AO 5-star membership + finance WARNING!!!

bugblatter_2

Bought a new dishwasher last November and became a 5-star AO member to get a better price. We paid using finance (interest free), and set up theaDirect Debit to pay the fixed amount each month (around £60).

Just checked my statements and since November I've been charged between 92p and 51p a month interest, and since February have been paying just £5 Direct Debit a month. I had just under £20 left to pay on the account, so immediately paid it off in full.

Looking further into this I discovered that my 5-star membership (that I obviously forgot to immediately cancel after our purchase) had been automatically renewed in October, and ythe £39.99 added to my AO Finance account and it had been accruing interest, while the Direct Debit had defaulted to £5 minimum payment each month. I have so far been charged £5.07 in interest on the unwanted £39.99!

Looking through my emails I had no confirmation in October that my membership was being renewed, or that the fee would be added to my AO finance account, or that interest would be charged on that fee if not paid off in full. I know it's only a fiver, but I'm fuming!

I'm phoning to complain in the morning, but thought I would share on here too. Will update this thread in the morning…

Grumpy_chap

You might consider this as sharp practice but this is really your mistake. You even acknowledge that you forgot to cancel the membership renewal.

Aylesbury_Duck

The terms make it clear it's an annual fee that renews each year. However, the terms do state that they'll send you a reminder. If you have evidence they didn't do so, go back to them and say so. Evidence of not having received something can be difficult to find, and if they did send you a reminder (and you deleted it, or it went into a spam folder) then that would be comparatively easy for them to provide.

This all hinges on the terms of the membership and whether they've abided by them. Have they?

bugblatter_2

https://forums.moneysavingexpert.com/discussion/comment/82028074#Comment_82028074

Yes I failed to cancel, but I didn't ask for my ongoing membership fee to be added to my finance plan, or to have interest charged on it! I also appreciate being informed when any membership plan is renewed.

bugblatter_2

We have contacted AO and they kindly refunded the £39.99 membership fee, and when I further complained about the interest they agreed to refund the interest too.