How long before unused direct debit lapses?

antrobus

According to BACS;

The standard dormancy period for DDIs held against Service User Numbers (SUNs) is 13 months (see section 7.2.6 of The Service User’s Guide and Rules to the Direct Debit Scheme).

Undervalued

antrobus wrote: »

According to BACS;

The standard dormancy period for DDIs held against Service User Numbers (SUNs) is 13 months (see section 7.2.6 of The Service User’s Guide and Rules to the Direct Debit Scheme).

Many thanks for that.

Is an individual bank allowed to deviate from the "standard" and, if so, are they required to advise a customer before cancelling the DD?

Hazzanet

Undervalued wrote: »

Is an individual bank allowed to deviate from the "standard" and, if so, are they required to advise a customer before cancelling the DD?

The bank doesn't deviate, the Service User (Originator) applies to do so. Where I work, we have it set to 23 months.

Hazzanet

7.2.6 Dormancy

All paying banks hold details of payer DDIs on file for a minimum period of 13 months from lodgement of the DDI in the event of no collections or from the date of the last collection i.e.length of time in calendar months after which a paying bank will drop details of a DDI because no Direct Debit has been collected.

A service user requiring all DDIs under a SUN to be held for more than 13 months, from either lodgement or last collection, must apply to its sponsor. <<Snip>>

Undervalued

Many thanks.

So, if I read that correctly the bank should have paid any DD requested within 13 months of the last payment?

It seems they either didn't or the CC company failed to properly request the payment.

How do I get to the bottom of this as it seems each are trying to pas the blame onto the other?

matttye

I hope you manage to get the adverse information removed from your file, but you should take this as a lesson learnt to check your bank account regularly. If something hasn't gone out when it should, get onto the company straight away!

Steve059

jonesMUFCforever wrote: »

Why would you ring back and ask the same question twice?

Because with a bank, building society, credit card company, train company, DVLA and HMRC, the balance of probabilities is that the answer you've just been given is wrong.

Hazzanet

Undervalued wrote: »

How do I get to the bottom of this as it seems each are trying to pas the blame onto the other?

I wouldn't muck round with the call centre. While they're all nice people and can deal with the majority of queries, when you need to get down to the nitty gritty of a BACS problem, they're undertrained and will tell you anything to get you off the phone.

Write to the BACS Department at the bank asking the date in their audit log that either:

A '19' transaction was received from the Service User
OR
An '0C' transaction was received from the Service User
OR
The bank set the DDI as dormant.

That should cover all eventualities.

(19 = last payment, when successful, close the DD down, 0C = Cancel the DD without taking any money)

Undervalued

matttye wrote: »

I hope you manage to get the adverse information removed from your file, but you should take this as a lesson learnt to check your bank account regularly. If something hasn't gone out when it should, get onto the company straight away!

Yes, up to a point!

In this case the amount was really quite small, which makes it even more annoying. Plus, if it is necessary to check every time then I may as well just have not had a DD and simply paid manually.

To compound the problem the CC company have twice deliberately backdated letters by several days (as proved by the postmarks) to appear to have complied with their own complaint handling process! Is that a disciplinary offence?

matttye

Undervalued wrote: »

Yes, up to a point!

In this case the amount was really quite small, which makes it even more annoying. Plus, if it is necessary to check every time then I may as well just have not had a DD and simply paid manually.

To compound the problem the CC company have twice deliberately backdated letters by several days (as proved by the postmarks) to appear to have complied with their own complaint handling process! Is that a disciplinary offence?

Fair enough. I check every transaction on my statement and chase my creditors the next day if money doesn't go out on the day it's supposed to, but I know not everyone has as much free time as me

You should keep the envelopes and letters to hand and then if you decide to complain to the OFT/FOS, you can include that with your other complaints. It at least brings the honesty of the company into question.