The MoneySavingIdiot did an accidental direct debit audit - and got £300 back from his gym

Kelvin,

I did something like this recently as well and found out a few things in the process.  

- Check your DD's!  

- Check your Credit Card statements even if they look ok on face value!

The Vodafone and Virgin awareness course!

In January I finally noticed and questioned a charge for £3 from Vodafone.  I thought it was something my wife had set up but I checked and she didn't know anything about it.

When I called the bank they said it was a DD set up in February 2018!  How had I not noticed this before!  £3 a month for 2 years. Well after an hour on the phone chasing round different parts of Vodafone (who I used to have a PAYG data card with back in 2010)  I found the following out!

In 2014 they disconnected the Data card because I hadn't used it for several years! I remember this happening and I was fine with it. It was a PAYG data card for a laptop that wasn't needed, it didn't cost me anything unless I used it but why bother with it. The card had stopped working anyway!

Well in 2018 when Vodafone updated their billing systems it appears that my Data card and my OLD deactivated Vodafone account was Reactivated and the DD was set up again.  This time with a £3 a month Line rental charge!  

This all without my knowledge or acceptance or signature which leads me into the second point I found out!

With the new DD mandate system the bank will accept DD's to be set up without evidence of agreement from the bank account holder when it comes from 'Trusted' sources through the banking 'Audit' system used to set up DD's between companies!  I was shocked that the bank doesn't confirm a signature or acceptance from me for MY bank account

The outcome!  Vodafone refunded without question the amount they had charged me and have closed the account again! (It was only £60 or so pounds!)  I then stressed to them the loss of interest that this would of caused me!  They gave me an extra refund to make up for it which covered the estimated interest that I had proposed as well!  I wish I had realised how much that hour call cost me though to Vodafone. The charge from a mobile would of been about £30.

I called the bank back and they will now contact me to give me notification of any NEW DD's that are set up on my account as they are set up. A feature I had to ask for!  With the DD mandate protection they will refund me immediately anything that got taken before I was able to cancel it but with the notification I should be able to stop it before it starts now!

I also just last week was going through some Virgin credit card statement from September 2019.  I noticed that the estimated interest to show in my Oct statement would going to be £101.  Checking the October statement the interest was £130.  Why? I asked myself.

I checked and the interest rate had increased. I didn't remember a notification about an interest rate change but it was some time ago! Even so though, if there had been a notification then it was planned and my minimum payment should of been adjusted to take this interest rate increase into account!  It didn't and I ended up with an increase in my balance by £29.

I contacted Virgin CC.  They confirmed a letter had been sent 3 months earlier to all customers with that card.  So it was a planned change! I questioned why the minimum payment hadn't been updated as it was planned. They couldn't answer that and because it was so long ago the only thing they could offer me was a month with a 0% interest rate.  This will save me abotu £100 interest!

Well worth the 10 minute phone call!

I don't have a huge amount on the Virgin CC but other people may have more and as such could be affected much more which is why I wanted to bring it to your attention. Maybe it happens with all CC companies!  

As for Vodafone, it's probably worth mentioning this to everyone as well!  They broke the law and i'm still considering if I should do more about this!

Thanks all