Advice please - direct debit problems

[pmj91]

Dear all,

I would appreciate some advice.

My friend holds a current account with Barclays. She has an arranged overdraft of £130.

Her balance at the time of these problems was around the £0 mark. Her direct debit was due to come out of her account for car insurance: £78. The debit came out and was returned the same day, even though this did not bring her to her overdraft limit. The insurance company then charged her £20 and redebited 6 days later for £98. This was again returned, and again the overdraft was available for use.

 

The insurance company has now levied another £20 charge and are now demanding £118 within 14 days. They have also added a default to her credit record. The bank have also made two returned transaction charges on to her account, more money.

 

What can she do? Can we claim the £40 of charges the insurance company has levied back from the bank, as they should have payed these DDs.

 

Thanks!

[ims21]

Hi

 

What do the bank say about returning the direct debits when the account would still have been within its OD limit?

 

ims