I recently took out a payday loan with WDA but unfortunately due to me becoming unemployed, I was unable to repay the full balance on the due date which was 25/07. I emailed them on 23/07 explaining I was having financial difficulties, I would not be able to pay them anything on the due date but did want to come to an arrangement to pay. I specifically asked them not to take the funds from my card, as there would be insufficient funds in my account

I recieved a response asking for the circumstances of my unemployment, which I replied to, they've asked for some proof, like a P45, which I said shouldn't be a problem and it was all quite civililsed...

Until I noticed 2 transactions on my account for £10 on separate days. I thought this was odd but perhaps they were just late payment charges. Today however I've found my account has basically been cleaned out by them and they have taken £300.

Yes, I should have cancelled my card and as I understand it there is little or nothing that can be done about it as debit card transactions aren't protected in the same way that DD's and SO's are.

However, I've just read their terms and conditions, which are interesting to say the least:

"If this repayment transaction fails, we will make up to a further 3 attempts on the Due Date to recover the following sums, in order, by

Debit Card payment:

£10 (step 1);

if this is successful, 50% of the outstanding balance (step 2);

if step 2 is successful, 50% of the outstanding balance;

if step 2 is unsuccessful, 25% of the outstanding balance.

Where we cannot obtain the amount outstanding on any Due Date, we will make immediate attempts to contact you and find out why,

and agree alternative repayment arrangements. It is in your interest to discuss your situation with us. If you are suffering financial

hardship, we will show forbearance in considering alternative repayment arrangements. If you agree a repayment plan with us, or

arrange an alternative date for repayment, we will suspend collections attempts for the period until the revised payment falls due as

agreed."

So, they took the first £10 - that worked. Step 2 - 50% of remaning balcance, no that didn't work - ok lets try and other £10 the day after then... yes that's worked.

Then I'm guessing they've probably tried to take a few more out and failed. Until today that is when a few hundred pounds was transferred into my account by a family member, they've tried again and YES, we've got him.

Now that doesn't look much like the process in their terms and conditions to me?

I've since sent an email asking for a breakdown of the transactions they have attepted to make, failed or successful and said I will be cancelling my card, and all they have succeeded in doing is delaying the payment of the full balance further.

Can anyone say I am within my rights to complain here?

Many thanks

James

Hi Axle_81,

Are you sure the 300 GBP were taken by debit card payment and not by direct debit? Usually WDA, if you are on repayment plan or about to be on repayment plan, sets up a direct debit of 300 GBP one day before your salary would be due. If it was taken by DD you can request your bank to return it, if it was by card this is difficult.

If it was by card you can however still challenge the transaction with your bank as it would have been not due to WDA's term and conditions, but reading the terms and conditions you posted it would not make much difference to have taken 150 GBP (step 2) and 150 GBP (step 3), or 300 GBP (step 2 and 3 together in one go).

How much is/was the original loan amount and the total amount you owe WDA?

Thanks for your reply. I've not got as far as setting up a repayment plan yet. I think the total balance is £781. They've certainly breached their terms and conditions, no company should be allowed to go trigger happy with a card machine. I work in insurance and if someone can't afford to pay their policy in one go - I don't just TRY and take the money anyway without their permission. More needs to be done about this to protect people.

Just been in to a Cooperative branch. Apparently, they can't cancel my card and even if they did, they said that WDA would still be able to take money as it would default from the old card and transact it from the new one. Really?

So what if I have my card stolen by someone who has access to my pin number, are they trying to tell me they would forever be able to debit money from my account? I don't think so. I've now no choice to call them in a few hours and LIE by saying my card has been lost / possibly stolen. Unbelievable.

Speak to the coop onthe phone. Most branch staff, just like very other bank are told to say things, even if its not true.