CHIP Weirdness?

k_man

Band7 said:

k_man said:

That isn't how this type of Open Banking payment works, it is less a pull, and more an initiated push.

Chip doesn't have permission to pull money, instead it uses an Open Banking connection (via a third party, Truelayer) to launch your bank banking app (or website) with Faster Payment details already completed (ETA: with destination account details obscured in an Open Banking token) which you then OK.

So it is still you, via your bank's app, that makes the payment.

Except if you choose to use the auto-save gizmo. Whilst you still need to authorise that they can take money from your account, this works in the background, without you having to authorise these transactions individually. Somewhat akin to variable amount DDs but without the DD guarantee. CHIP are using Truelayer for autosaving, too.

Thanks for the detail.
(It also reminded me to check that autosave is off! 
And no current open banking link is listed in my bank account, even though OB payments still work)


This is the first implementation of VRPs (open banking variable recurring payments) I have seen.
VRPs are heralded as the future replacement for DDs. As such some guarantee is likely to be added.

Now if somewhere starts offering VRP sweeping (automated open banking payments between your own accounts) things do get interesting, and we may all get a few hours a week back!

Band7

k_man said:

And no current open banking link is listed in my bank account, even though OB payments still work)

Are you sure? Which bank have you linked? They are all supposed to show you your authorisations, not least so you can easily revoke them.

It took me a bit of searching in Santander where they are hiding the OB authorisations as it's not immediately obvious..I eventually found them in my Settings.

k_man

Halifax.
The connection is listed in Inactive, and status of Cancelled (as I cancelled at the Halifax end just after linking from Chip).

As I don't use auto save, Chip isn't actually using the connection.

Chip knows the account details from the initial linking, and that it is Halifax, so just has to launch the Halifax app. An ongoing connection is not needed for OB payments to work.

Although Chip may think differently!
And I may have to renew the link, when Chip sees it as expired.


Zopa is similar. Accounts are linked in Zopa, and payments can be made via OB, but there is no ongoing connection at the bank end. IIRC Tandem is the same.

cwep2

Pretty annoying interface as a first time depositor with Chip.
Opening account easy enough, did a £1 transfer on Monday which went through fine.
Moved £xxk into my Santander account today, and then onto Chip via openbanking/truelayer link.

Santander got suspicious, blocked my account, had to spend 20mins on with their fraud dept convincing them it was not a scam - to be fair this is on the Santander side and nothing to do with Chip, and I've had it before with Santander.

Eventually made the transfer again and email confirming the deposit was pretty instantaneous, and app updated in minutes also.

Then 15 mins later I get an alert telling me Chip will autosave over £2000 at 3pm today. I get that this is the USP of Chip, but my current account didn't have that much in it, it only has a balance of a few hundred pounds (and is usually like this) and would make me overdrawn. I started to panic a bit to be honest, managed eventually to find the way to turn off autosaves, but will Chip cause people to go overdrawn??? 

flaneurs_lobster

cwep2 said:

Then 15 mins later I get an alert telling me Chip will autosave over £2000 at 3pm today. I get that this is the USP of Chip, but my current account didn't have that much in it, it only has a balance of a few hundred pounds (and is usually like this) and would make me overdrawn. I started to panic a bit to be honest, managed eventually to find the way to turn off autosaves, but will Chip cause people to go overdrawn??? 

Market-leading interest rate or not, that kind of value-added feature would have me reaching for the "Uninstall" button. 

k_man

At least with an autosave of £2000 the £0.45 charge isn't as significant 😉.

There is an option to enable saving, even if this makes the account overdrawn, which suggests that there is a check taking place.
That check may be at calculation time (e.g. was your balance temporarily high waiting to be transferred), rather than at transfer time.

When Chip first introduced auto saving (many years ago, long before open banking) I used, and liked it. Albeit was free back then, and was good interest at the time.

Much less keen on it now.

Band7

cwep2 said:

Then 15 mins later I get an alert telling me Chip will autosave over £2000 at 3pm today. I get that this is the USP of Chip, but my current account didn't have that much in it, it only has a balance of a few hundred pounds (and is usually like this) and would make me overdrawn. I started to panic a bit to be honest, managed eventually to find the way to turn off autosaves, but will Chip cause people to go overdrawn??? 

The warning about autosave has been posted in this thread earlier but it is worth repeating:

Band7

flaneurs_lobster said:

cwep2 said:

Then 15 mins later I get an alert telling me Chip will autosave over £2000 at 3pm today. I get that this is the USP of Chip, but my current account didn't have that much in it, it only has a balance of a few hundred pounds (and is usually like this) and would make me overdrawn. I started to panic a bit to be honest, managed eventually to find the way to turn off autosaves, but will Chip cause people to go overdrawn??? 

Market-leading interest rate or not, that kind of value-added feature would have me reaching for the "Uninstall" button. 

Given that it is very easy to turn off auto-saving, uninstalling seems an overreaction. However, everybody is free to do so.

flaneurs_lobster

Band7 said:

flaneurs_lobster said:

cwep2 said:

Then 15 mins later I get an alert telling me Chip will autosave over £2000 at 3pm today. I get that this is the USP of Chip, but my current account didn't have that much in it, it only has a balance of a few hundred pounds (and is usually like this) and would make me overdrawn. I started to panic a bit to be honest, managed eventually to find the way to turn off autosaves, but will Chip cause people to go overdrawn??? 

Market-leading interest rate or not, that kind of value-added feature would have me reaching for the "Uninstall" button. 

Given that it is very easy to turn off auto-saving, uninstalling seems an overreaction. However, everybody is free to do so.

Might be an overreaction if it had just auto-saved me a few quid (and charged me 45p for the privilege) but two grand! 

Band7

flaneurs_lobster said:

Band7 said:

flaneurs_lobster said:

cwep2 said:

Then 15 mins later I get an alert telling me Chip will autosave over £2000 at 3pm today. I get that this is the USP of Chip, but my current account didn't have that much in it, it only has a balance of a few hundred pounds (and is usually like this) and would make me overdrawn. I started to panic a bit to be honest, managed eventually to find the way to turn off autosaves, but will Chip cause people to go overdrawn??? 

Market-leading interest rate or not, that kind of value-added feature would have me reaching for the "Uninstall" button. 

Given that it is very easy to turn off auto-saving, uninstalling seems an overreaction. However, everybody is free to do so.

Might be an overreaction if it had just auto-saved me a few quid (and charged me 45p for the privilege) but two grand! 

They do warn you a few hours before they attempt to take the money, and yes, it's incredibly cheeky that they set us on autosave by default. I cannot recall that I was told before the notification that they would be taking money but I could stop it in time.

I appreciate not everyone might see the notification in time, and not everyone will have seen the warning I have posted several times by now on MSE about it.  I am sure you would have good grounds for a full refund, and compensation for any overdraft (not even sure this is possible w/o your permission), if they did take money from you because there is no pro-active confirmation from you that you want autosave. In any case, any autosaved money remains your money.