bank have taken loan payment after agreeing not to and now I cannot pay my rent

Tasmond

Hoping somebody will be able to assist.

Due to losing my job I called the bank in the middle of March to agree they would not take my loan repayment for April. This was so that I could at least pay my rent and look to sort out everything else from there.

The bank agreed to this but took the payment anyway. I called to get the transaction reversed and they have refused to do so. They said I can complain but hinted it would not help anything.

I now do not have enough money to pay my rent. Does anyone have any advice on how I can resolve this?

PeacefulWaters

If the payment was by direct debit ask your current account provider to reimburse under the terms of the direct debit guarantee.

sourcrates

Why would they initially agree to a one month payment holiday, then renage on the agreement ?

Does not make any sense, ignore the call handler, you should follow the banks complaints process as soon as possible, speak to the correct department about this, they simply cannot hint making a complaint will make no difference.

Tasmond

Yeah, I had to hang up today because I was so furious. Maybe I should go in, in person tomorrow.

It was a standing order, not a DD and the loan and account are both with HSBC.

tacpot12

If it is a standing order, then only you can cancel it. The bank HAS to pay every standing order you have setup otherwise they are in breach of their contract with you. You should have cancelled the standing order, and re-set it up once you were able to pay it.

You should have been advised of this, so you have a reasonable grounds for complaint. You don't need to go into the branch to make the complaint. Just pick up the phone and say you want to make a complaint.

I don't think your complaint will get anywhere though.

Your best route forward is to let your landlord know that the rent can't be paid immediately but you are working on getting back into employment asap. After that, prioritise paying your rent and clearing your rent arrears. The bank will have to wait for their loan to be repaid as it is unsecured.

System

If you asked them within 2 weeks of the date of the direct debit they couldn't do anything about it as a direct debit cannot be altered without at least 2 weeks advance notice.

However this was a standing order so only you can cancel and you didn't. You cannot get this money back.

If you can't pay the rent then its down to cash converters with some of your gear or go sign up to an employment agency doing factory/warehouse work.

John-K_3

Tasmond wrote: »

Yeah, I had to hang up today because I was so furious. Maybe I should go in, in person tomorrow.

It was a standing order, not a DD and the loan and account are both with HSBC.

So what actually happened was that you asked if you could skip a month, but then sent them the money anyway. Categorising this as them taking it is not really accurate.

Well, not accurate at all, to be honest.

Do you have anything that you can sell to make up the rent? What are you using to post on here, would that bring in enough?

Edited to add, you look to have a real propensity for leaving or losing jobs. When you next work you need to save an emergency fund, and stop borrowing money. Insufficient savings combined with debts is a toxic combination for someone so often out of work.

Sncjw

What are you going to do for next months rent if your still unemployed because it sounds like you just asked them to not !!!8220;take!!!8221; this months payment. Next month they will expect payment.

Cancel the standing order now and maybe go sign on and claim housing benefit if your landlord accepts it

Ben8282

It is highly unusual to make loan repayments by standing order as opposed to direct debit and even more unusual when the current account and loan are with the same bank (HSBC). To be honest I have never heard of such a thing..
With regard to the payment holiday, what did they actually say? Does this loan allow payment holidays? Was it a formal arrangement to pay or what? To be honest, a loan provider simply saying ok you can miss a month is again pretty unusual. Did they confirm in writing?
As has already been said and should have been obvious to you, it is for you to cancel a standing order on your current account.

PeacefulWaters

Tasmond wrote: »

Yeah, I had to hang up today because I was so furious. Maybe I should go in, in person tomorrow.

It was a standing order, not a DD and the loan and account are both with HSBC.

Did it cross your mind to utter the words "please cancel the standing order"?

You had control.