bank charges

[meatismurder]

I cancelled a direct debit on my bank account 2 weeks ago,but today i had a letter from them saying my account was overdrawn due to this direct debit going through. I rang em and said that i had cancelled it but they said it can still go through if I didnt cancel it with the company. And are charging me for being overdrawn. I thought you could cancel a direct debit at anytime?

[CheekyChops]

Who did you cancel the direct debit with - the bank? If so, the company concerned would probably still claim the direct debit but the bank should have then returned it unpaid as the instruction had been cancelled. Go back to the bank and kick up a fuss.

If you cancelled it with the company and not the bank, then the bank was right to pay it as they wouldn't know you didn't want them to!

[Daisy13]

I work in a bank and this is a common misconception. When you cancel a d/debit agreement a cancellation message is sent to the originator, so they know you have cancelled it. Depending on the agreement you have signed, if a company feels that you still owe them money they may write into the contract that in these circumstances they will set up a new instruciton until your account with them is settled.

If they have set up a new instruction there isn't much the bank can do to stop them. You should always notify both parties when you cancel such agreements. If you talk to your bank you can advise them that you do not wish any further agreements to be set up on your account and they can do this but be advised you will never be able to set up another d/ddebit with that comapny on your bank account. Ever.