Whilst on hols my wages went in a day later. A direct debit payment to my car insurance company was missed, but then subsequently paid a day or two after when requested again and funds were available.

I only been with this insurance company (and the finance company they use conister trust) for 5 months and have never missed a payment.

They now are telling me that this minor mishap means a £20 charge which they have just taken automatically.

It doesn't cost them £20 to resubmit a DD (which was done automatically via the system). Besides my account is up to date.

Can this be challenged via legal methods?

yep send them a bill for the charge, or in the first instacne ask for their T&C's to double check this is mentioned

it is mentioned in terms and conditions. but still cannot see how it is legal. what good will sending them a bill do? surely they will laugh it off?

Hello LordLee.

Sorry to hear about your situation, which we at Conister Trust want to help you with.

It's a common misconception however the company that is responsible for the charges applied to your account, in the event of a missed payment, is a company called Panacea and is not in fact Conister Trust. Panacea manages the premium collection activity for your insurance.

You can call Panacea on 0845 219 0587 to discuss the fee.

Whilst your loan agreement is with Conister Trust the charge that is levied in the event of a missed payment is not in any way governed by Conister Trust.

We're happy to steer you in the right direction and hope that you can resolve your problem. Regards. The Conister Trust Customer Service Team.

contact the group mentioned above and ask them what makes it cost £20 for an Automated dd - then request the 20quid back

ok... called Panacea and calmly requested the £20 back. this was refused. so i asked whether how they came to the £20 when the 2nd DD request is computer automated. i was told i'm being charged for the service of requesting the direct debit again.

so... i stated that if I am paying for a 'service' i am entitled to a full detailed breakdown of the costs involved and how they come to the £20. i also said that as it is a service, i can be 'unhappy' with the 'service' and request my money back.

this all fell on deaf ears however. i've been told they will indeed send a breakdown as they are covering costs of the bank fees they incur.

no idea what my next move is. any ideas?

wait for the breakdown then send your own,

something like

checking DD went on second attempt = £20

If your employer paid you late, they may have a responsibility here as they caused the charge. I would have a quiet word with your pay office.

Have you checked to see if the bank have charged you an unpaid fee too? Better find out in advance as you don't want to go back to your employer again with a second request.

wait for the breakdown then send your own,

 

something like

 

checking DD went on second attempt = £20

ok... all they have sent me is a copy of the credit agreement detailing what they may charge if a DD is missed.

next move? i could send them a letter detailing my costs but i doubt they'll pay that. i would like to get this money back.

send the LBA letter

yes i thought about this. i downloaded the preliminary approach for payment and LBA. i'm assuming i can just change wording so that it applies to the finance company rather than banks?

thanks for all your help with this.