Wages paid into the wrong account - company's fault

Steve_MD

After a little advice on an odd situation.
My wife has worked for a hospitality chain since December 2019. She changed her bank account in March 2020 from Santander to Monzo, and provided them with the correct details. Her wages and/or furlough payments have all gone into the right (Monzo) account up to and including November 2020. The Santander account was not fully closed as there was an outstanding overdraft which she as been slowly paying off, month by month. It was however partially closed, and she has no access to the account barring viewing it on the banking app. 
Out of nowhere, her December pay was put into the old (Santander) account. She hadn't asked for this to happen, and the company hadn't told them it was going to - and her new (Monzo) account has been open and active the entire time. As a result of the overdraft, Santander swallowed all her wages (she's on furlough, so it's only a little over £500).

Who is liable for the mistake? Should the company pay her again, this time into the correct account  and then reclaim it from Santander? Or is that down to her. 
Morally, it's up to her employer to correct their mistake - but where might she stand legally?

Lomast

That is a complicated one as technically she has received the money so I'm not sure there is an easy answer to that one

Dox

Steve_MD said:

After a little advice on an odd situation.
My wife has worked for a hospitality chain since December 2019. She changed her bank account in March 2020 from Santander to Monzo, and provided them with the correct details. Her wages and/or furlough payments have all gone into the right (Monzo) account up to and including November 2020. The Santander account was not fully closed as there was an outstanding overdraft which she as been slowly paying off, month by month. It was however partially closed, and she has no access to the account barring viewing it on the banking app. 
Out of nowhere, her December pay was put into the old (Santander) account. She hadn't asked for this to happen, and the company hadn't told them it was going to - and her new (Monzo) account has been open and active the entire time. As a result of the overdraft, Santander swallowed all her wages (she's on furlough, so it's only a little over £500).

Who is liable for the mistake? Should the company pay her again, this time into the correct account  and then reclaim it from Santander? Or is that down to her. 
Morally, it's up to her employer to correct their mistake - but where might she stand legally?

How infuriating for your wife. Where she stands legally is hard to say without seeing the exact wording of her terms of employment. Being pragmatic, the best idea is to contact her employer and explain what has happened/ask them to remedy their mistake and see what they say. 

Penguin_

Dox said:

Steve_MD said:

After a little advice on an odd situation.
My wife has worked for a hospitality chain since December 2019. She changed her bank account in March 2020 from Santander to Monzo, and provided them with the correct details. Her wages and/or furlough payments have all gone into the right (Monzo) account up to and including November 2020. The Santander account was not fully closed as there was an outstanding overdraft which she as been slowly paying off, month by month. It was however partially closed, and she has no access to the account barring viewing it on the banking app. 
Out of nowhere, her December pay was put into the old (Santander) account. She hadn't asked for this to happen, and the company hadn't told them it was going to - and her new (Monzo) account has been open and active the entire time. As a result of the overdraft, Santander swallowed all her wages (she's on furlough, so it's only a little over £500).

Who is liable for the mistake? Should the company pay her again, this time into the correct account  and then reclaim it from Santander? Or is that down to her. 
Morally, it's up to her employer to correct their mistake - but where might she stand legally?

How infuriating for your wife. Where she stands legally is hard to say without seeing the exact wording of her terms of employment. Being pragmatic, the best idea is to contact her employer and explain what has happened/ask them to remedy their mistake and see what they say. 

How can they remedy their mistake beyond ensuring they update her bank details before the execution of next months payroll?

Savvy_Sue

Penguin_ said:

Dox said:

How infuriating for your wife. Where she stands legally is hard to say without seeing the exact wording of her terms of employment. Being pragmatic, the best idea is to contact her employer and explain what has happened/ask them to remedy their mistake and see what they say. 

How can they remedy their mistake beyond ensuring they update her bank details before the execution of next months payroll?

the employer MIGHT be able to claw back the payment made to Santander in error and repay it, but I'm not sure how easy it would be. 

Penguin_

Savvy_Sue said:

Penguin_ said:

Dox said:

How infuriating for your wife. Where she stands legally is hard to say without seeing the exact wording of her terms of employment. Being pragmatic, the best idea is to contact her employer and explain what has happened/ask them to remedy their mistake and see what they say. 

How can they remedy their mistake beyond ensuring they update her bank details before the execution of next months payroll?

the employer MIGHT be able to claw back the payment made to Santander in error and repay it, but I'm not sure how easy it would be. 

I did think that but then I wondered how it would work given it has paid off a (or some of a) overdrawn balance

Thrugelmir

Despite the mistake. The employees personal finances aren't the employers concern. Santander are under no obligation to release the funds. 

