unauthorised direct debit?

masonic

Archi_Bald wrote: »

I think you will find it can. There can either be appropriate T&Cs in the original agreement, or you can receive a Notice Of Variation (NOV) that will come into effect unless you disagree and change your method of payment, or cancel your service / account.
<snip>

I'd take a notice of variation to be a new authorisation.

Archi_Bald

I suppose it legally is, but the point I was making is that all you need to do to accept a NOV you have been advised about, and therefore to possibly authorise a DD to a different company, is - - - nothing.

masonic

Sure, although it cannot be done without notifying the customer in advance, who has the right to reject it.

Edit: and for clarity, that does not apply to any financial liability, just the direct debit agreement.

Archi_Bald

Yep, we are in violent agreement.

Most companies wouldn't do anything they are not entitled to under the T&Cs that govern the account. Unfortunately, many account holders don't bother reading T&Cs, or any updates to them.

Archi_Bald

masonic wrote: »

Edit: and for clarity, that does not apply to any financial liability, just the direct debit agreement.

LOL, you added this after I had responded. May be I misunderstand what you say but companies can sell your debt, and your liability remains the same. You just owe someone else, and you need to be told of that fact, any changes in T&Cs, and your options to settle your debts / close your account if you don't want to accept the T&C changes.

Cue the Santander examples I listed earlier.

masonic

I think you do misunderstand - I added that bit just to fend off cries that the customer cannot reject the sale of a debt like they can a change to their direct debit agreement.

masonic

...on reflection, I suppose sale of a debt might be rejected by the customer, but only through exiting the contract by settling said debt prior to the sale.

jamesd

Archi_Bald wrote: »

As it happens, I had such a NOV today. My existing DD authorisation for my Santander CC is for "Santander Cards Ltd", a distinct legal entity. This will transfer in its entirety to "Santander UK Ltd", another distinct legal entity, unless I cancel my card.

A similar example is the transfer of some cards from Santander to Newday, for which there has been a thread on here for some time.

The key fact there is that the changes are complying with the direct debit notice requirements and giving the customer a chance to either accept or reject the proposed change. Mostly that will just be agreed to because it's fine.

Other times the notification may not happen - which might have happened here - or the person won't trust a particular buyer of debt with their details and will opt not to accept the direct debit change. The latter is particularly likely when it's a debt collection business rather than the original debt owner, given the poor reputation that collection businesses tend to have.

I don't think anyone is disagreeing with the routine notice and acceptances that happen all the time. It's just that the customer isn't obliged to accept the change and they do have to be given that opportunity before the first debit can be taken.