Beware: debit order fraudsters are back

Debit orders of any amount must require the approval of accountholders. If this cannot be done, the debit order facility should be scraped in total by banks. Easy solution, effective end to these crimes.
 
This is what they say:

"He said it was impossible for the companies who processed debit orders to verify that the mandates on every debit order sent for processing by call centres and other users of debit orders was valid.

“We don’t have access to their databases and even if we did, the sheer volume of transactions that are processed every month would make it impossible to check every single transaction.”

So basically it is our responsibilty to check our accounts. All banks has online facilities to check your statements free of charge.
 
Implement an OTP system authorizing debit orders against your account.

Banks are to bloody useless to do it though
 
Someone said:
“We don’t have access to their databases and even if we did, the sheer volume of transactions that are processed every month would make it impossible to check every single transaction.”
Click to expand...

The only solution is for banks to implement personalised debit order whitelists that a bank's customers can manage online. This would also force companies that collect money via debit order to always use the same reference number.
 
“We don’t have access to their databases and even if we did, the sheer volume of transactions that are processed every month would make it impossible to check every single transaction.”
Click to expand...

Diddums - it's your job so figure it out.

Unless you have signed permission to take money from my account then it's called theft.
 
ShaunyCT said:
This is what they say:

"He said it was impossible for the companies who processed debit orders to verify that the mandates on every debit order sent for processing by call centres and other users of debit orders was valid.

“We don’t have access to their databases and even if we did, the sheer volume of transactions that are processed every month would make it impossible to check every single transaction.”

So basically it is our responsibilty to check our accounts. All banks has online facilities to check your statements free of charge.
Click to expand...

Translation:

As long as the banks are making money, and not losing money why stop it/spend money on a solution.
 
I dont get it. Individuals cannot just help themselves to your money. Why is that companies are allowed to do it?
 
JungleBoy said:
I dont get it. Individuals cannot just help themselves to your money. Why is that companies are allowed to do it?
Click to expand...

Individuals can, they just submit a mandate to a debit order company if they have your banking details.

Banks could implement a function on a users online banking profile to allow users to authorize first time debits which there after happens automatically like traditional debit orders, as debits are usually the same amounts recurring. Except this probably costs the bank to much with no profit and they wont do it.
 
This is the problem:

1) Collecting users are submitting fraudulent debit orders.
2) Accountholders are disputing valid debit orders.

Both sides of this coin is a problem for all the banks.

Everyone has heard of NAEDOs and AEDOs, well, the banks are actively working to scrap this. By October next year, a new debit order collection system called Authenticated Collection will be in place by the major banks. This system will let you as the accountholder electronically sign debit orders loaded against your account. This can be by means of PIN (like AEDO currently) or by approving these debit orders via Internet Banking or in the accountholder's banking app.
 
Mystic Twilight said:
Individuals can, they just submit a mandate to a debit order company if they have your banking details.

Banks could implement a function on a users online banking profile to allow users to authorize first time debits which there after happens automatically like traditional debit orders, as debits are usually the same amounts recurring. Except this probably costs the bank to much with no profit and they wont do it.
Click to expand...

Read my post above. They are doing it. ;)
 
It's not the banks fault, by law they have to process the debit orders. It's the legal framework that is fscked and very few people seem to get this.

Technically this is easy to fix, legally we would require revised legislation.
 
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