Cancellation Hero Article Discussion

Megalomaniac

Sunny2 wrote: »

I really wish I had read this article two days ago! That's when I set up a 18185 account to reduce the cost of landline to mobile phone calls. The payment mothod was DD from a debit card and I can't remember seeing an option for setting up a DD from a bank account. Does this mean I have set up one of these dreaded recurring payments?

On another note, watch out if you buy 12 month subsription software (i.e. antivirus) . Some of these authomatically renew your subscription, even if you dont want to renew it.

18185 allow you to pay via direct debit from your bank. Sounds like you have set up recurring card authorisation for your debit card. It's an easy change, login to your 18185 account and enter your bank account details in the payment section.

Sunny2

Many thanks Meglo, am off to 18185 to make the change, right now! And thank you to Martin too, for highlighting this issue.

moneylosingexpert_3

I work as a software developer for a company that does recurring payments from both Visa and Mastercard. Recently we have been working on a project called VAU or Visa Account Updater and a similar scheme for Mastercard. What this new scheme allows is companies collecting recurring transactions to send card numbers to be "updated" before trying to collect on them. The upshot of this is that even if you report your old card lost all the company has to do is send a request for the old card number to be updated and they will be given your new card number. This is a new scheme and I doubt many companies are using it yet, but the benefits to them are obvious so it won't be long till more do. On the upside, well almost upside, as part of this scheme customers will be allowed to put a stop on recurring transactions with their card issuer. For some reason (which I do not know) this feature is apparently not to be advertised. So your issuer won't tell you you can cancel recurring transactions but now (or soon) you can.

nikyp

:T Hello all,
being a former DD trainer, I would choose no other option! To follow on this thread, once you have gone through the spring clean of your Bank Direct Debits - if you do find money going out for subscriptions you have cancelled (etc) then you are covered by the Direct Debit Guarantee. I am especially talking about the "Money Back Guarantee".
Without being too much of an anorak about it, any bank that offer DDs to their customers are bound by this. Here's what you do:

1. List / organise / discover the DD that should not have been taken out of your account (for whatever reason). If they are cancelled ones, make sure you know what date they are cancelled from.

2. Goto your bank - it's best if you go to a branch rather than over the phone, but phone will work too.

3. Show / tell them about the DD that should not have been taken out of your account, and the reasons (did not set up, cancelled, etc)

4. Person at bank will tell you to go to the oorginisations and sort it out with them. After all, YOU set up the direct debit, and gave that company permission to take what they wanted (!!!)

5. You tell bod at bank that under the DD Guarantee, the bank is bound by the rules leagally, therefore the bank must give you your money back BY CLOSE OF BUSINESS THAT DAY (or next day depending on time), and that the bank must send an "indemnity form" to the company to claim the money back themselves.

In this case, the customer is always right. In addition, there is no time limit of how far back claims can be made. This is because it may be illegal to open other people's post, but it's not illegal to not open your own.

Be aware - this may look like a very easy way to comit fraud as YOU DO NOT HAVE TO PROVIDE PROOF to the bank that you cancelled your dd, but that does not mean that the company that have the money cannot come after you to get their money if you do owe it to them. Most orginisations will take you to court, so it's only worth doing if it's genuine.

I could go on about advances notices etc, but I won't carry on boring you.

p.s. - if the bank still refuse, then report them to APACS.

Happy Easter All.

Martin - love the site - just wish I had more time to persue all I am entitled to!

NP

cutiepie

I set up a direct debit for 18185 but I'm sure they only charge you for the calls you make, it's not really a regular recurring payment so there shouldn't be a problem. I don't know if that helps.

SmellyOldSock

All my bills are via Direct Debit.

I use online banking so have a full list of DD and standing orders, which I regularly go thru and cancel anything that shows which shouldn't be on there. Sometimes I cancel the wrong thing, but hey it means that ain't getting my money without me knowing!

best wishes
Charlotte

the_smallwoods

Hi, can anyone help? I have recently found out that we have been paying by direct debit a regular payment for insurance on a car that we bought nearly 4 years ago. The insurance is for 'return to invoice' whatever that is. However when I looked into this I found the original paperwork and realised that we had ticked the box that said we didnt want to take out the insurance. I cancelled the payment and informed Lombard that they had been taking the money without our permission and eventually they have agreed to return the payments.

My question is - should I ask for interest or should they make some goodwill gesture for having taken this money for so long without our permission?

Chanina

I've been paying my southern electric gas by direct debit for a while now. I'm always in credit with them, by at least £130 per quarter. When my statement arrives each quarter though I always claim the credit they owe me. (It helped me to save thats why.)

Only recently however, I realized that my statment was no longer arriving quartely, but that they were going to send it every 6 months instead.

They said that they were doing it to reduce paper, so I never queried it.

Thanks to Martin's article, it has now occurred to me that they also made this change so that they can claim interest off my money!

I've now asked that they resend my statement quarterly or I may go paperless and receive my statement online instead. Im also going to lower my monthly debit payments.That way any interest to be earnt will be me in my bank.:p

redfibee

We've moved bank accounts with using Abbey's "hassle free" transfer scheme. They notify everyone electronically, so that there is no doubt that all the companies involved have been told of the change.

Our Paypal direct debit was duely cancelled. However, I made a Paypal transaction after moving our bank account, and then found that Paypal had not changed our details.

NatWest returned the incorrect Direct Debit claim, but then accepted a Point of Sale transaction when PayPal claimed the money again.

NatWest refuse to accept that they have done anything wrong, even though they had no authority for the debit.

Paypal have totally ignored all my attempts to contact them

I'm now going to get bank charges, purely because of this one transaction. The so-called "Direct Debit" guarentee seems to be worthless.

It wouldn't be so bad if NatWest hadn't incorrectly paid a Standing Order a few months ago and again refused to remedy their error. We're awaiting our reply from the Ombudsman on that one.

davep123

Hi

My Home Insurance policy with More Than (Royal Sun Alliance) ended in Nov 07 or so I thought.

I did not return any new renewel paperwork at the time, therefore I expected the policy to end.

However I have recently noticed that DD's are still going out of my account,
which I have now cancelled.

After speaking to More than today, to try and get a rebate I was told that I should have notified them in writing of my intent to end the policy (not renew it).

So they will not refund the payments I have made since Nov 07

Is this fair ? Is there anything I can do ?

sensible responces appreciated.

Dave