn't. Fos will laugh your claim out.

It s normal for a lender to ask for THEIR money when you have failed to pay.

You said what you're after is advice on howw to progress the complaint when you have nothing to complain for. Santander will reject your complain then you have a right to go to the fos (who will then do the same).

So keep wasting all that time and effort, ok? Rather than accepting accountability for not being prepared to face your financial responsibility.

The DD rules don't require the lender to chase you for the date, the onus is on you to be prepared, which is why the fos will side with them.

Must say I'm slightly bemused by the reaction here. I had made the payment the day it was due so there were no arrearson the account so all contact was unwarranted - in my view the frequency of the calls was tantamount to harrassment especially as it continued for over a month after the payment was received by Santander. But then as you say that's my view, some people may not mind receiving phone calls asking for money that wasn't owed and letters threatening legal action.

As for DD rules - if they don't have to inform customers of date why do most companies do this as a matter of course?


Having never dealt with the FOS I don't know what would constitute fair grounds for a complaint but if this isn't worthy of attention then banks can get away with far more than they should (may be stating the obvious here).

CHR15

firestorm908 wrote: »

Must say I'm slightly bemused by the reaction here.

I think most of us are quite bemused by your reaction to all this.

You cancelled the Direct Debit. Making a single payment does not mean the DD has been re-instated. How would they know when you are going to bother yourself to generously give them another payment?

I'm not at all surprised they are hounding you, their loan terms do state:

Direct Debit is an automated payment system that allows you to pay off your loan easily every month. We require all our customers to have a Direct Debit set up when taking a loan with us, and most banks operate in the same way.