Late payment issue

Ted · Jan 01, 2011, 15:32:19

My payment date is the 25th, hands up I forgot, and sent payment at 10am on the 26th.

Just received an email from accounts today, saying it's not been paid.

QuotePlease may we remind you that payment is required in-advance for the period of service as stated on the invoice. The payment due date is printed on the invoice and payment must reach us on or before that date.

We reserve the right to charge late payment interest and penalties in accordance with the Late Payment of Commercial Debts (Interest) Act 1998 as amended. Note that this includes statutory compensation for late payments of £40 per invoice in addition to interest charged at 8% above the base rate.

Nice!

I've spoken to First Direct and they assure me that the express transfer scheme works 365 days a year, and the payment arrived at IDNet on the 26th.

pctech · Jan 01, 2011, 15:35:24

I bank with FD too and that is correct but it requires someone in accounts at ID to check their collection account and manually credit it.

Ted · Jan 01, 2011, 15:41:07

Quote from: pctech on Jan 01, 2011, 15:35:24
but it requires someone in accounts at ID to check their collection account and manually credit it.

That's exactly what the bank told me, they also told me "but that's their problem" but now it seems to be mine!

Rik · Jan 01, 2011, 15:42:54

I think you've just been caught up in an automated scheme, Ted. Have a word with Simon on Tuesday.

pctech · Jan 01, 2011, 15:44:26

I think even if you pay it by card it takes a day or two to process, I've no idea why.

DD might be a better bet as I know my phone bill (with IDNet) was due on 28th but was deducted on 29th because then it really is up to them.

Rik · Jan 01, 2011, 15:47:05

Plus, of course, 25-28 December weren't 'banking days', nor are 1-3 January.

pctech · Jan 01, 2011, 15:50:06

But there needs to be a better system now we have faster payments.

I do also wonder why it can take 3 days for a card payment to be credited.

Rik · Jan 01, 2011, 15:51:16

I find that's usually down to the retailer dragging their feet.

pctech · Jan 01, 2011, 15:53:48

Think it takes a day or two to work through the Visa and Mastercard settlement systems.

Rik · Jan 01, 2011, 15:55:39

Indeed, the rest is just retailer inaction.

pctech · Jan 01, 2011, 15:56:54

I wonder if it would have been better for Ted to pay his bill on the portal using his debit card?

Ted · Jan 01, 2011, 15:58:58

Quote from: Rik on Jan 01, 2011, 15:42:54
I think you've just been caught up in an automated scheme, Ted. Have a word with Simon on Tuesday.

I won't bother, Rik. They can take as much "statutory compensation" as they like. It'll be the last payment they ever receive from me.

You've probably guessed, I'm a bit peed off.

pctech · Jan 01, 2011, 15:59:46

Ted do you have broadband or just the phone?

To be fair I think this has been sent out by the automated system.

Simon · Jan 01, 2011, 16:00:17

I do wonder if perhaps that automated notice is a little stern for a 'first offence', though, especially if the payment is only a day overdue. Maybe IDNet could look at a gentler first reminder?

Ted · Jan 01, 2011, 16:05:34

Quote from: Simon on Jan 01, 2011, 16:00:17
especially if the payment is only a day overdue.

I wonder if I'll receive my MAC as quickly?

Rik · Jan 01, 2011, 16:06:05

Quote from: Ted on Jan 01, 2011, 15:58:58
I won't bother, Rik. They can take as much "statutory compensation" as they like. It'll be the last payment they ever receive from me.

You've probably guessed, I'm a bit peed off.

I really do think it's one of those automated issues, Ted. I've never seen one, but I can have a word with Simon about it next week.

Rik · Jan 01, 2011, 16:06:26

Quote from: Ted on Jan 01, 2011, 16:05:34
I wonder if I'll receive my MAC as quickly?

You'd normally receive it immediately.

pctech · Jan 01, 2011, 16:07:04

I do agree it does seem a little stern that warning.

nowster · Jan 01, 2011, 16:16:35

As with many small businesses, if you can speak to a human and explain (politely) that it was a genuine mistake on your part, they'll usually be accommodating for a first offence.

The reason they will have the standard £40 late payment fee is so that they can bludgeon customers that are habitual late payers. I'm sure they'll have some discretion as to whether it is waived.

JB · Jan 01, 2011, 17:19:05

I wouldn't worry too much Ted.

In my case Scottish Power sent me a reminder to submit my on-line meter reading. The email was dated/timed, Christmas Day at 12:30.

Nice! Just in time for Christmas lunch.

I already hate them with a vengeance

DorsetBoy · Jan 01, 2011, 18:09:34

You got a hang over Ted? All ISP's have an automated billing system and if a payment is not registered an email will be sent, it's the same for everyone you are not being picked on. IDNet are hardly going to be charging you once the banking system gets moving again and they are back in the office.

Ted · Jan 01, 2011, 18:49:30

Quote from: DorsetBoy on Jan 01, 2011, 18:09:34
You got a hang over Ted?

I should be so lucky

Too busy driving children all over the place.

Quoteit's the same for everyone you are not being picked on

Never thought I was, I just don't appreciate receiving what I consider threatening emails on new years day! Or any time, for that matter.

QuoteIDNet are hardly going to be charging you once the banking system gets moving again and they are back in the office.

That remains to be seen. According to my bank, the system seems to be moving just fine, it would appear to me (and First Direct) that it's IDNet dragging it's arse crediting the payment. I can only go on what i've been told.
As I said, it was a late payment, I accept that, but £40 + 8% interest is waaaaay over the top!

Rik · Jan 01, 2011, 18:55:22

I'd be amazed if they hit you with that, Ted, imo it's just a standard email triggered by the passage of time. Unfortunately, it's all happened during the Xmas shutdown and there's no-one there to credit your account. I suspect, though, that the accounts system does a daily 'batch' run regardless.

pctech · Jan 01, 2011, 19:02:57

I'm sure this will all be sorted reasonably Ted, IDNet seem like a decent bunch, not like you're dealing with hangin' Harry the loanshark from down the road.

Tacitus · Jan 01, 2011, 20:12:00

Quote from: pctech on Jan 01, 2011, 19:02:57
.......IDNet seem like a decent bunch, not like you're dealing with hangin' Harry the loanshark from down the road.

They *are* a decent bunch and I expect them to do the right thing. In my own case I had to raise a query regarding a charge. It was sorted promptly and a credit put on my account there and then and I got a phone call with an apology from Simon. Note, he didn't have to phone me he could have just replied to the email.

What seems to have happened here is that the automated system has pressed on regardless over the holidays. Once they open next week, a quick phone call and I don't doubt it will be sorted, with an apology for any inconvenience.

Regarding the fee for late payment, I think most of us would probably be surprised at the number of habitual late payers. I also notice the recent requirement for people to sign a written agreement to pay BT SFI charges, which suggests to me they may have had people refusing to pay, particularly in cases of 'no fault found'.

For some people (not in this case) it's a point of honour not to pay until the final demand. The upshot is increased admin time and costs, chasing bad (or non) payers and, a slightly poorer quality of service for the rest of us.