VirginMoney Card: Paid monthly bill but DD still taken in full!

Scientomology

I got a VirginMoney card which I believe was on the MSE list a few months ago.

I had no problems with using it until recently. I was going on holiday on the 20th and the account I had set the DD to be taken from did not have enough money (as I pay in full each month), so I paid the amount due plus minimum charge: £760 (in case of any issues) from another account which cleared on the 19th.

I got back yesterday and put my SIM card in and got a text from my bank which sent a balance alert as it was under £100. I checked the transactions and Virgin had STILL taken the full amount from the account with not enough funds (£734) despite me having paid that 4 days before the DD came out.

I rang them and had a right go. They could only say that they would refund me the credit amount (£53) and that despite me having paid off the bill in full, since there were still more purchases and the account balance was not £0. They claimed the DD was still taken as an 'additional payment' towards the remaining balance of the card (even though they had not billed me for it - which goes against the logic of how a credit card works?).

I said this is unacceptable, as there will always be a balance owing as it is a credit card and not an American Express! I was not even billed for the rest of the money owed as that bill was not created until 23rd March. Indeed, they didn't even take the exact amount owing but took more than was owing (since it was the previous month's bill so led to the account being £53 in credit) - illogical.

They said they were not able to refund me the £734, only the £53. I told them that this is totally unacceptable (along with many expletives!), has put my account overdrawn so that I will be charged for that and asked them to close the account as I am done with them.

My experience before with DD has been that, if the amount owing changes due to payments made, then they adjust the amount they will take. I thought this was part of the DD standard guarantee? Virgin claimed that since I had set up the DD to take the full amount, it will always take that no matter how many payments I make unless the balance is actually £0.

I was only using the card to improve my credit rating but it has now put me into debt along with overdraft charges I did not willfully incur.

Can somebody please advise me on this and whether what they have done is within their rights?

[Deleted User]

If you only made the manual payment 4 days before the DD, then it would still be taken.

Westminster

You left it too close to the DD date so I'm not surprised by the outcome.

dbarcl10

If you check your Virgin credit card statement it says on the front page "Please note we will still collect your Direct Debit even if you make additional payments."

The Key Facts section of the statement say "Please remember we will still collect your Direct Debit even if you make additional payments."

Whilst other companies do adjust the Direct Debit if you make additional payments, the Virgin statement quite clearly shows that this is not the case with them.

Also, as others have mentioned, Virgin had probably already requested the payment from your bank by time you made the additional payment, so it would probably be too late for ANY company to adjust the direct debit payment.

PeacefulWaters

I rang them and had a right go

What a shame you were in the wrong.

I told them that this is totally unacceptable (along with many expletives!)

But if you'd checked your statement and looked at your T&Cs you'd have known better. Has it crossed your mind that "having a go" and swearing at people, especially when you're in the wrong, is just about the least likely way to get your desired outcome.

Being nice is far more likely to work.

StopIt

Why didn't you just do a transfer between your accounts and let the DD go as usual?


Doing a bank transfer using a major bank is usually cleared within 2 hours so you would have had the funds to pay the DD with no trouble.


Also having a go at people because of a computer system being a little bit rigid is a bit much isn't it? There's no harm in querying an issue but "having a right go" from the off? Yeah, I'm not shocked that you weren't given the perfect treatment you desired.


Chalk it up to experience I think.

Scientomology

PeacefulWaters wrote: »

What a shame you were in the wrong.

But if you'd checked your statement and looked at your T&Cs you'd have known better. Has it crossed your mind that "having a go" and swearing at people, especially when you're in the wrong, is just about the least likely way to get your desired outcome.

Being nice is far more likely to work.

I actually did say to her that perhaps I did not read the T&C and you don't adjust the payments. She didn't say anything to that. I didn't actually swear AT her but in general. I am not stupid enough to have a go at the actual agent as if it's her own fault. I many times said that I know it's not her fault and nothing within her control.

She was actually very well composed. Never once had an issue with me swearing and was very helpful.

I just assumed that all companies adjusted payments as it has never been a problem in the past. Obviously, I did not read the T&C but don't berate me for not doing so as I never have any problem with my finances, know how to budget and am never in debt. Obviously, I will be aware of this in future if I get another card as I wouldn't want it to happen again.

This is the only credit card I have and my friend, who works for RBS, told me that lots of people just use their CC to make purchases then pay it off at the end of the month to improve their credit rating - so this was my only aim. In fact, my credit rating was much HIGHER before I applied and got the card! It has never been at the same level since so it's just as well I cut the card up as it has cost me money and the only thing it has done to my credit score is to reduce it.

Scientomology

StopIt wrote: »

Why didn't you just do a transfer between your accounts and let the DD go as usual?

I didn't want the accounts to have a traceable link. I prefer to keep one particular account individual and separate.

IAmWales

Scientomology wrote: »

I actually did say to her that perhaps I did not read the T&C and you don't adjust the payments. She didn't say anything to that. I didn't actually swear AT her but in general. I am not stupid enough to have a go at the actual agent as if it's her own fault. I many times said that I know it's not her fault and nothing within her control.

She was actually very well composed. Never once had an issue with me swearing and was very helpful.

I just assumed that all companies adjusted payments as it has never been a problem in the past. Obviously, I did not read the T&C but don't berate me for not doing so as I never have any problem with my finances, know how to budget and am never in debt. Obviously, I will be aware of this in future if I get another card as I wouldn't want it to happen again.

This is the only credit card I have and my friend, who works for RBS, told me that lots of people just use their CC to make purchases then pay it off at the end of the month to improve their credit rating - so this was my only aim. In fact, my credit rating was much HIGHER before I applied and got the card! It has never been at the same level since so it's just as well I cut the card up as it has cost me money and the only thing it has done to my credit score is to reduce it.

Will you now call back and apologise?

Saying "I know it's not your fault but ..." does not absolve you from being rude.

foxtrotoscar_2

Scientomology wrote: »

I didn't want the accounts to have a traceable link. I prefer to keep one particular account individual and separate.

You are the root cause of your problem from start to finish.

PeacefulWaters

Scientomology wrote: »

I didn't actually swear AT her but in general.

I'm not averse to colourful language. I tend to save it for football referees rather than meagrely paid customer service agents. Swearing about stuff in the environment you describe is, in my view, completely unacceptable.

I am not stupid enough to have a go at the actual agent as if it's her own fault. I many times said that I know it's not her fault and nothing within her control.

Still not good form.

She was actually very well composed. Never once had an issue with me swearing and was very helpful.

She would have been quite within her rights to terminate the conversation.

I just assumed

And there is the root cause of your problem.

In fact, my credit rating was much HIGHER before I applied and got the card! It has never been at the same level since so it's just as well I cut the card up as it has cost me money and the only thing it has done to my credit score is to reduce it.

You seem to be obsessed with a random number generator from a company that doesn't even lend money.