Dmp help needed

[plugman]

Good morning All

 

I am new on here and am in need of some help.

 

I have 5 payday loans that I can no longer afford and have entered into a DMP this week.

 

I have been told to cancel my debit card which I am in the process of doing.

 

Can you help of what needs to be done from here.

 

My loans are with

 

Wonga

Quickquid

Cfo lending

Swift sterling

Toothfairy finance

lending stream

 

Do I need to contact them and advise I am in the DMP and they will be contacted shortly

 

Can they still access my account even though my card has now been cancelled.

 

Do I need to speak to the bank and set anything up with them regarding payments.

 

Sorry for the questions as you can see I am knew to this

 

Thanks in advance for your help

 

Mark

[dx100uk]

whos the DMP with?

 

dx

[plugman]

Clarke Richards

 

thanks for the reply

[renegadeimp]

Dump them and go with a free one such as stepchange

[dx100uk]

get rid of them

 

they take a fee for something you can do for FREE

 

.

 

dx

[plugman]

Thanks for your response

 

Unfortunately it is all signed and sealed and the agreement is in place.

 

In fairness they have been nothing short of amazing so far and are always there to speak to.

 

Ignoring that are you able to help me with the next step which is regarding my bank and not letting the lenders get to my money

 

Thanks again for all your help

[renegadeimp]

You can cancel a dmp at any time. Also, of course paid dmps will act good. You are giving them money for something you can do cor cree. You could use that money to pay off your debts instead of giving their MD his next new porsche.

[plugman]

Thank you Renegade

 

I will look into other options

 

Are you able to provide advice regarding my next steps and what I do with my bank

 

Thanks again

[renegadeimp]

Letter of appropriation or send them a recorded delivery letter listing the companies and merchants you DONT want debiting your account.

[plugman]

Thank you very much, I hope this works.

 

Can the lenders still access your account if your card has been stopped and a new one provided

[renegadeimp]

If there is a cpa on the account yes. That's why you need to tell the bank to cancel them and decline any transactions from specific lenders.

 

The letter of appropriation is used to ensure the correct amount of money is there for your bills. Nobody can touch it. Not even you.

[plugman]

Thank you

 

I will do this once my new card arrives.

 

Can I also email my lenders to remove my CPA from the account

 

Are they ablidged to do this

[renegadeimp]

You dont have to tell the lender about the CPA. UK law says you do it straight through your bank. Think about it, no backstreet DCA will let you cancel a CPA, as it's their only way of stripping your account clean as and when they want to.

 

Also, dont wait for the card to arrive, do it now. Get it written out and make a few copies. Take it to your nearest branch, get the copies signed stamped and dated by the senior manager there. You keep one copy, bank keeps the original. Under UK law, they MUST accept and act on your instructions. Do not let them tell you otherwise.

[plugman]

Thank you

 

I have spoken with the bank just now, They claim that even if you change cards they cannot stop this process from happening,

 

I would need to advise them all of the lenders I wish to stop and on what days these are the be taken out and they will do all they can to have this stopped ??

 

Can you confirm if this is right - Surely the bank should be doing more to help

[Bombaymix]

The bank are talking crap.

 

They HAVE to cancel CPAs on your request. Go back with your letter and google "bank won't cancel CPA" see all the results it throws back. If possible print of the legislation and show it to the cashier.

 

I'd try and speak to a supervisor or manager at the bank.

[renegadeimp]

Forget the front desk moneys at a branch or on the phone line. Get talking to a senior manager.

 

If you go to a branch, write a full list of all lenders and associated merchants that you want payments blocked to. That way there is no chance they can debit the account.

 

Also, and this might be a good idea if your bank is screwing you around, look into getting a parachute account. Have your income paid into that and use the old account purely for your bills. Give NOBODY the new information. Only use it to get your money paid in.

[dx100uk]

We have been telling people to put a letter into their bank instructing them not to make any payments under any circumstances to these companie

http://whatconsumer.co.uk/visa-debit-chargeback/- it works!

 

banks MUST follow written intructions from their customers !

This fsa [now the FCA] 11:24 31/05/2013 guide has now been updated:

 

http://www.fsa.gov.uk/pubs/consumer_...ghts_guide.pdf

 

Here's the text:

 

Cancelling a regular

card payment:

 

When you give your credit or debit card details to a company and authorise them to take regular payments from your account,

such as for a gym membership or magazine subscription,

it is known as a ‘recurring transaction’ or ‘continuous payment authority’.

These are often confused with direct debits, but do not offer the same guarantee if the amount or date of the payment changes.

In most cases, regular payments can be cancelled by telling the company taking the payments.

.

However,

you have the right to cancel them directly with your bank or card issuer by telling it that you have stopped permission for the payments.

