Paying extra for not using direct debit

Rik · Mar 05, 2008, 00:25:40

Type a lot too.

Simon · Mar 05, 2008, 09:50:27

merlin · Mar 05, 2008, 10:47:27

BT actually charge EXTRA if you don't do DD, something like £5 quarter, and as i only get charged for line rental (i own that B***** line by now ) i was forced to go DD

Rik · Mar 05, 2008, 10:51:02

TBH, I prefer to pay bills by DD. The guarantees are strong enough to satisfy me, I can cancel them instantly, and it's less hassle.

Inactive · Mar 05, 2008, 10:51:23

Quote from: merlin on Mar 05, 2008, 10:47:27
BT actually charge EXTRA if you don't do DD, something like £5 quarter, and as i only get charged for line rental (i own that B***** line by now ) i was forced to go DD

Agreed, it is a huge scam.

johnny5 · Mar 05, 2008, 18:37:40

Quote from: merlin on Mar 05, 2008, 10:47:27
BT actually charge EXTRA if you don't do DD, something like £5 quarter, and as i only get charged for line rental (i own that B***** line by now ) i was forced to go DD

That was one of the nails in the coffin for my bt broadband,i had to pay an extra £4.50 a quarter for the pleasure of not paying by direct debit.

processing fees

Niall · Mar 05, 2008, 19:49:19

Quote from: Noreen on Mar 04, 2008, 14:11:46
I was interested to read here http://www.digitalspy.co.uk/forums/showthread.php?t=756191 that Orange and Virgin are now charging extra for not using direct debit for their broadband services.

Vodafone do this for mobile phones. They repeatedly messed up my direct debits for me that took FIVE MONTHS to sort out. At one point they even accused the manager of the Natwest bank of not knowing how direct debits work, and the direct debit going out in the middle of the month, rather than the first day of the month, was normal. Due to this, I switched to monthly billing that I'm now forced to call them to pay because you can't pay in the vodafone shops.

While I'm moaning about them, I shall add another part to the above story.

After all the problems, I asked them to terminate my contract, which they told me would end in March rather than October due to all the hassle I'd had (baring in mind this would mean a 12 month contract not an 18 month one, so it's not an unheard of contract I was asking for, or rather had been told I was getting), but I'd have to pay for this, or wait until March. Also, they told me that if I don't contact them a FULL MONTH before hand, they will automatically renew my contract for one year.

So, last Friday I called them to pay my bill and cancel the contract. I tried to check on their website, which has no way of doing so other than trying to upgrade your phone to a newer model (you can only do this with Vodafone within 60 days of the contract ending). Of course it wouldn't let me, which is why I phoned them immediately, rather than wait to pay my bill a few days later as I normally do.

Now this won't come as a shock to you as I expect you've seen what I'm about to say, coming a mile off. Yes you've guessed it, they conveniently have NO RECORD of this conversation taking place at all. Not only this, they never do this, never offer it and I would have to pay over £180 to terminate my contract for a mobile phone I'm paying £20 a month for that I DO NOT USE. I send about 10 texts a month to my friends in various parts of the country, and that's it. This is a part of the package. If I was to stack up all the free call time I had, I would easily have enough to talk for about 3 or 4 days solid, and would have 10s of thousands of texts available. Of course Vodafone don't let you carry over your talk time or text allowance that YOU PAY FOR.

Yes, Vodafone are one of the biggest bunch of cowboys going.

madasahatter · Mar 05, 2008, 22:33:24

Quote from: Rik on Mar 05, 2008, 10:51:02
TBH, I prefer to pay bills by DD. The guarantees are strong enough to satisfy me, I can cancel them instantly, and it's less hassle.

Me too Rik - it's much easier, and I don't have to worry about them. On the other hand, I don't agree with firms charging more if you DON'T pay by DD. Surely it should be the customers choice.

merlin · Mar 05, 2008, 22:44:54

mad/rik thats what i was trying to get at, i prefer DD,but i don't like being financially forced into it, theres a principle there somewhere!!!

J!ll · Mar 05, 2008, 23:04:32

Quote from: Niall on Mar 05, 2008, 19:49:19
Of course Vodafone don't let you carry over your talk time or text allowance that YOU PAY FOR.

Yes, Vodafone are one of the biggest bunch of cowboys going.

I am with Vodafone, they allow me to carry over my talk time by one month, if I don't use it I lose it

Rik · Mar 05, 2008, 23:38:33

Quote from: merlin on Mar 05, 2008, 22:44:54
mad/rik thats what i was trying to get at, i prefer DD,but i don't like being financially forced into it, theres a principle there somewhere!!!

