£30.00 default fee

[BaldyBaldwin]

My son recently changed jobs, and his salery went into his account on a different date, and one of his Direct debits did not go through, he realised that it was going to happen and called the company to explain and make the payment by debit card. They refused, saying that they could only recieve payments by direct debit.

The payment did not go though and they have charged him £30.00 returned payment fee.

 

Is this payment excessive and can anything be done about it ?

[renegadeimp]

Did the company charge him, or did the bank?

[BaldyBaldwin]

The company, V12 personal finance

[renegadeimp]

Then its an unfair/unlawful fee. basically a missed payment penalty fee.

[Old Cogger]

make a formal complaint to start with? I suggest to V12 ? others will also comment.

[BaldyBaldwin]

Why is it unlawful ? because of the amount ?

 

Thanks for your replies

[Migster]

This is from the V12 website and seems to contradict the advice received on the phone call:

 

How can I make a payment to my account?

Payment to your account can be made by Direct Debit instruction to your bank alternatively, payment can be made by telephoning our customer services team on 02920 468900 using a debit card, or sending a cheque/postal order made payable to V12 Personal Finance Limited, 20 Neptune Court, Vanguard Way, Cardiff CF24 5PJ.

 

They do however appear to impose a charge if you don’t pay by DD, but I presume this is not the £30 fee in question:

 

Why do I have to pay a payment processing charge and can I avoid it?

The Payment Processing Charge (PPC) is to reflect an increase in the costs of processing both debit card and cheque payments that we incur as a business within the banking system. There is no charge for the collection of monthly direct debit installments.

[havinastella]

Ask for a detailed breakdown of the cost!

[BaldyBaldwin]

So basically they can charge this fee then

[havinastella]

So basically they can charge this fee then

 

NO.

 

They can charge this fee, if they can justify the amount. They cannot make any profit from the fee charged.

 

So ask them for a FULL detailed breakdown of how they make up the charge.

[kregrs]

I tried asking my insurance broker for a breakdown of one of their fees, and they refused, instead fobbing me off with 'its in the t&c's', and threatened to cancel my insurance if I didn't pay their fee.

[renegadeimp]

It doesnt matter. They are obliged to send you a statement of account. I think you are going to need to SAR them and specifically state what info you require. This forces them to send you it.