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£40 charge, Vehicle Insurance missed DD. Allowed?


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Hi Everyone,

Unfortunately missed this month's DD for vehicle insurance. (cancelled due to my bank being shi**y!!)

Close Premium Finance now want me to pay £40 charge for defaulting on a £26 payment, even though I informed them that payment wasn't being made on the same day it was due out.......I even sent debit card details to make the payment! (but they said they couldn't take payment in this way:confused:)

Their reply told me to contact my insurance brokers, who have now got in touch with me to say I need to phone Close to pay the arrears by debit card - plus the £40!!:x

This seems outrageous to me........are they allowed to charge so much? Or should I be asking for a breakdown of admin costs due to the missed payment?

Thanks for your time, TIAW

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I don't think it can hurt to ask in a way which lets them know you're not taking this lying down.

 

My understanding is that the same law (Unfair Contract Terms) applies to them as it does to every other business.

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