Direct Debits taken before credits credited

glitzy

Hi it must be the week for A/L - as i am in a similar situation, i do have an overdraft but a dd came out early and i was £5 short, but A/L did pay it and charged £25 - my letter does say there might be further costs on my statement! I would defo challenge them as it seems 1 rule for one etc - you were only £1 short!

I phoned the dd company and they said they will refund the money if i send the statement with charges on it! we will wait and see.

Good luck x

iceicebaby

Whether the bank will pay the DD and then charge you or not pay it and charge you depends on the type of bank account you have. The poster above may have a different type of bank acount that the OP

[Deleted User]

iceicebaby wrote: »

Regardless of whether the debits are collected first and credits last are down to "computer codes" or whatever, it is STILL in the terms and conditions of your account that money for DD has to be in the account and cleared the banking day before the DD is due.

Good luck on recaliaiming the charge tough, i hope it works for you

On page 469 of your bank account terms and conditions it says "user must eat poisoned fugu fish"

I dont see you eating your fugu fish!!!

I wrote under the managing director of alliance and leicesters aston martin, "if this car isnt washed in a week then it becomes my property if you agree to this do nothing", thus now I can legal take it without his consent or that of a court, ive got my crow bar ready, ive just got me a free AM im chuffed.

[Deleted User]

Another way to get your money back from A+L, would be to close your bank a/c down every 3 months and start it again to get teh bag bonus.

I recon 150 quid is fair compensation

iceicebaby

Yant1 wrote: »

On page 469 of your bank account terms and conditions it says "user must eat poisoned fugu fish"

I dont see you eating your fugu fish!!!

I wrote under the managing director of alliance and leicesters aston martin, "if this car isnt washed in a week then it becomes my property if you agree to this do nothing", thus now I can legal take it without his consent or that of a court, ive got my crow bar ready, ive just got me a free AM im chuffed.

If there was such a T&C on a bank account saying this, clearly I wouldnt open an account there!

DUH??

Hapless_2

anansi69 wrote: »

Thanks for all the responses. I think I may be moving my business to a more amenable bank. I'll check out the HSBC & Yorkshire- thanks for the tips.

If 3 dd bounce with an HSBC basic account they close it.

anansi69

Yant1 wrote: »

On page 469 of your bank account terms and conditions it says "user must eat poisoned fugu fish"

I dont see you eating your fugu fish!!!

I wrote under the managing director of alliance and leicesters aston martin, "if this car isnt washed in a week then it becomes my property if you agree to this do nothing", thus now I can legal take it without his consent or that of a court, ive got my crow bar ready, ive just got me a free AM im chuffed.

I've just got to say- this is the best reply I have ever had in a forum :T Just the right balance of humour, but hiding a very valid point! THANKS for making me smile amid the banking system's rule book!

anansi69

iceicebaby wrote: »

Regardless of whether the debits are collected first and credits last are down to "computer codes" or whatever, it is STILL in the terms and conditions of your account that money for DD has to be in the account and cleared the banking day before the DD is due.

Good luck on recaliaiming the charge tough, i hope it works for you

I would like to meet just ONE person who has read through (& understood) ALL the pages of terms & conditions, AND worked out all the (sneaky) ways it may impact on their finances.

I don't deny it says...
20.1 We do not have to carry out transactions on Your Account in any particular order.

BUT I would never have realised (even if I had read it) that this situation would arise. THIS is the crux of my matter- for the sake of £1- NEVER having been a penny overdrawn before EVER!

amazamum

YorkshireBoy wrote: »

Not all banks do this. For example, my own bank (Yorkshire) don't.

Why sail so close to the wind? If you really must, then get yourself an overdraft facility to cover such situations. You won't incur any interest, but they'll 'technically' use it to cover the payment out should they process debits before credits.


Finally, they do warn you of this in the T&C's...

http://www.alliance-leicester.co.uk/currentaccounts/ec03964.pdf

No but the Yorkshire take out a DD on a friday when it is not due until monday,(luckily there was money in the account).

YorkshireBoy

amazamum wrote: »

No but the Yorkshire take out a DD on a friday when it is not due until monday,(luckily there was money in the account).

I thought we'd cleared up that little misunderstanding on your own YB thread. Have you read it? :rolleyes:

YB don't "take out" the DD on a Friday when it's due on a Monday. YB simply reserve the money for the DD when they process Monday's transactions on a Friday night/Saturday morning. Again, this is done to stop you spending money you cannot physically replace in time for the DD (and other) payments scheduled to leave your account on MONDAY!!!!!. You're even earning interest on this money (albeit at 0.1%) over the weekend, so how can they "take it"?

Furthermore, if your wage (in the form of a BACS direct credit) is due on Monday you can spend it on Saturday because your available balance has been updated on Friday night/Saturday morning.

It works both ways you know!

Do you see now?...or have I wasted my time explaining it for a second time?