Car Insurance Rip off - Close Premium Finance

Getoffmycloud

I wonder if you could help me with a problem I am having with my insurance company, which is through Close Premium Finance. I took out the insurance in June last year and quickly realised they wanted the payment on the 25th of every month and I don't get paid until the 28th and I was getting charged £25 every time I missed a payment. I wrote to them and explained the situation and they wrote back changing the date to the beginning of the month. Perfect, no problems for a few months. Then in January they decided to take the payment in the middle of the month and I get another charge. I emailed them about it and said it was their mistake and asking for the return of the £25 charge. They never replied so I sent a letter. They still haven't replied. This month they've done exactly the same again and guess what another £25 charge. The charges are more than the cost of my insurance so this is costing me a fortune. Can they get away with this? Any idea what I can do when they are ignoring my letters?

vics1928

They are a nightmare we had home insurance with them and phoned up to cancel all well and good will be cancelled...moved and saw the dd come out of the bank and so phone up and be told no was never cancelled..no note on account so pay the £32 cancellation charge...never dealing with them again

Getoffmycloud

I wont anymore when this insurance is over. Just one more payment after this month thankfully. Just so annoyed I have paid them so much in charges. Surely it doesn't cost them £25 to send a letter out everytime.

McKneff

What you should have done is keep payment in your account when you got paid until the time it was due to be paid the following month. I know it feels as if you are paying in advanct but its better than all the 25 quid charges.

Getoffmycloud

Hi McKneff but the point is they are taking the money when they shouldn't be. They agreed to take it out on the 3rd of the month and I always have money in my account then. Instead they are leaving it another two weeks. Surely that is illegal isn't it?

FireWyrm

Getoffmycloud wrote: »

Hi McKneff but the point is they are taking the money when they shouldn't be. They agreed to take it out on the 3rd of the month and I always have money in my account then. Instead they are leaving it another two weeks. Surely that is illegal isn't it?

No, nothing wrong with it. It is up to you to ensure you have sufficient funds on hand to cover the DD when it is presented. The fact that they take it on the 3rd, 4th, or 25th of the month is entirely irrelevant. The 'fee' you are experiencing is for a bounced DD isnt it and will be clearly detailed in the Ts&C's. I'm pretty sure I've seen a similar thing in most policies I've ever had. A £25 fine is rather excessive though as the fees are only supposed to reflect the actual work involved in dealing with a bounced payment. It isnt however, illegal and I doubt you'll get awfully far with this as a complaint, but there is nothing to stop you trying anyway.

McKneff

Getoffmycloud wrote: »

Hi McKneff but the point is they are taking the money when they shouldn't be. They agreed to take it out on the 3rd of the month and I always have money in my account then. Instead they are leaving it another two weeks. Surely that is illegal isn't it?

I understand what you are saying, but if its there on the third, it should still be there on a date 2 weeks hence, just keep more of a check on your banking online, spending 5 minutes a day to save yourself all this money is time well spent.


Lol, hardly illegal. So what you are saying is that if they don't take it out on the 3rd, you spend it....??

DaveL84

Did you take the insurance through a broker? I used to work for a few insurance brokers who used CPF and they are a nightmare to deal with, but if you did arrange through a broker call them and explain the situation that they took the payment on the wrong date and they may be able to persuade they to remove the fee this time.