Direct Debits Not Being Paid Following Switch

ordnancesurvey84

Hi,
I've recently used the Current Account Switch Service to switch my current account from Santander to NatWest.
The first expected direct debit went through as normal on 1st March, but the next three direct debits have all failed to go through.
I spoke to NatWest about this. They told me that they would have sent out correspondence to all the companies that I pay by direct debit telling them to update my bank details, and that these three companies must not have done so, and that I should contact them myself.
Is that how the switch service works with direct debits?
I thought the system was supposed to automatically link my new account with the closed Santander account, such that when a company tries to request a direct debit using the closed account details, it seamlessly goes through to the new account instead. I didn't realise I'd have to call up the various companies who haven't acted upon a communication from NatWest to update their records!

agrinnall

I don't actually know for sure how it works with DDs but the CASS site says this:

"If you're missing a Direct Debit and your switch is complete, contact your new bank. Remember all payments are covered by the Current Account Switch Guarantee and any charges or interest incurred on your old or new account as a result of the error will be refunded."

https://www.currentaccountswitch.co.uk/helpandsupport/Pages/help.aspx

I think you need to press NatWest further.

ordnancesurvey84

Many thanks for that reply. The person I spoke to at NatWest didn't sound all that confident, so I didn't want to labour the point - but yes I may have to phone back later, or just call up these three companies (and possibly more later this month) to update them with my new details.
But if anyone does know the mechanism by which direct debits are switched during the switching process - it'd be good to know!

ordnancesurvey84

Now my phone has been cut off due to non-payment of my monthly bill. This came into effect only an hour after calling the phone company and updating them with my new bank account details and being assured that the bill would simply roll over to the following month. This has been a hassle! And I have no idea if it is NatWest or the individual utility companies who are at fault.

ordnancesurvey84

I'm also concerned about the effect this will now have on my credit score. I have never missed a payment before, so I don't know what to expect.

ValiantSon

Your phone was cut off after one missed payment? That is extremely odd. Something doesn't add up here.

ordnancesurvey84

That's precisely what happened! I'm referring to my mobile phone - I'm a pay monthly customer of TPO. I received a text message from TPO earlier today saying "Unfortunately, your latest payment has failed, please contact us on tpouk.com/help to settle this and to unsuspend your TPO services. Thanks!"
Anyway, it's up and running now, having paid by credit card instead, but this switch has been a bit of a mess!

telemarks

I thought the CASS service simple forwarded DD to your new account for 3 years? If so, not sure why this would fail.

I have noticed that post switch DD's do not show up in the new account, until the first time they are paid from that new account.

ordnancesurvey84

Hi telemarks -yes that's what I thought too - although I'd heard 13 months, rather than 3 years. I'm just not sure why apart from my council tax, all other direct debits have failed to go through. I don't know if the issue lies with NatWest, CASS or the individual utility companies not acting on information provided to them.

ValiantSon

ordnancesurvey84 wrote: »

That's precisely what happened! I'm referring to my mobile phone - I'm a pay monthly customer of TPO. I received a text message from TPO earlier today saying "Unfortunately, your latest payment has failed, please contact us on tpouk.com/help to settle this and to unsuspend your TPO services. Thanks!"
Anyway, it's up and running now, having paid by credit card instead, but this switch has been a bit of a mess!

So your telephone line wasn't cut off; you had your mobile service suspended until you paid the bill. That is quite different!

In relation to your initial comments about CASS, if a company claims a direct debit from the account that has been closed, that request is sent to the new account and the company is informed of the new account details. This service continues for 3 years. Sounds to me like NatWest have some explaining to do.

Ballard

I don’t know exactly how direct debits are updated in this process but the gist of it is that a bank (whether old or new) will send a message to the originators bank (the originator being the company who issued the bill) giving your new account details.

The company should then acknowledge this by post.