NPower Direct Debit 'theft'

kiwi365

I switched away from NPower in July following a 12 month complaint over a meter change which the ombudsman finally resolved. We had paid up in full and I cancelled the direct debit at the bank.

However, I just noticed in Sept (2 months after switching away) they had created a new DD in Sept and took £140 out of my account (verified by my bank). I complained straight away and was told it was a technical error and it would be paid back in 3-5 days (it still hasn't). They say they can't delete my bank details as my account with them is 'closed' which doesn't seem to prevent them from taking money.

I've started an official complaint with them about it as it seems very wrong to me that they are able to create a DD for someone who is no longer a customer, their account is closed and has given no authority for it to happen. What if I was in desperate need of that money? For some people that could be the difference of feeding the family or not. Its not money which is owed it is just a random value the 'technical error' has taken.

I've tried to find out from various places whether they have broken any laws or regulations in doing this but no one can tell me anything other than 'go through their complaints procedure'.

Does anyone know whether they have violated anything by these actions that I could pursue?

(Also, in addition, if you have been a customer of NPower at any point with a DD please check your bank accounts, I was told this 'error' had affected 'several' accounts, one could be yours!)

Any help / advice anyone can offer will be very gratefully received!
Thanks

Cardew

Welcome to the forum.

The bank must refund that money to you under the Direct Debit Guarantee.

The merits of your case are irrelevant to the bank, they have no option but to refund you.

kiwi365

Thanks for that info, its slightly disappointing that I've been into the bank twice to speak to them about whats happened and they never advised me of that

yangptangkipperbang

1. If you think it is "theft" go to the police.
2. You had previously signed up to a direct debit - how come you don't appear to know the terms of what you signed up to ?? Like here:-
http://www.directdebit.co.uk/DirectDebitExplained/Pages/DirectDebitGuarantee.aspx

ValHaller

kiwi365 wrote: »

Thanks for that info, its slightly disappointing that I've been into the bank twice to speak to them about whats happened and they never advised me of that

Well, go in again and don't let on you know and let them fob you off. Then call a manager and make a complaint. Banks are all too adept at fobbing people off on Direct Debits. Your rights under the Direct Debit Guarantee are fundamental to the workability of the Direct Debit System

Cardew

As said above - by all 3 posts - the bank must refund you under the DD Guarantee.

However are you sure that Npower have created a NEW DD, as opposed to resurrecting your old DD?

If so that is a more serious matter for NPower to explain. A DD mandate must be specifically authorised by yourself.

joncombe

The same thing happened to me. I.E. Npower issued a new bill afrer my account is closed and although I cancelled the Direct Debit they set it up again and debited money from my account without my permission. I got it back same day from by bank but I would urge you to complain to your bank about it. This will hopefully force Npower to address whatever it is in their system that seems to think it is OK to set up a new Direct Debit when the (former) customer has cancelled it.

undaunted

As advised above go to your bank and tell them you wish to make a claim under the direct debit guarantee. They will take the money back from Npower. http://www.directdebit.co.uk/DirectDebitExplained/Pages/DirectDebitGuarantee.aspx

Whilst it would probably take a lot to "cut off" a co. the size of Npower, in theory if they get enough complaints a bank could withdraw their DDI facility

scaredofdebt

Report them to the Data Commissioner for breach of the Data Protection Act:

https://www.ico.org.uk/Global/contact_us

If they can't delete your bank details, then arguably they are breaking the law.

ska_lover

NPower, does anyone have a nice thing to say about then? they really are a bunch of !!!!!!

macman

Did you cancel the old DD after your final bill? Only you can do that, not the payee. If you don't, then there is always the chance that they can draw on it again. If it's still in place, all they do is stop drawing on it, but it remains active.
If the bank created a new DD (which is highly unlikely) then the error is with the bank, as they can't do that without your approval.