Charged for missing direct debit

js1984

Hi, i have paid my minimum payment by debit card as i have done before, but this time they have charged me for missing a direct debit and then again for going over the credit limit.
On the statement there is the option for paying by card online.
Can anyone help as i'm not sure i have been rightly charged.
I have rang up and i just accepted what they said (that they take the direct debit regardless if i have paid by card):) but after the call i remembered i have paid by card before and then saw the option on the statement, just wanted some guidance before i called again.

Thanks:)

YorkshireBoy

There's a glaring omission from your post.

Can you guess what is is?

Clue: Not all card providers operate the same way with regard to collection of DDs following payment by other means...and when said payment was made.

js1984

its with vanquis, payment is on the statement as being recieved on the 9th and then they have tried again with a direct debit on the 15th.

YorkshireBoy

They've either changed the rules, or it's a timing issue (there were only a couple or three working days between Tuesday 9th and Thursday 12th when they'd have to submit the batch file to BACS. Maybe they need 7, rather than 5, working days (before collection) notice? Check back over recent months and see if you paid sooner, ie more than 5-7 working days before the DD collection date/payment due date.

Your "Important: confirmation of direct debit instruction" letter will clarify. Do you still have it?

SnowTiger

js1984 wrote: »

its with vanquis, payment is on the statement as being recieved on the 9th and then they have tried again with a direct debit on the 15th.

Direct Debits take three days to process, presumably that excludes weekends and holidays. So, in reverse order:

Day 3 (Monday, 15th): the money is transferred from your account to Vanquis';

Day 2 (Friday, 12th): payment details processed;

Day 1 (Thursday, 11th): payment request submitted.

So, Vanquis would have began the DD process on Thursday, 11th.

According to Vanquis, Debit Card payments take 3 to 5 working days to process.

So, it appears that the processing of your Direct Card payment and beginning of the three day Direct Debit procedure overlapped.

IIRC credit card companies are (now) suppose to apply credits on the day they're received, however they may not be processed immediately, meaning that they are often, effectively, back-dated.

In the 21st century you'd expect things to be quicker.

I'm not sure why you've been charged for missing the Direct Debit. Was there insufficient funds in your bank account to cover it?

What can you do about this? A letter of complain to Vanquis might get things sorted out.

JuicyJesus

If you have a Direct Debit set up for the minimum payment, on pretty much ALL credit cards (not just Vanquis) they will take that payment regardless of how much is owing.

It's your fault, I'm afraid.

YorkshireBoy

SnowTiger wrote: »

According to Vanquis, Debit Card payments take 3 to 5 working days to process.

Their FAQ...

http://www.vanquis.co.uk/faq

...says 2-3 days.

I suspect the information on their site is out of date though, because they also say that online/telephone banking payments take 3-5 days (maybe you got 3-5 days from there?)...and they haven't taken that long since the bad old days of BACS Transfers, ie pre FPS.

SnowTiger

JuicyJesus wrote: »

If you have a Direct Debit set up for the minimum payment, on pretty much ALL credit cards (not just Vanquis) they will take that payment regardless of how much is owing.

It's your fault, I'm afraid.

Ah, yes. OP has mentioned being pushed over their credit limit, which suggests they didn't pay the statement balance in full.

Yes, if you don't pay in full, most (maybe all) Credit Card providers will take the Direct Debit payment, however most will adjust it to ensure you don't pay more than the balance on your last statement.

SnowTiger

YorkshireBoy wrote: »

Their FAQ...

http://www.vanquis.co.uk/faq

...says 2-3 days.

I suspect the information on their site is out of date though, because they also say that online/telephone banking payments take 3-5 days (maybe you got 3-5 days from there?)...and they haven't taken that long since the bad old days of BACS Transfers, ie pre FPS.

I recently change my Vanquis Direct debit, so it's paid from my Halifax account instead of my Santander one. I was desperate to hold on to that extra fiver from Halifax every month. :rotfl:

Coincidentally, their confirmation letter arrived today. On the back it says "Allow 3-5 Working Days" for Debit Card payments.

Anyway, paying close to the statement date is often like playing Russian Roulette.

JuicyJesus is probably correct if OP didn't pay the balance in full.

js1984

thanks. i will try and find the confirmation instruction. should have it somewhere.