Settled loan but debit order still goes off

[KingMikel]

Hello everybody

A while ago I enquired about a settlement amount for a loan I had taken.

I settled the loan on Friday, after settlement I phoned their loans dept and asked if all is well and if they'd take my money again. They said all is good, the debit order won't go off.

I went into a branch on Saturday, asked the same questions and got the same response.

Well today's pay day, the debit order went off.

I'm gonna phone them just now to hear what the story is.

Could they have taken the money off because I paid the loan off in 12 months instead of the expected 48?

 

[supersunbird]

Hello everybody

A while ago I enquired about a settlement amount for a loan I had taken.

I settled the loan on Friday, after settlement I phoned their loans dept and asked if all is well and if they'd take my money again. They said all is good, the debit order won't go off.

I went into a branch on Saturday, asked the same questions and got the same response.

Well today's pay day, the debit order went off.

I'm gonna phone them just now to hear what the story is.

Could they have taken the money off because I paid the loan off in 12 months instead of the expected 48?

No, just plain incompetence.

I always settle loans within the week after the latest debit order, gives them more time to remove it from their systems.

 

[Purply]

Unless it was for a different amount?

 

[CL-West]

Hello everybody

A while ago I enquired about a settlement amount for a loan I had taken.

I settled the loan on Friday, after settlement I phoned their loans dept and asked if all is well and if they'd take my money again. They said all is good, the debit order won't go off.

I went into a branch on Saturday, asked the same questions and got the same response.

Well today's pay day, the debit order went off.

I'm gonna phone them just now to hear what the story is.

Could they have taken the money off because I paid the loan off in 12 months instead of the expected 48?

Did you settle the amount within 7 day of requesting the settlement amount?

As the amount can change after the 7 days have lapse.

If its not this then Sunbird is correct, they are just plain incompetent.

 

[AstroTurf]

Call them and ask for your money back and then make them cancel it again.
Put a stop order on it if you are worried.

 

[KingMikel]

Did you settle the amount within 7 day of requesting the settlement amount?

As the amount can change after the 7 days have lapse.

If its not this then Sunbird is correct, they are just plain incompetent.

I settled the amount they required after phoning in (I short paid R24.85 as I paid 2 days after the end of settlement quote), I phoned now and they said they'd action a refund. 5-7 working days.

 

[HapticSimian]

It happens, often because the process of deducting debit orders runs from days before. You would've been refunded automatically eventually.

 

[CL-West]

I settled the amount they required after phoning in (I short paid R24.85 as I paid 2 days after the end of settlement quote), I phoned now and they said they'd action a refund. 5-7 working days.

I am glad to hear

If you did then great, however always get reverence numbers from them (especially when phoning in) makes it a lot easier to get assistance when following up.

 

[R13...]

It happens, often because the process of deducting debit orders runs from days before. You would've been refunded automatically eventually.

This is correct, if you settle past a certain date they are not able to stop the debit order processing.

 

[KingMikel]

This is correct, if you settle past a certain date they are not able to stop the debit order processing.

Is this due to their batch processing?

 

[kdub]

Yes this is extremely common when settling loans, installment sales, etc. They would have refunded you i'm sure in due course.

 

[bchip]

Get something in writing if you can, emails (etc).
If there is a dispute will help a lot!

 

[Shi]

Could they have taken the money off because I paid the loan off in 12 months instead of the expected 48?

well done !!

 

[hellfire]

Is this due to their batch processing?

Yes.
It's not incompetence, as suggested earlier in the thread. Debit orders are sometimes sent to the clearing house days in advance. That's just how the South African payments system works

 

[KingMikel]

well done !!

Thank you!

I paid ~75% of the loan in advance

 

[supersunbird]

Yes.
It's not incompetence, as suggested earlier in the thread. Debit orders are sometimes sent to the clearing house days in advance. That's just how the South African payments system works

I'm the one who said that, and I still hold that opinion because they told the person it wouldn't go off (the incompetence might be in the managements or training department for not educating the front end staff on how their systems work, but there is incompetence somewhere leading to that being said).

And I also stated when I settle loans, I do it right after the latest debit order to prevents this batch issue from affecting me.

 

[envo]

+1 to what supersunbird said. It's normally 5 working days before they cancel a debit order, if you pay in the time the debit order started going through already, it will go off. Bank staff do know this, it's just they never check when your debit order was supposed to go off (from what I've seen)

I don't understand why it's a 5 day process though, I've worked with debit order systems before, and you can debit order within 1 day and get the money, no need for 5 working days and all that crap.

 

[RichardG]

OP clearly did state he settled the loan on Friday(Normally debit orders are sent 3 - 5 working days before the debt is suppose to take place.

It was also probably too late to take your details off their system cause the run already took place.

 

[SauRoNZA]

Hmm maybe you did this just a little too late so their billing cycle was already on the roll in which case they very rarely every stop it.

They'll rather rebate it later than stop the train to get one passenger off.

 

[CL-West]

OP clearly did state he settled the loan on Friday(Normally debit orders are sent 3 - 5 working days before the debt is suppose to take place.

It was also probably too late to take your details off their system cause the run already took place.

He also clearly stated that he phoned them after he settled the loan to confirm if they will deduct or not, they confirmed they will not, however the still deducted.