Insurance company taken payment from wrong account...twice
Discussion
So last month I renewed my car insurance with a Admiral. I asked them to take my payment from my credit card, rather than the debit card they held on file at that time. They took my credit card details at this point and assured me it would be taken from this card.
Fast forward to just after the renewal date and I notice they've taken the money from my debit card, not the credit card I supplied.
I spoke to them about this, they refunded the premium to my debit card and took the credit card details again, assuring me it would definitely be taken from my credit card this time.
Today I notice they've taken the payment from my debit card again. I've spoken to them to explain, but I'm slightly at my wits end with dealing with such an incompetent company. The only snag is that the premium is very competitive, so I can't afford to 'take my custom elsewhere', otherwise I most definitely would.
This post is partly is rant, partly a warning about said company, but mostly me trying to ask where I stand, legally, as a consumer in this situation. Taking payment from the wrong card is, in effect, an unauthorised payment on that account. Clearly a mistake at their end, and they didn't take the money from the credit card, so hard to call it theft, but it's the next best thing.
In the first instance they gave me £50 in compensation (by way of agreeing to reduce the premium by £50 when they re-applied for it). Now this has happened a second time, combined with the stress and inconvenience this is causing me (like suddenly being left with nothing in my current account to live off, overdraft fees, etc), I'm at a bit of a loss.
How would you go about dealing with this?
Fast forward to just after the renewal date and I notice they've taken the money from my debit card, not the credit card I supplied.
I spoke to them about this, they refunded the premium to my debit card and took the credit card details again, assuring me it would definitely be taken from my credit card this time.
Today I notice they've taken the payment from my debit card again. I've spoken to them to explain, but I'm slightly at my wits end with dealing with such an incompetent company. The only snag is that the premium is very competitive, so I can't afford to 'take my custom elsewhere', otherwise I most definitely would.
This post is partly is rant, partly a warning about said company, but mostly me trying to ask where I stand, legally, as a consumer in this situation. Taking payment from the wrong card is, in effect, an unauthorised payment on that account. Clearly a mistake at their end, and they didn't take the money from the credit card, so hard to call it theft, but it's the next best thing.
In the first instance they gave me £50 in compensation (by way of agreeing to reduce the premium by £50 when they re-applied for it). Now this has happened a second time, combined with the stress and inconvenience this is causing me (like suddenly being left with nothing in my current account to live off, overdraft fees, etc), I'm at a bit of a loss.
How would you go about dealing with this?
You must have originally given them your debit card details to take a payment for the service that they provide, they're not taking any money that they are not owed for their services, and they're not billing you twice (on your debit card and on your credit card), so how can it be anything like "theft"? 
Chances are, their records now show that a payment can be taken from either the debit card or the credit card and so they have gone with the debit card each time.
You need to get back in touch with them and ask them to remove the debit card from their records and ensure that the payments then come off the credit card.
TBH though, I think you need to seriously look into your finances because it sounds as if you're living well beyond your means!
You say you can't afford to have the premium come out of your bank account each month via the debit card, but by putting the payments on your credit card you're then going to be owing the amount for the insurance premium each month, plus the credit card interest rate. Whilst you can just pay off the minimum amount on the credit card each month, which will less than the monthly insurance premium, you're just building up more and more debt that you cannot afford to repay!
You need to speak to a financial expert to work out how to get out of the vicious debt circle that you're in IMO!
Chances are, their records now show that a payment can be taken from either the debit card or the credit card and so they have gone with the debit card each time.
You need to get back in touch with them and ask them to remove the debit card from their records and ensure that the payments then come off the credit card.
TBH though, I think you need to seriously look into your finances because it sounds as if you're living well beyond your means!
You say you can't afford to have the premium come out of your bank account each month via the debit card, but by putting the payments on your credit card you're then going to be owing the amount for the insurance premium each month, plus the credit card interest rate. Whilst you can just pay off the minimum amount on the credit card each month, which will less than the monthly insurance premium, you're just building up more and more debt that you cannot afford to repay!
You need to speak to a financial expert to work out how to get out of the vicious debt circle that you're in IMO!
4rephill said:
You must have originally given them your debit card details to take a payment for the service that they provide
I've been with the company for years, so they must've had it on file from previous years' premiums, and amendments I've made to the policy in previous terms.4rephill said:
so how can it be anything like "theft"?
Hence why I said:Synchromesh said:
Clearly a mistake at their end, and they didn't take the money from the credit card, so hard to call it theft...
My financial/legal terminology isn't good enough to know what to call it. Can you help (constructively, rather than patronisingly, if possible)?4rephill said:
TBH though, I think you need to seriously look into your finances because it sounds as if you're living well beyond your means!
You say you can't afford to have the premium come out of your bank account each month via the debit card, but by putting the payments on your credit card you're then going to be owing the amount for the insurance premium each month, plus the credit card interest rate. Whilst you can just pay off the minimum amount on the credit card each month, which will less than the monthly insurance premium, you're just building up more and more debt that you cannot afford to repay!
You need to speak to a financial expert to work out how to get out of the vicious debt circle that you're in IMO!
I didn't say I can't afford to have it come out each month. I could do that, but it's more expensive than paying annually, and given I'll have enough for the annual premium by the time my CC bill comes, it's the obviously thing to do. It's a free short term loan that means I end up paying less in the long run.You say you can't afford to have the premium come out of your bank account each month via the debit card, but by putting the payments on your credit card you're then going to be owing the amount for the insurance premium each month, plus the credit card interest rate. Whilst you can just pay off the minimum amount on the credit card each month, which will less than the monthly insurance premium, you're just building up more and more debt that you cannot afford to repay!
