Direct Debit Taken Without Permission

Vojera

Hi there.

I'm a bit puzzled about this so I'm hoping someone can explain to me how this happened.

I got my car insurance through a broker last year, which was grand. I got a renewal in the post about a fortnight before it was due to lapse and also spoke to an agent on the phone and I told them that I was going to shop around and hadn't chosen a provider yet. In the end, I got better coverage for about €100 less from another provider, so I never got in touch with the broker again.

I was checking my bank account and noticed that an insurance company (the one recommended in my renewal from the broker and the same as the previous year, if that matters) had taken a payment by direct debit from my account. I never authorised this by phone and I didn't sign a direct debit mandate for a new year. (The amount was not the same as the previous year).

I called the insurance company as it was their name on the SEPA reference and they said I had to talk to the broker, so I gave them a call, and they said that since they hadn't heard from me that they assumed I wanted to go with them again. I told them that that was ridiculous and they said that it was really common for insurance to just roll over like that. I've been buying my own insurance since I was 22 and that's the first time I've heard that line.

The broker has agreed to give my money back, but it's a month later and I still haven't got it, despite several phone calls.

So, what I'd like to know is:
1. Am I nuts to think this is wrong? They just took money from my account without my say-so.
2. Should my bank have let the money go if there was no signed mandate in place?
3. How long is reasonable to get my money back?

Its certainly common anyway.

I'm with BOI and they sent me the new disc with the renewal offer with the same spiel.

In my case i couldn't beat the renewal shopping around so had to stay with them in any regard.

Meeeee79

Vojera wrote: »

So, what I'd like to know is:
1. Am I nuts to think this is wrong? They just took money from my account without my say-so.
2. Should my bank have let the money go if there was no signed mandate in place?
3. How long is reasonable to get my money back?

Its definitely not uncommon for it to roll over. It has happened to me. You need to specifically tell them you are definitely not renewing just to be sure.

You signed a mandate at the beginning of the previous year and so this would still be valid, the bank werent in the wrong for letting the money go out. A mandate is not generally for a specific amount and/or period of time

You should have the money back by now. If I were you id call your bank directly, ask to get a refund of this direct debit as it was not authorised by you (you have every right to do this) and also tell them you want to cancel the mandate so that a second months payment cant come out. I would do this quickly though as if its under 8 weeks since the direct debit was taken it can be refunded hassle free. Anything over 8 weeks will take longer.

Vojera

Thanks for that. I did tell them over the phone on the last day of my policy that I wasn't renewing with them but clearly they had already sent the instruction to the bank. They never mentioned that the money was going to be taken, though, and I'm pretty annoyed about that. My budget is pretty tight so a heads up would have been appreciated.

Good to know I can ask the bank directly for the money if it doesn't show up in the next few days (I've been assured a cheque is in the post today - we'll see).

Full Marx

If it is within 8 weeks of the transaction you can get a no questions asked refund, contact your bank directly

Sue Pa Key Pa

Your renewal letter more than likely had something to the effect that they would roll over your direct debit unless they received your instruction to the contrary before a specified date.

It is a good service to customers in that it does away with form filling every year, yet respects your right to change insurer if that is what you want.