Phones 4 U - Refund of Phone Insurance - £1,281!

Woottop

Please forgive if I am posting on the incorrect forum. However, I couldn't find anywhere else where this subject had been posted and I thought this may have been of some interest.

For years I've seen an entry on my bank statements for "Policy Admin Services". Now I thought this was from my Bank for holding the deeds to my property for £5.99 a month. I didn't really think about it that much as it was a small amount. Then today I had a letter from Phones 4 U asking me to review my Mobile Phone insurance for a handset I had 12 years ago with Vodaphone and for a number I had cancelled 10 years ago.

Annoyed, I called them up thinking it was my fault I'd forgotten to cancel it, not really thinking of the total cost. I didn't realise I had left this insurance policy running for insurance I was already covered for with my bank. I explained I had thought the direct debit was for banking services. With no trouble at all the guy on the other end of the phone offered me a full refund and 8% interest on the whole policy. He went off the phone for 5 minutes and then came back saying I would receive a full refund of the policy for £1,281 they owed me and it would be in my bank account in 5-10 days.

I am quite shocked I'd been so stupid for one thing, but kind of jumping for joy at an unexpected "wind fall". I had no idea that insurance would not be cancelled when your contract ends. I guess it's a bit like PPI and thought I'd share.

NFH

Woottop wrote: »

I had no idea that insurance would not be cancelled when your contract ends.

There's nothing to stop you continuing to use both the goods and the service after the minimum contract period has ended. Therefore a continuous insurance policy would continue indefinitely until it is cancelled, just like the contract for service does.

The issue here is the misleading description on your bank statement, which did not accurately indicate who the payee was.

Woottop

Yes, I think it was also because the policy was free for six months and then kicked in and I didn't receive a notice that a direct debit was being set up. Around that time I'd paid off a mortgage and asked the bank to keep secure the deeds to my property for which they charge. I'd been ticking off that £5.99 on my bank statement for years thinking it was for something else as it was unclear it was for mobile phone insurance. In a way it's money I paid out but even still getting 8% return and the unexpected money made my day.

Techhead_2

NFH wrote: »

There's nothing to stop you continuing to use both the goods and the service after the minimum contract period has ended. Therefore a continuous insurance policy would continue indefinitely until it is cancelled, just like the contract for service does.

The issue here is the misleading description on your bank statement, which did not accurately indicate who the payee was.

It's not really misleading, that was the name of the company providing the insurance and was on all the documentation.

Generally speaking direct debits have the name of the company receiving the payment listed and not what the payment is for.

For example , my prescription prepayment direct debit shows as NHSBBA.

NFH

Techhead wrote: »

It's not really misleading, that was the name of the company providing the insurance and was on all the documentation.

It didn't show the name of the company; as the OP says, it showed "Policy Admin Services". There is no company of that name.

mobilejunkie

Wow. Another person who readily accepts a direct debit going out every month for years on end without knowing what it's for. At least they noticed. I'm obviously in the wrong business. Anyone like a mystery dd from their account, just give me your bank details and I'll see if I can join the VERY lucrative band wagon!

Rusty!

In this case they accepted it because the name made them think it was for something they actually used.

If the DD was honest and actually had a more relevant name I expect they would have noticed.

Woottop

mobilejunkie wrote: »

Wow. Another person who readily accepts a direct debit going out every month for years on end without knowing what it's for. At least they noticed. I'm obviously in the wrong business. Anyone like a mystery dd from their account, just give me your bank details and I'll see if I can join the VERY lucrative band wagon!

Yes, I actually feel entirely stupid considering I once worked for a bank for 22 years. Unfortunately, it wasn't only me who found themselves in this position. I actually just found another thread on the site with 7 pages of people who had also made this mistake and been refunded £1000's.

I also sent an email out at my work just saying to look out for "Policy Admin Serv" direct debits on their bank statements and two people out of a very small company came back to me asking what to do. Hopefully, they will be able to claim back too. In one case they have paid out more than me.

I thought I'd post the contact details of the company involved 0800 331 7764 should anyone else feel that they thought they were paying out for something other than mobile phone insurance. So if that helps anyone else to get a refund of £1000 in one phone call then I'll take that and be happy to accept the criticism from your posting.

redcard

Woottop wrote: »

Yes, I actually feel entirely stupid considering I once worked for a bank for 22 years

Says it all, really.