Monthly Car Insurance Payments

[Volksy]

I've just had a battle with Adrian Flux over a bounced direct debit, and the outcome of which may interest you guys if ever faced with a similar situation.

 

My monthly direct debit payment bounced last week, which as well as incurring a £35 bank charge, also incurred a £20 'admin' fee from the insurers. Granted it's in the T&C's of the policy that they will levy this, however the way they went claiming it was unacceptable.

 

Basically, with most insurance policies these days, if you opt for monthly payments, the insurance company sets you up a finance agreement with a third party credit company. Who pay the insurer the full amount of the policy, then you pay the credit company in monthly installments, obviously with interest.

 

In this case, the payment was missed, and the finance company then tried to take the additional £20 fee in the form of a second Direct Debit from my account on the same day, which also bounced, and therefore incurred a second £35 charge from my bank. Having discussed this with the FSA and the FOS, they have acted against the terms of the Direct Debit Guarantee. And against regulations. They are NOT ALLOWED to change or alter the date or amount they are debiting from your account without giving notice in writing at least five working days in advance of the payment being applied for. They cannot do it without your permission either.

In the T&C's there is no information stating how they will levy any additional fees, or how they will claim them from you, only that they should be paid in full by the date of your next installment.

I called Adrian Flux, who passed me around, then onto the credit company, which in the eyes of the FSA, is also against regulations. As my agreement is with and was originally set up by Adrian Flux. The credit company claimed that they were not acting against regulations, and had every right to debit the charge, which they do not. I was told to write in with the complaint, and a decision would be made and they would contact me to discuss. Oddly this morning I received five (!) missed calls on my mobile, from the credit company desperate to speak to me!

Before calling them back I sought advice from the FSA and FOS, and was advised of the above. When I called the Credit company back, they just backpedaled and said that 'in this instance, as a gesture of goodwill' they would refund the charges incurred by the bank, and drop any 'admin' fees from being levied.

I am going to take this further, and lodge a complaint with both the FSA, who will investigate the practices of the insurers, the OFT, who will investigate the practices of the Credit company. And as far as I'm aware once they start investigating they automatically receive fines!

 

So just a heads up, that what and how they charge isn't necessarily what they are entitled to!

[Guest]

was this with premium credit limeted ?

as they did this to me a few months back also but in my case the £20 admin didnt bounce .

[dollywobbler]

Good grief. Glad you got that sorted and yes, do tell the FSA formally. Insurance companies don't like it up 'em!

[alf892]

Take the goodwill gesture and dob them in anyway.

 

Adrian Flux used to be a good company and have become very successful..........sadly they have forgotten about customer service. This is proved by the fact they have a Customer Service Department.

 

Most of their polices are now underwritten by an insurance company in which one of the directors has a large interest. And the ts and cs are pretty well weighted against the customer. Their legal protection does anything but protect you and if you let them act you giver up your right to disagree with their decision.

 

In summary then no different to any other insurance relate company.........you have the chance to cause them some pain. Do it

 

I wouldn't use them on principle. Sadly I cannot afford principles and so I have 3 vehicle insured with them.............

[barefoot]

I wouldn't use them on principle. Sadly I cannot afford principles and so I have 3 vehicle insured with them.............

 

Excellent

[Volksy]

Take the goodwill gesture and dob them in anyway.

 

Don't worry, I will! Although their good will gesture my have to be extended somewhat by the time I've finished with them!

[Manbearpig]

Adrian FLux are and always were the collective spawn of Satan.

 

They ripped me off years ago and I warned friends against them, but still they used them because they were cheap

 

Surprise they were all stiffed eventually, they only get so big by being dishonest

[lovejoy]

Yeah, I used Adrian Fux for a while, 'cos at the time RH Insurance (which I cannot fault) would not cover my '84 Charade...

 

Classic fully comp limited mileage policy, but when it came to renewing this year, the premium was bumped up, never yet had that with RH,

 

so I told them where to go... I also found them very aggressive, in both their letter format for conditions required AFTER insuring me,

 

(or the policy is "void" , if you don't do these things, so to speak, ) & via the dog'n'bone. I was less than impressed.

 

RH were happy to cover it when I told them all this, and gave me a 10% discount as well, so 76 of your finest English (Roman) Pounds for another years cover.

 

-and don't even MENTION "M C E " for my bike insurance, what an utterly crappy, shambolic lot of arrogant bar stewards

[andrew e]

Lancaster did the dancing direct debit thing with me. I won in the end but my name is blacklisted on there quote computer

[The Reverend Bluejeans]

Flux tried raping me over some policy or other 15-20 years ago. Wouldn't even consider using them.