Payment outstanding - First Central Insurance asking for fee


I was recently insured with First Central Car Insurance. As I stopped using my car, I cancelled my policy on 1st March 2022. 

Upon cancellation I was asked to pay something around £120. The fees were for cancellation costs, and a few other costs. I paid that fee on the same day and I logged out of my account and haven't logged back in since.

Today I received an email from CARS (a debt collection agency) which was surprising to me, firstly as I've never had a letter from them, but secondly because I'm not aware of any outstanding debt that I'm not already paying. As a result I went through any recent direct debit plans (car insurance, phone contract etc).

When I logged back into my First Central account, I noticed that I am being asked to pay an outstanding fee of £12. I have no idea what this fee is regarding as I paid the full fee as they requested upon the cancellation of my policy.

I have emailed them to see what the fee is regarding and I guess I'm hopping on here to see if anyone else has experienced anything similar, or if you've ever dealt with CARS. Also if it's normal for debt agencies to contact over email, rather than letters.

Thanks all :)


  • dunstonhdunstonh Forumite
    112.5K Posts
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
     Also if it's normal for debt agencies to contact over email, rather than letters.
    They will often use the same primary method you used for the company the debt is with.

    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
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