Swinton takes money without consent

jimmy2382

Hi there

Only just registered to this site so not usre if this post is in the right thread but here goes.

I had car insurance through Swinton. The direct debits for this policy were being taken from my Halifax account (the acc I use for DDs).

The payment for febuary was returned unpaid because there was not enough in the account to cover.

Because of this, I rang Swinton and paid the ballance using a different card, registered to a different bank account, with a different bank (United Savings and Loans).

Since this time I have cancelled my policy through Swinton, but there was still an outstanding ballance.

On 14/5/13 Swinton took £125 from my USAL bank account, using the card details I had used to pay the missed DD.

My dispute is not that they have taken my money (I do owe it), my problem is that they have taken it from a different account, using card details I gave them no authority to keep on record.

When I cleared the first direct debit i was not asked if they could keep these details and use them as and when they liked.

When I rang them about this they said that they had sent a letter by recorded delivery, notifying me of their intentions. Yet they cannot provide evidence of this, despite me asking.

Can they legally keep my card details and use them as and when they like? or should i take it further (financial ombudsman)?

Any advice greatfully recieved.

Many thanks

Steve

InsideInsurance

jimmy2382 wrote: »

Can they legally keep my card details and use them as and when they like? or should i take it further (financial ombudsman)?

They can only keep them if they have told you they will and can only reuse them if they have told you they will.

The "problem" is that most insurers do state in their T&Cs that they will retain payment details and will use them. As you agreed to these terms by taking up the policy they arent required to "remind" you of them each time you provide a new payment method.

Quentin

This is buried in the Swinton ts + cs which you may have overlooked (but will have agreed to):

Where we hold credit or debit card details you have paid with, you irrevocably authorise us to charge such card any sum due under this agreement