money paid innto wrong account by student finance

[verooom]

my daughter has had her first payment of student loan paid into some one elses account, because she gave wrong sort code, they are saying they cannot do any thing, is this true, as the account they paid funds into was not the same name as my daughter, surely they have to check bank details with names before depositing funds,
the student finance co. has told my daughter she will have to sort it out her self? is this true?

[madmaggot]

I'm afraid it's your responsibility to give the correct account details. Your daughter could ask the bank to contact the person into who's account the money was paid and ask them to return it but they don't have to do so.

[madmaggot]

BTW, she can find out which bank it is by the sort code. The banks have a book with this in.

[verooom]

thankyou, I am surprised that any depositer does not check the name with the account details before depositing, is this not common place?

[hc4361]

veroom, how would the depositor get access to those details?

[sandyRoe]

I think they would only use the branch sort code and the account number.

[boxtops]

Not necessarily, veroom - anyone could ask for their payments to be made into an account with another name (e.g. parents account) - all the bank tap in is the sort code and account number which you give them.
Your daughter can find out which bank it is from the sort code, then hand in a letter to that bank asking them to pass it on to the account holder with the number she gave, asking them if they will repay the money to her - but they don't have to.

[RATTER15]

When I pay anything through my internet bank I just type in sort code and account number, nothing else.

[boxtops]

Yep, same here ratter

[sandyRoe]

Whoever has the money now can't keep it.

http://www.money.co.u...your-bank-account.htm

[AlBags]

Just ask the student loan people for the details, and ask the girl to send it back.

[boxtops]

That's true, sandy - so the recipient notifies their bank, the bank take it out of the account and remit it back to the organisation who are paying veroom's student loan,saying "wrong account details". That's where it can go pear-shaped - they don't have any correct account details to repay the money to. It could take a very long time to identify the funds and get it paid correctly to the student.

[factor-fiction]

Yes, it's your daughter's fault, I'm afraid, not student finances, although she was unlucky that her account number was exactly the same as someone else's at another bank.
However I'm not sure how she 'sort it out herself'.
Student Finance should I think try to help.
I hope it can get sorted- it could happen to any of us

[factor-fiction]

Hi A1 bags- I'm not sure it's that simple- I can't see Student Finance or the bank revealing the name of the recipient to veroom's daughter

[joko]

they do have to pay it back...they cannot just keep it

this question is asked from the other angle on other occasions and everyone is very adamant that they cannot keep it...so why is this any different??

perhaps some people get a bee in their bonnet when someone seems to get lucky unfairly and wants to burst the bubble...

[madmaggot]

That's right, they can't give out the details. But they can contact them on behalf of your daughter or pass on a letter. I used to work in wages and believe me people can get away with not returning the money even though it's obviously been wrongly credited to them.
I've know of cases where the business took a person to court to get back 10k in wrongly paid salary and the person said they hadn't got it and agreed to pay back at, wait for it ........... .50p/month!

[Prudie]

I'd try to go higher within the student finance company - after all this is a loan which they will automatically claw back (normally once studying is over and a certain salary is earned). The person with the money now is going to have to give it back somehow, they might not even know they have it.

[hc4361]

The Student Finance people won't know the name either.
Veroom, your daughter must ask her bank to help.

[factor-fiction]

I agree that the recipient must in law pay it back but at the meoment there are some problems- veroom's daughter or the SL on't know the identity of the person who got the money, they only know the bank details. So they need to ask the recipient's bank. The bank won't be able to give out the recipient's name or address so we need the bank to ask the recipient to repay it. Hopefully the recipient may then repay it immediately or he/she may drag his/her feet. I'm not sure who would then have to take the legal action against the recipient to recover the money. It could take some time.

[vallaw]

At present your daughter could be liable to repay the loan even though she has not received the money. Get legal advice.

[Prudie]

Seems like a great way to get a cheap loan that you might be able to keep then - get someone to apply for a student loan but give them your account details, slip your accomplice a suitable tip and you're away :-)