Your bank or card issuer must then stop them – it has no right to insist that you agree this first with the company taking the payments.

Be aware, though, that you will still be responsible for paying any money that you owe.

.

see: http://www.consumeractiongroup.co.uk/forum/showthread.php?336569-How-to-remove-a-lender-s-continuous-payment-authority(2-Viewing)-nbsp

.

http://www.fsa.gov.uk/pages/consumerinformation/product_news/banking/know_your_rights/solving/index.shtml

and

Attach the following to your claim and in the interim period write to your bank and attach the following (Keep a copy)

Regulation 55 of The Payment Services Regulations 2009:

55.—(1) A payment transaction is to be regarded as having been authorised by the payer for the purposes of this Part only if the payer has given its consent to—

(a)the execution of the payment transaction; or .

(b)the execution of a series of payment transactions of which that payment transaction forms part. .

(2) Such consent—

(a)may be given before or, if agreed between the payer and its payment service provider, after the execution of the payment transaction; and .

(b)must be given in the form, and in accordance with the procedure, agreed between the payer and its payment service provider. .

(3) The payer may withdraw its consent to a payment transaction at any time before the point at which the payment order can no longer be revoked under regulation 67.

(4) Subject to regulation 67(3) to (5), the payer may withdraw its consent to the execution of a series of payment transactions at any time with the effect that any future payment transactions are not regarded as authorised for the purposes of this Part.

This means that you can simply ask your bank to refuse the payments, it is also good practice to let the lender know too.

So, if you would like your creditor to stop trying to take a payment all you need to do, in theory, is to inform them that you remove their authority. It's probably better to do this in writing and via recorded delivery - if possible.

You can learn more about your rights via the following fsa guide :

Ending recurring payments from credit cards

57 Recurring payments, is the term used to describe transactions for which a client has granted written permission for her/his credit or debit card to be debited for recurring goods or services, for example, club membership subscriptions, insurance cover or payday loansicon. The card may be debited annually, monthly or at other regular intervals.

.

58 In most cases, recurring payments can be cancelled by telling the trader taking the payments. However, a client has the right to withdraw consent by simply telling whoever issued the card (the bank, building society or credit card company) that s/he does not want a payment to be made. S/he can tell the card issuer by phone, email or letter.

.

59 The card issuer has no right to insist that the client ask the trader to stop taking the payment first. The card issuer has to stop the payments if the client has asked them to. The client could point out to the card issuer that they should follow the FSA guidance available in the FSA know your rightsicon booklet which is available on the FSA website at www.fsa.gov.uk.

.

59a If money is still taken from the client's account, it will be deemed to be an unauthorised transaction, and the card issuer must give her/him an immediate refund. The card issuer will have to cancel any interest and charges added to the her/his account because the payment was taken. It is not up to the client to prove that s/he told the card issuer to stop taking payments. Instead, the card issuer would have to prove that s/he did not tell them to stop making payments.

.

60 The client should make a complaint to the Financial Ombudsman Service when all the internal complaints systems within the company issuing the card have been exhausted.

I hope this information is of assistance

New june 2013

Regulator orders Banks and mutuals to review complaints about not cancelling recurring payments from November 2009.

Consumers who have set up a regular payment from their account will now be able to successfully cancel that arrangement by contacting their card provider, the Financial Conduct Authority said.

The FCA has been examining how easy it is for customers to cancel Continuous Payment Authorities (CPAs) due either to payday lendersicon or for other regular payments such as subscriptions or gymicon memberships.

CPAs, which are also commonly called recurring transactions or recurring payments, are relatively easy to set up but can be hard to cancel, causing problems for consumers trying to manage their finances,the FCA said.

Now, following the FCA review of how the largest high street banks and mutuals process requests to cancel CPAs, they have agreed that they will ensure that when a customer asks for a recurring payment to end, that will be sufficient to cancel the arrangement. They have also confirmed that should a payment go through by mistake following cancellation by a customer the customer will be refunded immediately.

In addition to securing this commitment, the largest banks and mutuals have agreed to review every individual complaint they have received about the non-cancellation of a CPA and to pay redress where payments have continued to be made despite the customer cancelling the arrangement. This applies to all complaints since November 2009 when the Financial Services Authority, the FCA’s predecessor, began regulating banking conduct.

Clive Adamson, the FCA’s director of supervision, said: “It’s important that consumers are confident that banks are meeting their everyday banking needs. Today customers can be confident that when they ask for a Continuous Payment Authority to be cancelled – it will be cancelled - and that it can be done easily.

“We recognise that historically this is an area where some customers have struggled but the banks and mutuals have responded positively to our work on this issue. From now on we expect them to be getting this right. In addition, they have committed to review past complaints.”

http://www.ftadviser.com/2013/06/28/...J/article.html