Mickey666

Is the Santander overdraft authorised?  If so, can the payment not be transferred out again, leaving a little behind as the monthly repayment?

Dox

Penguin_ said:

Dox said:

Steve_MD said:

After a little advice on an odd situation.
My wife has worked for a hospitality chain since December 2019. She changed her bank account in March 2020 from Santander to Monzo, and provided them with the correct details. Her wages and/or furlough payments have all gone into the right (Monzo) account up to and including November 2020. The Santander account was not fully closed as there was an outstanding overdraft which she as been slowly paying off, month by month. It was however partially closed, and she has no access to the account barring viewing it on the banking app. 
Out of nowhere, her December pay was put into the old (Santander) account. She hadn't asked for this to happen, and the company hadn't told them it was going to - and her new (Monzo) account has been open and active the entire time. As a result of the overdraft, Santander swallowed all her wages (she's on furlough, so it's only a little over £500).

Who is liable for the mistake? Should the company pay her again, this time into the correct account  and then reclaim it from Santander? Or is that down to her. 
Morally, it's up to her employer to correct their mistake - but where might she stand legally?

How infuriating for your wife. Where she stands legally is hard to say without seeing the exact wording of her terms of employment. Being pragmatic, the best idea is to contact her employer and explain what has happened/ask them to remedy their mistake and see what they say. 

How can they remedy their mistake beyond ensuring they update her bank details before the execution of next months payroll?

That's for the employer to ponder - and OP's wife might just get a helpful answer. No guarantee, but in the absence of any better strategy, nothing to lose by asking.

Marcon

Dox said:

Penguin_ said:

Dox said:

Steve_MD said:

After a little advice on an odd situation.
My wife has worked for a hospitality chain since December 2019. She changed her bank account in March 2020 from Santander to Monzo, and provided them with the correct details. Her wages and/or furlough payments have all gone into the right (Monzo) account up to and including November 2020. The Santander account was not fully closed as there was an outstanding overdraft which she as been slowly paying off, month by month. It was however partially closed, and she has no access to the account barring viewing it on the banking app. 
Out of nowhere, her December pay was put into the old (Santander) account. She hadn't asked for this to happen, and the company hadn't told them it was going to - and her new (Monzo) account has been open and active the entire time. As a result of the overdraft, Santander swallowed all her wages (she's on furlough, so it's only a little over £500).

Who is liable for the mistake? Should the company pay her again, this time into the correct account  and then reclaim it from Santander? Or is that down to her. 
Morally, it's up to her employer to correct their mistake - but where might she stand legally?

How infuriating for your wife. Where she stands legally is hard to say without seeing the exact wording of her terms of employment. Being pragmatic, the best idea is to contact her employer and explain what has happened/ask them to remedy their mistake and see what they say. 

How can they remedy their mistake beyond ensuring they update her bank details before the execution of next months payroll?

That's for the employer to ponder - and OP's wife might just get a helpful answer. No guarantee, but in the absence of any better strategy, nothing to lose by asking.

She might also question, very politely, why old data is still on file given that her bank details were successfully changed nine months ago.

Mrsn

Marcon said:

Dox said:

Penguin_ said:

Dox said:

Steve_MD said:

After a little advice on an odd situation.
My wife has worked for a hospitality chain since December 2019. She changed her bank account in March 2020 from Santander to Monzo, and provided them with the correct details. Her wages and/or furlough payments have all gone into the right (Monzo) account up to and including November 2020. The Santander account was not fully closed as there was an outstanding overdraft which she as been slowly paying off, month by month. It was however partially closed, and she has no access to the account barring viewing it on the banking app. 
Out of nowhere, her December pay was put into the old (Santander) account. She hadn't asked for this to happen, and the company hadn't told them it was going to - and her new (Monzo) account has been open and active the entire time. As a result of the overdraft, Santander swallowed all her wages (she's on furlough, so it's only a little over £500).

Who is liable for the mistake? Should the company pay her again, this time into the correct account  and then reclaim it from Santander? Or is that down to her. 
Morally, it's up to her employer to correct their mistake - but where might she stand legally?

How infuriating for your wife. Where she stands legally is hard to say without seeing the exact wording of her terms of employment. Being pragmatic, the best idea is to contact her employer and explain what has happened/ask them to remedy their mistake and see what they say. 

How can they remedy their mistake beyond ensuring they update her bank details before the execution of next months payroll?

That's for the employer to ponder - and OP's wife might just get a helpful answer. No guarantee, but in the absence of any better strategy, nothing to lose by asking.

She might also question, very politely, why old data is still on file given that her bank details were successfully changed nine months ago.

This is a very good point. Be polite when asking about how they can help rectify the mistake but it would definitely be worth pointing out that actually those details shouldn’t be around any longer.