Returning an overpayment

[NotAllThere]

You'd almost think they weren't dealing with real businesses.

[Kess]

Blimey! I just checked my company account and the agency has snatched £4540 directly from my account - without my knowledge or involvement.

I know they are only recovering their overpayment but I didn't realise it was possible to grab money from someone else's account in that way.

This situation is turning into quite a learning experience!

[Lewis]

Blimey! I just checked my company account and the agency has snatched £4540 directly from my account - without my knowledge or involvement.

I know they are only recovering their overpayment but I didn't realise it was possible to grab money from someone else's account in that way.

This situation is turning into quite a learning experience!

How did they manage that?!

[Bluebird]

How did they manage that?!

If you have a direct debit mandate they can either use a DR or CR transaction - however if they take funds they are obliged to notify you - if they haven't you can make them put it back under the DD agreement - speak to your bank and thell them you've not authorised the transaction.

[ChimpMaster]

...you can make them put it back under the DD agreement - speak to your bank and thell them you've not authorised the transaction.

I would do that just to teach them a lesson, sciving barstands.

[Kess]

I phoned the bank (Cater Allen - at least they are pleasant and answer the phone unlike my ****ing agent's accounts dept). They said the payment was intended for another contractor's account and found its way into mine by mistake, hence they were "allowed" to switch it from my account to theirs as soon as the error was spotted.

Still seems a bit of a liability to do it without any warning though.

On the bright side, CA did credit me with £10 interest for the time the overpayment was in my account.

[BrowneIssue]

Blimey! I just checked my company account and the agency has snatched £4540 directly from my account - without my knowledge or involvement.

I know they are only recovering their overpayment but I didn't realise it was possible to grab money from someone else's account in that way.

This situation is turning into quite a learning experience!

It certainly is. I maintain two business accounts; one is a deposit account where I keep the money for the taxman. I would have automatically transferred any overpayment to live in that account. In your situation I would now be £2500 overdrawn ... and probably found out in a letter in seven days time. (Earning the bank some charges to the tune of a couple of hundred quid.)

[Lewis]

I phoned the bank (Cater Allen - at least they are pleasant and answer the phone unlike my ****ing agent's accounts dept). They said the payment was intended for another contractor's account and found its way into mine by mistake, hence they were "allowed" to switch it from my account to theirs as soon as the error was spotted.

Still seems a bit of a liability to do it without any warning though.

On the bright side, CA did credit me with £10 interest for the time the overpayment was in my account.

WOW! So anybody can just "back-out" a payment made to your Cater Allen account by simply claiming it was paid in error. That's really scary.

[NotAllThere]

Is it the bank who's allowed to make the switch, or the agency?

[Bluebird]

Is it the bank who's allowed to make the switch, or the agency?

sounds like it was the banks error so they did they recersal - son't think the agent can just request it.