Help - unauthorised debit card transation

Geminimum

I called Halfax as there was a payment taken from my account for over £175 from Swinton. I normally had a DD with them but had to cancel it and was going to make the payment by card later on (normally £46). They have been givenm my card details over the phone before for one off payments.

They have never asked me if they can keep the card details on system or notified me that they would. I have not received anything by post asking for a larger payment and Halifax have said I have to contct them for a refund and that they have 15 days to refund this to me.

However I am on a DMP and have to budget carefully and this is money earmarked for bills that need paying.

Can they legally keep and use my card details without authorisation?

Thanks :mad::mad:

grumbler

They can keep, but they cannot use.
What did Halifax say? If you told them that the transaction wasn't authorised, they should have reversed it.

SPELLKASTER

I would also report this matter to the Financial Ombudsman Service who will investigate this matter on your behalf.

ILW

Are you sure you did not authorise the payment as part of an ongoing contract?

StuC75

Is the £175 for insurance renewal as a Continual Payment Authority - most companies - do advise that details will be held for such payments to be taken or for any mid term adjustments on a policy. Basically stops forgetfull people lapsing insurance cover..

Did you cancel your renewal? Have you sought out alternative cover?

If its ongoing cover they have had to take the payment to stop your insurance being cancelled...

agrinnall

SPELLKASTER wrote: »

I would also report this matter to the Financial Ombudsman Service who will investigate this matter on your behalf.

Any complaint to the FOS at this stage will be rejected so that's poor advice.

OP, you have to give Halifax a chance to resolve this first - as grumbler says, they should refund in the first instance if you say the transaction wasn't authorised (although it could be taken again if Swinton have a legitimate reason to ask for it). If Halifax don't do as you request then you have to use their complaints process, and only if they don't answer your complaint satisfactorily (or within 8 weeks) can you use the FOS.

The same applies if you wish to complain about Swinton. You could also contact the Information Commissioner's Office about their retention of your card data, but you'll need to consider the points other posters have raised about whether they have a need to keep it at least temporarily.

grumbler

agrinnall wrote: »

... (although it could be taken again if Swinton have a legitimate reason to ask for it).

AFAIK authorisation is the only legitimate reason for taking a debit card payment (this includes CPA).

the_insider

grumbler wrote: »

AFAIK authorisation is the only legitimate reason for taking a debit card payment (this includes CPA).

If they can provide evidence of authorisation (including implied authorisation) they can take the payment again.

whitewater_2

more and more companies have it in their contracts now that they can do this and signing the contract gives them the authority.

dalesrider

Be very careful asking Halifax to reclaim that payment from Swinton.

Reason being Swinton will revoke/cancel the insurance.

You will then have to declare this for ANY insurance you take out in the future.
I dread to think how much they load for anyone that has had a policy revoked.......

Far better to find out exactly why Swinton have taken the £175. But I guess that, as you cancelled the DD (did you advise them of this), that they have taken the balance of the loan that is owed...
Monthly ins is just a loan that is taken out to pay the policy in full at the start of the policy.