Direct debit cancellations

[Guest JoCG]

I was amazed and gobsmacked to find out that if you wish to cancel a direct debit here it doesn't work in the same way as it does in the UK. I informed the company, gave them notice of cancelling the contract and requested that the payment be stopped, nothing different there. I then went into the bank and asked them to cancel it from their end. Erm sorry, no can do. What???? Do you mean I have no control over my account that if the company try to take more money as they are so often wont to do they can and I can't stop them? Afraid so, they don't have the system in place to do this. I'm sorry but I've never heard anything more ridiculous in my life, I worked in banking in the Uk and I find it very hard to believe that in this day and age they don't have the facillity to implement this. So word of warning, if you cancel a direct debit, watch your account like a hawk.....:policeman:

[Petals]

Best not to have one in the first place.

 

Gyms and other places are favourite for these debits but its a loan company who handles it. Make sure you give a letter in writing to the firm who receives the money and a letter to the credit company who provided the loan. Also advise your bank then if they continue to debit your account you can get your bank to investigate it just like a wrong entry on a credit card.

 

I know everyone emails these days but in these sorts of things for legal follow up hard copy is required.

[Guest proud2beaussie]

The law in Australia is that you create a direct debit authority with the company who are providing whatever service it is-eg a mobile phone provider,you give them authority to directly debit the bank account you choose,the bank merely acts as the third party in carrying out the request,they (the bank) will debit the account on a valid request from the biller,therefore if you cancel the authority with the company there should be no need to instruct the bank to do anything,if the company continues to take the debit it's them you have to deal with not the bank.

And to be honest with you I can't see why you are "gobsmacked" just because something is different in Australia to what you are used to.

Look at it this way,if you agree to pay an account each month by cheque then for some reason decide to stop paying you don't go to the bank and tell them not to pay any cheques you write made out to the company in question,you deal with the company,it's the same principle.