Possible ID fraud?

Jenna_of_Usk

My son (22) found he'd had an unauthorised withdrawal from his bank account. The bank said he should contact the loan company who took the money (he'd never heard of it, let alone asked for a loan). He rang the company, who said his details didn't match their records & that he should write requesting a refund. He did & they've ignored it. We don't know how to proceed & are worried they'll take more money from his account this month.

Thank you

Apples2

Any idea who took the money at all?

anniecave

How was the money taken from his account? by direct debit? by debit card payment?

If he's sure it isn't a genuine transaction, and it was by direct debit then get back onto the bank and ask them to cancel the direct debit, and ask for a refund of the payment via the direct debit indemnity scheme

Cow_Dung

Jenna_of_Usk wrote: »

My son (22) found he'd had an unauthorised withdrawal from his bank account. The bank said he should contact the loan company who took the money (he'd never heard of it, let alone asked for a loan). He rang the company, who said his details didn't match their records & that he should write requesting a refund. He did & they've ignored it. We don't know how to proceed & are worried they'll take more money from his account this month.

Thank you

Firstly as asked if this has been taken by a direct debit then it is covered under the direct debit guarantee scheme, basicaly the money taken was not authorised by your son thus making this a problem for the bank to deal with they must seek to reimburse the full amount within a set period of time and then recoup the amount from the company directly.

If the bank say that this is not down to them then refer them to the direct debit user guide that states this is to be refunded by them in full and also make sure that the direct debit is canceled straight away.

1.4 The Direct Debit Instruction
The Direct Debit Instruction – design
The Direct Debit Instruction (DDI) is the method by which service users obtain the payer’s
authority and account details to debit his account. The design of the DDI must follow the
prescribed format and be agreed by the sponsor. Refer to section 3 ‘The Direct Debit
Instruction’.
The Direct Debit Guarantee
The Direct Debit Guarantee is offered by the paying banks as an assurance to payers that:

·

In the event of error they will be immediately refunded by the paying bank

·

Advance notice will be given before collections are made

·

They may cancel the DDI at any time.
The Direct Debit Guarantee must be issued to the payer with the DDI or the advance notice.

You need to ask the bank for a indemnity claim form.

1.10 Indemnity claims
Paying banks will refund the payer in the event of an error. If the error is made by the service
user, paying banks will use the indemnity claim process to reclaim the refund from the service
user.
All indemnity claims must be settled within 14 working days of the date of the claim. An
automated process for the submission of and settlement of indemnity claims was introduced in
October 2010 and all banks must migrate to this automated process by 30 April 2011. During
this migration window service users may receive indemnity claims in paper form or via the new
automated process. See section 11 for further details.
The service user may in certain circumstances raise a counter claim. Refer to section 11.2
‘Valid counter claims’.
Where the paying bank has made a payment in error, it may send a

refund request form to the
service user. The service user may settle this at its discretion.

If they say it is not a direct debit and was done by a debit card then there will be certain rules that cover fraud as well but the bank would still need to assist you with it.

If all fails write to the company and tell them they have 14-21 days to make a full refund otherwise he will issue legal proceeding against them.