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  • FIRST POST
    • aggypanthus
    • By aggypanthus 19th Jan 15, 1:08 PM
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    aggypanthus
    charge for missed d debits?
    • #1
    • 19th Jan 15, 1:08 PM
    charge for missed d debits? 19th Jan 15 at 1:08 PM
    Am I right in thinking that companies are only allowed to charge 12 per missed payment?

    We missed to dd payments to the credit company to whom we pay car ins, and they charged 2o each time, can I challenge this ammount?
    Thanks.
Page 1
    • dzug1
    • By dzug1 19th Jan 15, 7:56 PM
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    dzug1
    • #2
    • 19th Jan 15, 7:56 PM
    • #2
    • 19th Jan 15, 7:56 PM
    The 12 refers to charges made by the bank/card company, not those made by the insurance company. Who actually made the charge?
    • aggypanthus
    • By aggypanthus 19th Jan 15, 10:36 PM
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    aggypanthus
    • #3
    • 19th Jan 15, 10:36 PM
    • #3
    • 19th Jan 15, 10:36 PM
    The ins company have their money, its a credit agreement which pays them via our monthly payments. Ie the credit company are chargeing us.
    • Thrugelmir
    • By Thrugelmir 19th Jan 15, 10:48 PM
    • 62,514 Posts
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    Thrugelmir
    • #4
    • 19th Jan 15, 10:48 PM
    • #4
    • 19th Jan 15, 10:48 PM
    We missed to dd payments to the credit company to whom we pay car ins, and they charged 2o each time, can I challenge this ammount?
    Originally posted by aggypanthus
    Not if the charges are clearly laid out in the finance agreement you signed.
    "You get recessions, you have stock market declines. If you don't understand that's going to happen, then you're not ready, you won't do well in the markets." - Peter Lynch
    • dzug1
    • By dzug1 20th Jan 15, 12:22 AM
    • 13,359 Posts
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    dzug1
    • #5
    • 20th Jan 15, 12:22 AM
    • #5
    • 20th Jan 15, 12:22 AM
    Not clear how you can 'miss' DD payments
    • chattychappy
    • By chattychappy 20th Jan 15, 12:48 AM
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    chattychappy
    • #6
    • 20th Jan 15, 12:48 AM
    • #6
    • 20th Jan 15, 12:48 AM
    Not if the charges are clearly laid out in the finance agreement you signed.
    Originally posted by Thrugelmir
    Penalty charges are not enforceable if they exceed the cost of the breach to the injured party. Arguing it can be a different matter, of course.

    Just because something is "clearly laid out" in the T+Cs, doesn't make it enforceable.
    • aggypanthus
    • By aggypanthus 21st Jan 15, 10:33 PM
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    aggypanthus
    • #7
    • 21st Jan 15, 10:33 PM
    • #7
    • 21st Jan 15, 10:33 PM
    Thanks guys.

    I Can now look into it further.
    • thebritishbloke
    • By thebritishbloke 22nd Jan 15, 1:54 PM
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    thebritishbloke
    • #8
    • 22nd Jan 15, 1:54 PM
    • #8
    • 22nd Jan 15, 1:54 PM
    Penalty charges are not enforceable if they exceed the cost of the breach to the injured party. Arguing it can be a different matter, of course.

    Just because something is "clearly laid out" in the T+Cs, doesn't make it enforceable.
    Originally posted by chattychappy
    Apart from the fact that a 12 fee for a missed DD is an industry standard fee.
    Credit 'Score' - Don't buy the credit 'score' that Experian, Equifax and Noddle want to sell you. It's an arbitrary number that means nothing when it comes to applying for credit.

    ALWAYS HAVE A DIRECT DEBIT SET UP FOR THE MINIMUM PAYMENT ON YOUR CREDIT CARDS, REGARDLESS OF WHETHER YOU PLAN TO LOGIN AND PAY EACH MONTH.
    • MPH80
    • By MPH80 22nd Jan 15, 4:56 PM
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    MPH80
    • #9
    • 22nd Jan 15, 4:56 PM
    • #9
    • 22nd Jan 15, 4:56 PM
    Apart from the fact that a 12 fee for a missed DD is an industry standard fee.
    Originally posted by thebritishbloke
    The 12 amount came about when it was suggested that this might not be considered unreasonable for the banks to charge.

    However, that was based on the bank's effort. E.g. they have automated systems that decide, or not, what to do about the payment.

    The credit company, on the other hand, have a larger cost associated with the bounced payment - they have to follow up - probably manually - with the customer, chase etc.

    For them to argue 20 wouldn't be hard. Sounds cheap if you think about the effort for them to chase the customer.
    • aggypanthus
    • By aggypanthus 22nd Jan 15, 8:42 PM
    • 1,554 Posts
    • 1,979 Thanks
    aggypanthus
    The 12 amount came about when it was suggested that this might not be considered unreasonable for the banks to charge.

    However, that was based on the bank's effort. E.g. they have automated systems that decide, or not, what to do about the payment.

    The credit company, on the other hand, have a larger cost associated with the bounced payment - they have to follow up - probably manually - with the customer, chase etc.

    For them to argue 20 wouldn't be hard. Sounds cheap if you think about the effort for them to chase the customer.
    Originally posted by MPH80
    What do you mean manually? They sent a letter, as do banks, they tried to get the payment on another date, seems easy enough.
    It wasnt hard to chase me lol, I hadnt allowed enough time for a paid in ch to clear to cover it.

    Actually, when I last had an actual credit card, there charge WAS 12.

    I say again its not a credit card, but a credit company who finance ins payments.
    • chattychappy
    • By chattychappy 23rd Jan 15, 1:45 AM
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    chattychappy
    Apart from the fact that a 12 fee for a missed DD is an industry standard fee.
    Originally posted by thebritishbloke
    There was a time when 20 (or more) was "industry standard". As was selling PPI. As was cardholder protection policies...
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