Why can't I pay with standing order?

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Sarahbinj
Sarahbinj Posts: 1 Newbie
in Budgeting & bank accounts
Hi

I'm hoping someone can help me.

I bought my daughter a phone on finance through RateSetter. I pay the same amount ever month.

I changed to a credit union bank account last month as I have been having issues with my bank and I can only pay standing orders out of my new account. They don't have the direct debit function.

I have tried to speak to RateSetter about a standing order and they have said I can do a standing order but it can only be done if the account goes into arrears ... so each month for the next year I can pay by standing order but my account has to be shown as having be paid late. I have asked why I can't just have it set up for a couple of days before and they have told me I can't do this.

I can also ring up and pay by debit card every month but will be charged a £1.50 fee every time I do this.

Basically they only want me to pay by direct debit.

It does not make sense to me at all ... I can understand if it's a variable payment but it's the same amount every month. I have spoke to a few people and they all said no to a standing order.

Help someone?

Comments

  • YorkshireBoy
    YorkshireBoy Posts: 31,541 Forumite
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    Ratesetter set the rules. You were made aware of them (and agreed to them) when you took out the product.

    Your only* option, if you want to avoid the £1.50 fee is to reinstate the DD on your bank account. If you closed it (it's not clear from your post), then open another elsewhere and incur the first £1.50 fee for paying by debit card.


    * It may be the case that ratesetter allow a DD to be paid from an account not in your name. You'd need to check.
  • deadendwaterfall
    deadendwaterfall Posts: 308 Forumite
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    Any examples of any other companies who have the same policy of not allowing standing orders for payment of their goods or services unless in arrears ?
    :o
  • Zanderman
    Zanderman Posts: 4,683 Forumite
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    As YorkshireBoy says, you have an agreement with RateSetter - and that agreement involves a DD. So you need a DD. And therefore you need a bank account that supports DDs.

    If you no longer have one then I would try and open one - just a basic account would do, with almost any bank.

    Having the ability to pay by DD is very very useful - lots of payments these days have to be DDs so you're potentially restricting yourself much more than just RateSetter if you can't do DDs.
  • Shakin_Steve
    Shakin_Steve Posts: 2,701 Forumite
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    A lot of companies, including utility and BT, require payments by dd. They usually add on a fiver or so on each payment, for 'admin' costs, if not paid by dd.
    I came into this world with nothing and I've got most of it left.
  • xylophone
    xylophone Posts: 44,413 Forumite
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    edited 8 October 2018 at 9:29PM
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    Does your daughter have a bank account? If so, could you send her the money each month so that she can pay by DD?

    Otherwise, open a bank account of your own with another bank and set up the DD on that?
  • badger09
    badger09 Posts: 11,209 Forumite
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    xylophone wrote: »
    Does your daughter have a bank account? If so, could you send her the money each month so that she can pay by DD?

    Otherwise, open a bank account of your own with another bank abd set up the DD on that?

    The original thread, which deadendwaterful resurrected today is 2 years old. I expect OP got something sorted;)
  • Zanderman
    Zanderman Posts: 4,683 Forumite
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    badger09 wrote: »
    The original thread, which deadendwaterful resurrected today is 2 years old. I expect OP got something sorted;)
    Well spotted! I should have seen that myself!
  • Shakin_Steve
    Shakin_Steve Posts: 2,701 Forumite
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    badger09 wrote: »
    The original thread, which deadendwaterful resurrected today is 2 years old. I expect OP got something sorted;)
    Oooops. I never noticed either :D
    I came into this world with nothing and I've got most of it left.
  • societys_child
    societys_child Posts: 7,110 Forumite
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    badger09 wrote: »
    The original thread, which deadendwaterful resurrected today is 2 years old. I expect OP got something sorted;)
    Makes it worse that the op only posted once, logged out, and hasn't been seen since. :rotfl:
  • ceredigion
    ceredigion Posts: 3,709 Forumite
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    deadendwaterfall wrote: »
    Any examples of any other companies who have the same policy of not allowing standing orders for payment of their goods or services unless in arrears ?
    why oh why
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