Bank say they can’t cancel a direct debit for no reason given at all

sheramber

Having an IVA doesn't  mean someone is  entitled to benefits. I knew a QC who had an IVA. it  is all down to money management.

eskbanker

sheramber said:

Having an IVA doesn't  mean someone is  entitled to benefits. I knew a QC who had an IVA. it  is all down to money management.

I don't think anyone was suggesting that the existence of an IVA justified potential benefits entitlement in itself, but OP did refer to "a week of not eating and being cold", clearly implying severe financial hardship, which may be related to the calibration of the IVA repayments....

Brie

I suspect that if it was a DD and the OP asked for it to be cancelled the Barclays person was trying to say that they couldn't cancel it to stop the payment already made.  But an recall should be possible.  

jimjames

DD payments are often processed a day or two before being paid so it may well be the case that it couldn't be cancelled or if the DD was cancelled the payment would still happen. I needed to change a DD for TV recently and wasn't able to do so because it was in that processing period.

born_again

KleboldKlan said:

We took out an IVA to help with debts (rent arrears,council tax, etc) and they’ve took money out when they said they wouldn’t today of all days (Sunday) they normally take it out Fridays. We told them we needed that money for my health conditions (medication and hospital visit coming up on Tuesday) so now we are basically screwed. 

We have called the bank before, to cancel the direct debit being taken out but they said they can’t. No reason given to why they couldn’t, but they “couldnt”) I don’t think this is right because it’s our bank account, surely we decide what goes in and what goes out. Now we fear that our Christmas is ruined because we can’t afford anything. Granted we have my money coming next week but it’s barely enough to get by during Christmas especially when we’ve just had a week of not eating and being cold (I shouldn’t be getting cold or going hungry due to above health conditions) 

can someone explain if they can do this or not? We have a family member taking us over the bank tomorrow so I need some advice. I just can’t see how this is true? 

Who is the IVA through? I hope it was via someone like StepChange (Charity) & not one of the many companies who take a cut.

You really need to talk to the IVA company involved as to why it wither came out early or late (not clear if you ment last Friday or 24-12 for payment to be taken) Are these weekly or Monthly?
If it was due 24-12 then you must have had some funds coming in this week to cover it & leave some for food & heating?

If it is a DD then cancelling it is going to lead to all sorts of problems with the IVA. Same if you do a indemnity claim. But you need a valid reason for that. 
Having no money left is not a valid reason. Sorry to say. Advise to visit a food bank is a very good one. Talk to your power supplier & see if they can help.

Yes, Barclays can cancel the DD (could do the same with a CPA) but best advise in your situation is not too, as it opens up a whole new can of worms that are going to be a lot harder to work round.

Section62

born_again said:

If it is a DD then cancelling it is going to lead to all sorts of problems with the IVA. Same if you do a indemnity claim. But you need a valid reason for that. 

This is what prompted my question - unless the IVA practitioner has agreed (in writing) that a scheduled payment isn't now due, the consequences of the bank cancelling the DD could have been quite serious.

bris

You need to give them at least one working days notice to cancel. If you gave them that, on or before Friday morning then you should raise a complaint.

Are you sure you didn't just call up the day the DD was to be taken, to then be told it can't be cancelled?

born_again

bris said:

You need to give them at least one working days notice to cancel. If you gave them that, on or before Friday morning then you should raise a complaint.

Are you sure you didn't just call up the day the DD was to be taken, to then be told it can't be cancelled?

Good point.
When Op said they would not cancel, were they talking about the payment that went out (ie refund), or the actual DD going forward.

Sadly Op not been back Last Active 19 December at 9:43PM to answer any questions.

mab3000

It’s a shame the OP hasn’t been back to provide an update.

I’m just not convinced that this payment was a direct debit. Barclays simply do not pay out direct debits on non working days, being Saturdays, Sundays and Bank Holidays. 

Ergates

As others have said - Direct Debits generally aren't processed on a Sunday, which suggests this wasn't a direct debit.  Which would be a reason the the bank can't  "cancel" it - because there is nothing to cancel.

If it *is* a direct debit, and the money was taking on the wrong date, then under the Direct Debit guarantee, the bank and recall the money for the OP.