Standing order setup wrong!

andycee

I went to withdraw cash this week and got a message from the ATM telling me I would charged £25 for withdraw as I was over my OD limit.

On checking my account over the internet I realised mt flat mate hadn't been paying me rent since November.

He called HSBC and the SO he had setup has 2 digits the wrong way round. Is he linkely to get his money back, they said they are investigating and would be checking the phone call to check who was at fault when he set it up. What is the process here and how long is it likely to take if he can get the funds returned?

Meanwhile I've been charged £250 in fees with another 150 pending this month! The first I knew was at the ATM! I've been over my OD limit by them honouring DD and SOs I have on the account so wasn't aware of this until now.

Is there any way I might be able to recover these? I've been with HSBC for 18 years and normally run my account well. I also haven't claimed back any charges from the last six years, so I've been a relatively loyal customer.

Its partly my fault for not checking the money had been going in, I rarely check my account unless there is an issue.

Any advice would be great, Thanks Andy.

LittleVoice

If half of my rent hadn't been paid for four months or so, I think I might have noticed with only a fleeting glance at my current account statement!

Except for the first payment, it can't really be your flatmate's fault as he will have had the money leaving his account regularly, so you can't expect any sharing of the cost there. (And I know you weren't suggesting that.)

The fault for the continuation of the error is yours and I'm afraid you must bear the cost and learn the lesson.

Probably the money will be found in a suspense account somewhere and you will get it. If it turns out that there is an account with the numbers as recorded on the SO, then it may be more difficult to get it back. (There are often questions on these boards asking about whether people have to allow a bank to reclaim money which has been incorrectly credited to their accounts and not all customers are honest and give it back straight away.)

If it doesn't get retrieved from the system, your flatmate or the bank may still owe you the money - depending on who was at fault in recording the SO details.

andycee

I don't get statements I only use online banking.

Yeah I'm surprised I didn't notice the rent going in I would have expected the bank to call me if I had gone over my limit.

Is my flatmate likely to recover the money that went somewhere else?
A colleague sent money to the wrong account before and he recxovered it as it had gone into a holding account or something.

I'm sharing blame totally, he used to pay me mid month but after changing jobs he swapped the SO date to the 1st and changed the amount, so I assumed it would be fine, obviously a costly mistake!

bryanb

andycee wrote: »

I don't get statements I only use online banking.

If your online banking is anything like mine you get a statement (on screen) any time you log on.

YorkshireBoy

LittleVoice wrote: »

Probably the money will be found in a suspense account somewhere and you will get it. If it turns out that there is an account with the numbers as recorded on the SO, then it may be more difficult to get it back. (There are often questions on these boards asking about whether people have to allow a bank to reclaim money which has been incorrectly credited to their accounts and not all customers are honest and give it back straight away.)

I have no personal experience, but I would have thought that the receiving bank would have had plenty of time (4-5 months?) to return the money from whence it came...if it was being held in a suspense account.

For that reason, I suspect the account number is 'live' and someone is keeping quiet...unless, like the OP, they don't check their accounts either.

andycee

Yeah true, but as I said I rarely check my account. I only use it occasionally if I'm transferring money to a friend.

In future I'll check it more often obviously! I messed up, yep, I know that, but it would be helpful for any advice on sorting out the aftermath.

If it has gone to a live account, is there any way of getting it back? Isn't there any terms that says any money received in error has to be returned?

YorkshireBoy

andycee wrote: »

...it would be helpful for any advice on sorting out the aftermath.

Isn't the best person to ask advice your "colleague" (in post #3), since he's successfully recovered money in similar circumstances?

zzzLazyDaisy

Presumably it went to the right bank but the wrong account? If so your bank can trace the receipient and recall the money. They may not want to help your friend in this way but he should push them. I can't remember the regulation that allows them to recall the money, but I am sure I read it on MSE, so you should find it if you search.

However, I disagree with those who say that your friend no longer owes you the money. He has an agreement to pay you £x per month. He hasn't done this. Yes there has been a mistake by someone, and yes it is unfortunate that you have only just realised, but the fact remains that he agreed to pay you and has not done so. If you were to take him to court (and I am not suggesting that you do so) the court would find in your favour.

It is up to him to recover the money.

YorkshireBoy

zzzLazyDaisy wrote: »

I can't remember the regulation that allows them to recall the money...

The Theft Act (if it's ended up in a 'live' account and the account holder won't play ball)?

andycee

We both bank with HSBC so I'm hoping we can recover it. It was a genuine mistake so I'm hoping the bank will be cool and refund the charges as in the past when I have been charged by knowingly going overdrawn I've never complained.

I hope it doesn't come to me having to do the whole recovery thing as I can't fault them at all, always been happy with the service they provide.

zzzLazyDaisy

Al_Mac wrote: »

Who's said that

please see Post 2