I can see your point. I guess I've always been rushing to get to DD, so I've never been pushed into it.

Niall · Mar 06, 2008, 22:59:44

Quote from: J!ll on Mar 05, 2008, 23:04:32
I am with Vodafone, they allow me to carry over my talk time by one month, if I don't use it I lose it

Well yeah, you have one month. You have no financial benefit from it though as you're actually losing a month, every month

Niall · Mar 06, 2008, 23:01:53

Quote from: Rik on Mar 05, 2008, 23:38:33
I can see your point. I guess I've always been rushing to get to DD, so I've never been pushed into it.

If you've constantly got money in an account, DD is great. If they make mistakes or take out money at the wrong time of month, it can and will cost you a lot of money otherwise, plus time and effort to fix it. Oh, the fun I've had with Nildram, two finance companies, Vodafone and a few other companies in the last 10 years

Rik · Mar 07, 2008, 01:01:07

If anyone takes money at the wrong time or the wrong amount, I just hit the bank with the DD guarantee and get them to sort it, Niall, though I've been using DDs for as long as I can remember and haven't yet experienced an error.

madasahatter · Mar 07, 2008, 01:04:21

Me neither - they know that they are responsible for any errors - could that be why?

Rik · Mar 07, 2008, 01:04:59

Yes. Next question?

madasahatter · Mar 07, 2008, 07:58:51

Quote from: Rik on Mar 07, 2008, 01:04:59
Yes. Next question?

Is the Earth round or flat?

Rik · Mar 07, 2008, 10:07:10

Yes.

Niall · Mar 08, 2008, 18:49:43

The problems I had stemmed from the fact that the companies made the error, not the bank. Then they had the nerve to say (not suggest, they actually outright told me) that the bank was wrong and should give the charges back. While I agree the bank should give me my money back rather than charge me for an error, I can also argue that it's the companies faults and they should pay me back. As I've mentioned on these boards, the problem I had with Vodafone took me FIVE MONTHS to sort out. Now they have gone back on their word and denied offering me a way out of my contract as a 12 month one, rather than the 18 month it ORIGINALLY was.

Rik · Mar 08, 2008, 18:53:24

It is down to the company if it takes too much money, or takes it without notice or on the wrong date. The banks will refund the money and recover from the payee, assuming we're talking DD. Vodafone, otoh, like many large companies, are another matter entirely.

Niall · Mar 08, 2008, 19:00:50

Natwest wont. The refused point blank to give me the money back and made me do all the running around for 5 months. They advised me of the procedures of DD, and how it works once the request has left the company involved, but as for returning the charges, they wouldn't do it because it had happened to me before, in the last 5 months (Natwest are obsessed with this rule. I couldn't renew my loan with them due to the Natwest credit card company black flagged me because I had 2 failed direct debits in 5 months, again because the company involved had taken the money at the wrong time. In this case it was Egg).

With Natwest, you just can't win. As soon as this court case is all done, I'll be claiming my hundreds of pounds back from charges and interest. I'm also going to be doing it with the Credit card branch of Natwest. If all goes well, it's going to actually give me enough money to pay off the card entirely and buy myself something shiney

Rik · Mar 08, 2008, 19:02:42

I don't know about any five-month rule, Niall, every mandate I've ever signed has simply said if the money is taken wrongly, the bank will immediately rectify it. Have you tried the Banking Ombudsman or the FSA?

Niall · Mar 08, 2008, 19:37:28

It's all long gone now, but if this current court case rules in the publics favour I'll be getting it all back, and more, so I'm not too bothered about it now. I just need to get the bank statements ordered before the outcome or I could lose out I'm told.

Rik · Mar 08, 2008, 19:42:54

Good luck then.

kinmel · Mar 08, 2008, 21:42:47

Quote from: Niall on Mar 08, 2008, 19:00:50
Natwest wont.

First Direct told me no once last year, but when I asked for a copy of their T&Cs for DDs they rolled over, BACS is quite clear and is binding upon all member banks....

The Direct Debit Guarantee

* If the amounts to be paid or the payment dates change, the organisation collecting the payment will notify you normally 10 working days in advance of your account being debited or as otherwise agreed
* If an error is made by the organisation or your bank or building society, you are guaranteed a full and immediate refund from your branch of the amount paid
* You can cancel a Direct Debit at any time by contacting your bank or building society. We also recommend you notify the organisation concerned.

No ifs, no buts.