BT: My bank details; someone else's account!!

[DO1984]

I have just received my bank statement and BT have taken out a direct debit for an account with them that is not mine.

 

I have spoken to them and they agree i am not the BT account holder linked with the payments and they insist that the sort code provided by Mrs X is not the same as my sort code.

 

They provided me with Mrs X's name and address and advised me to start a fraud case against them.

 

I have a BT account with them and i pay by direct debit but from a completely different bank account to the one that this said DD has been taken from.

 

What is the policy for setting up a direct debit? Does the bank account holder not have to give permission for their bank details to be used? Even if there was a mix up with the digits, surely when it came back as my bank account and not Mrs X's BT should have sought my permission?

 

I have cancelled the direct debit and am in the process of getting my money back from them but this is not the first problem i have had with them regarding direct debits and i am getting quite frustrated.

[BankFodder]

Make a formal complaint to the regulator and also a formal complaint to the Information Commissioner as there are DPA issues here too.

[DO1984]

Thank you. Who would the regulator be for BT?

[DO1984]

Having looked at various websites it seems that under the direct debit guarantee my bank is responsible for giving me a full and immediate refund of any incorrect payments, does this apply for bank charges incurred as a result of going overdrawn due to the incorrect payment?

[Mark_Blackpool]

Having looked at various websites it seems that under the direct debit guarantee my bank is responsible for giving me a full and immediate refund of any incorrect payments, does this apply for bank charges incurred as a result of going overdrawn due to the incorrect payment?

 

No, it does not. You are liable for the bank charges.

 

When you agree to set up a direct debit you provide the sort code and account number to the payee. In the past, you had to sign a form. Now you do not.

 

Your Bank will then happily go on the payee's say so and apply the direct debit to your account. No checks are made; there are no safeguards.

 

That's why when you cancel a direct debit it can just pop up again even if you cancel it with the Bank. It's like a debit card without the need for a signature or PIN number.

 

The solution to this is to write to your Bank and tell them to never ever apply direct debits to your account, otherwise, this can happen at any time. The system is completely insecure.

 

There is unlikely to be a case of fraud. It is more likely to be an error, probably by the payee.

 

I would write to the Bank and explain that they have failed in their due diligence and ask for an explanation. You won't get one, but you may get the charge refunded.

[locutus]

There is unlikely to be a case of fraud. It is more likely to be an error, probably by the payee.

I'd say probably the person taking the details typed the wrong number in.

 

They provided me with Mrs X's name and address and advised me to start a fraud case against them.

If they suspect fraud, they should deal with it... passing on the other persons details is a breach of the data protection act, especially if it is an error by a member of BT's staff!

 

 

I agree with Mark, although the Direct Debit guarantee does not cover charges, tell your bank that they should not have taken the funds from your account as the sort code is different, and they should have caught this error.