Consolidating loans

gibbs1984

Thanks all for all your responses. There is a lot to consider here and I will go through all of this with her tonight.

gibbs1984

sourcrates wrote: »

Direct debt’s are initiated by the lender, standing orders by the debtor, so you are in control.
Also are you not aware of the DD guarantee ?

Contact the bank and get the money returned.

I was unaware of that but will look into it and contact the bank ASAP, if she gets the money back then we'll pay the money to the other lenders and then change them all to standing orders.

Thanks for the heads up.

sourcrates

gibbs1984 wrote: »

I was unaware of that but will look into it and contact the bank ASAP, if she gets the money back then we'll pay the money to the other lenders and then change them all to standing orders.

Thanks for the heads up.

A creditor is not allowed to take more than they have already advised they will take by direct debt, but you have to be quick, usually the same day, but if it’s been longer, they may still be able to recall it.

Suggest she rings ASAP.

D_M_E

As sourcrates says, tell her to get on to the bank and tell them the £600 was NOT authorised, only £50 so she wants the other £550 back.

You also say it's happenned before, so tell her to include those overpayments when she contacts the bank and get the bulk of them back if possible under the DD guarrantee - tell the bank that payment should be £50 and not a penny more - she had no notification of any increase over the agreed £50 so only £50 should have been taken.

As above, change DD's to standing orders - same details as DD but she has to set an end date for a SO and don't forget to cancel the DD's when the SO's are set up.

fatbelly

Various templates for complaining under the dd guarantee here

https://www.directdebit.co.uk/DirectDebitExplained/Pages/Incorrectpayments.aspx

EssexHebridean

gibbs1984 wrote: »

Twice within the last 6 months the lender has taken out more than the regular monthly agreed Direct Debit amount. This month one of the lenders took over £600 instead of roughly £50.

She needs to complaint to the lender immediately if too late to recall via her own bank - and tell her to quote the Direct Debit guarantee as well - they should pay her (a small amount of) compensation.

Changing to standing orders is also an excellent idea. Consolidation definitely isn't especially if she's not great with finances!