Can someone help me urgently!!!

elliexox

Hi all,

I’m so upset and I feel like such a fool right now. My debt management plan has been all set up with StepChange. My first payment due to go out in March, I cancelled all my card payments and contacted all the loans companies I had borrowed from to tell them I could not afford to pay and asking them to cancel my CPA.
This included 118 money who I have a loan with for 233 a month, although this is where I messed up. My 118 money loan appeared as a direct debit with my bank, so I cancelled this and emailed them to tell them I couldn’t afford to pay and I would be cancelling my direct debit, the lady emailed back asking me for my StepChange ref number so I sent off and never heard back. Between this time StepChange emailed me over the correspondence they had emailed to all the companies regarding my payments, and I started receive letters off companies saying they had accepted the agreement so I assumed all was well.
Yet I look on the bank this morning to see 118 money had still taken 233.91 from my account despite me cancelling my direct debit. A quick google and I see they can still take money by other means e.g. a CPA, I feel like such an idiot because I told all the other companies to cancel this except them (assuming it was just a direct debit) I really really am going to struggle to pay my priority debts now they have taken this money and I just don’t know what to do, was hoping there is some sliver of hope I may have a leg to stand on for getting this money back? Although I do know this is unlikely and I’m an idiot.

Oh and in case anyone was wondering I never opened a new bank account as StepChange recommended because I am in no debt with my bank/have a great relationship with them 10+ years and was hoping to continue to build on this for a mortgage once I am eligible, again I now see I am an idiot for this.

Appreciate any advise

Grumpelstiltskin

Contact Stepchange ASAP they will help you, but as you now realise you need to open a basic bank account with a bank you don't owe money to.

National_Debtline

Hi ellie


I'm sorry to hear what's happened. The first thing to do is cancel the continuous payment authority (CPA) so no further payments get taken. There's a sample letter you can send to 118 here https://www.nationaldebtline.org/EW/sampleletters/Pages/Withdraw-your-continuous-payment-authority-from-payday-loan-company-%28sole-name%29.aspx and one to your bank here https://www.nationaldebtline.org/EW/sampleletters/Pages/Withdraw-your-continuous-payment-authority-from-your-card-issuer-%28sole-name%29.aspx.


You mention you cancelled what you thought was the direct debit. How you did that? If you contacted your bank and said you wanted them to stop paying 118, you might have an argument to say they should have acted on that, even if you used the wrong terminology.


If the bank are at fault, argue they should refund the payment to you. You may be able to take your complaint to the Financial Ombudsman Service (FOS) if necessary, but that will not be a quick process. It's important to contact StepChange in the meantime and let them know what has happened.


Susie
@natdebtline

FlowerGirl27

Call 118 money tell them what has happened and ask that they refund you.
A few months ago a meant to transfer £2000 from my current account to my Barclays account, accidentally sent it to my Barclaycard instead. Panicked. Then called Barclaycard and explained and they paid my money back to me. It took about a week but it was done.

elliexox

Hi guys,

Thanks everyone, I spoke to RBS and they have told me because I cancelled it close to the payment date that the funds have already gone out but will be recalled back into my bank tomorrow - seems odd because I cancelled two weeks ago but a big relief.

Also does not help that I just emailed 118 a somewhat demanding email but hopefully all should be back in my bank by tomorrow.

Thankyou everyone!

lonelyrat

Bit late to this but thought I would chime in anyway!

Did it leave as a direct debit or as a CPA? Just for your info if it was a direct debit you are always protected under the direct debit guarantee scheme and can claim an indemnity (only if the claiming company has made a mistake though) and it can be refunded instantly. If you had contacted 118 and asked them to cancel and they agreed then I would say you have grounds to claim it back. If it was a card payment it can be more tricky as a dispute needs to be raised.

It's good RBS are going to sort it for you. If it was a CPA I would suggest asking them to place a future dated card payment block on that specific company for you if they haven't already done so.

With regards to keeping the bank account I would still do that if you have a long relationship with them and do like them as a bank. Might actually be worth organising another basic account to keep the majority of your money in though, just as a takeaway lesson from this. You could get paid into the new account and just transfer in and out of the RBS account to keep it active.

lonelyrat

Also - don't feel too bad. Things do happen and seems like it's been sorted now. Just take it as a learning experience

benten69

Just as an FYI for anyone with RBS, if you call them on the morning of the direct debit that needs to be cancelled they can stop it for you the same day. Has to be very early morning. Think last time I had to do it I called at about 7am or basically the instant they open their telephone banking services.

I know this situation is a bit different, but just a heads up incase anyone with RBS ever decides they want to cancel a direct debit 2-3 days before it goes out, this is what RBS told me to do when I was in that situation previously.

National_Debtline

Hi Ellie


Glad to hear that the situation has been rectified on this occasion.


Dennis
@natdebtline