You need to speak to a financial expert to work out how to get out of the vicious debt circle that you're in IMO!
Maybe you can help me get out of vicious debt circle that consists of not one other debt (CC or otherwise) though
TooMany2cvs said:
If you've been with Admiral for "years", are you sure they're that cheap?
They are for me. Every single year I run quotes through other online agents, contact specialist insurers etc and they can never get even remotely close- IE to within about 40% of the Admiral quote. Think I must be a strange risk profile or summat.Synchromesh said:
I didn't say I can't afford to have it come out each month. I could do that, but it's more expensive than paying annually, and given I'll have enough for the annual premium by the time my CC bill comes, it's the obviously thing to do. It's a free short term loan that means I end up paying less in the long run.
Maybe you can help me get out of vicious debt circle that consists of not one other debt (CC or otherwise) though
You know what they say about ass-u-me. Maybe you can help me get out of vicious debt circle that consists of not one other debt (CC or otherwise) though
The rush to judgement on so many topics is a recurring, and frankly* quite unpleasant, feature of PH now.
* Speaking of frank, I think the late Mr Norman might allow himself a wry smile.
Still waiting on some constructive advice on how to handle the situation.
Is merely refunding my payment a few days later and giving me £50 good enough? First time round, maybe, but now they've done the same thing again whilst under explicit instruction not too, I think it's a bit more serious.
Is merely refunding my payment a few days later and giving me £50 good enough? First time round, maybe, but now they've done the same thing again whilst under explicit instruction not too, I think it's a bit more serious.
£50 and an apology would do it for me. As well as them removing the debit card details from their system
How much have you actually been charged in overdraft fees? If that's less than £50 you're making out of it.
As to having no money in your current account due to this, put any spending on the credit card.
How much have you actually been charged in overdraft fees? If that's less than £50 you're making out of it.
As to having no money in your current account due to this, put any spending on the credit card.
I thought I'd made it clear in the OP, but it's the fact it's happened twice now that's left me feeling a little aggrieved. Mistakes are made, and after the first cock-up I was prepared to let it go (with the help of a little compo), but then to go an do exactly the same thing again...it's almost like someone's having a laugh at my expense! The first inciddent took at least three phone calls to get sorted, and god help you if you get put through to their Indian call centre - nothing against the people manning the phones, but they clearly haven't been trained to deal with anything more than very basic processes and get hopelessly confused when I try and explain the issue. Frustrating to say the least 
Hamish Finn said:
GroundEffect said:
Youve got £50 for a bit of annoyance. Sounds like a win to me. Get the debit card removed and get on with your life.
He wants more "compo".
From what I understand, they took the payment from the wrong card.
Apologised and gave you £50 by way of apology
And then did that again.
If it happened to me and I was really bothered I would take my custom elsewhere but you don't want to as they are so much cheaper on premium. Which I understand.
So what do you want the PH collective to do?
What is it you want?
They made a mistake, twice, I am not sure how we can fix this. To be honest, I read your post and thought you wanted us to say "They should refund you the whole premium to say sorry".
Apologised and gave you £50 by way of apology
And then did that again.
If it happened to me and I was really bothered I would take my custom elsewhere but you don't want to as they are so much cheaper on premium. Which I understand.
So what do you want the PH collective to do?
What is it you want?
They made a mistake, twice, I am not sure how we can fix this. To be honest, I read your post and thought you wanted us to say "They should refund you the whole premium to say sorry".
It depends on the situation; have you had an overdraft fee/charges taken out from your account? If so they should make you good on those costs. The only way to deal with it is to speak to them. Call up, tell them what's happened and what costs you have incurred and then get them to take payment from your CC, remove debit card details and make good the refund plus any costs you have suffered. Plus, if you really feel that strongly push for another £50, they'll probably offer you it if you say you want to make a complaint about it.
KevinCorvetteC6 said:
Whenever I have spoken to Admiral on the phone about changes, they do the transaction on the spot, confirming the card they are to use. Call them and do it this way.
This is the point. I though they were doing the transaction on the spot from the card details I'd just given (both times), but then I checking my banking to find they hadn't.Kateg28 said:
So what do you want the PH collective to do?
What is it you want?
They made a mistake, twice, I am not sure how we can fix this. To be honest, I read your post and thought you wanted us to say "They should refund you the whole premium to say sorry".
Not asking the PH collective to fix it, just asking how they'd handle the situation as I've never been in this position before. The consensus here seems to be that what they've done is acceptable and I'm being petit. Strangely, people I've explained the situation to in person, don't.What is it you want?
They made a mistake, twice, I am not sure how we can fix this. To be honest, I read your post and thought you wanted us to say "They should refund you the whole premium to say sorry".
Anyway, it's been dealt with now. Let's hope it doesn't happen a third time
Kateg28 said:
From what I understand, they took the payment from the wrong card.
Apologised and gave you £50 by way of apology
And then did that again.
If it happened to me and I was really bothered I would take my custom elsewhere but you don't want to...
There is another option.Apologised and gave you £50 by way of apology
And then did that again.
If it happened to me and I was really bothered I would take my custom elsewhere but you don't want to...
Ask your bank to cancel that card number and reissue you a new card.
Or am I missing something?
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