Continuous payment authority

[Newchodge]

I, like many others, have a number of different payments set up on my personal banking account. I fully understand how direct debits and standing orders work, but I have just had a disturbing conversation about continuous payment authorities on my debit card.

I recently misplaced my debit card and requested a new one. It came, together with a new PIN number and I have been happily using it. I had a free trial with Netflix which I decided not to continue, but as they only had my old, cancelled card number I wasn't worried when I couldn't find an easy way to cancel my subscription. I assumed the subscription would end when they could not obtain payment.

Today Netflix sent me an email saying they had claimed the payment using my new card number. The payment had been due to go out on 9 April. I rang them and asked how they had my new card number. They told me they were given it by the CoOp bank.

I rang the bank to express some surprise that they would have done this, especially as the letter enclosing my new card reminded me that I would have to notify any suppliers with continuous authorities of the new number or they would be unable to take the payment. After checking they have confirmed that they do give out the new numbers, as they consider that the authority applies to the account and not the card, and they do this to avoid inconvenience to customers.

Am I over-reacting to be furious about this policy and its contradiction by the letter I received?

 

[Clearaccy]

Direct debits and standing orders are taken through your bank account not your card.

If you have a look on your debit card you have a long card number expiry date & security code, this is for making general payments with you card.

When you are paying by direct debit/standing order this is taken through the sort code & bank account number (at the bottom of your card). These numbers remain the same because they are for YOUR bank account.

When you request a new debit card, only the card number/expiry/security code changes.

 

[Newchodge]

Direct debits and standing orders are taken through your bank account not your card.

If you have a look on your debit card you have a long card number expiry date & security code, this is for making general payments with you card.

When you are paying by direct debit/standing order this is taken through the sort code & bank account number (at the bottom of your card). These numbers remain the same because they are for YOUR bank account.

When you request a new debit card, only the card number/expiry/security code changes.

I know all that and it is not relevant to what I am talking about.

This is a continuous payment authority which is set up by using the long card number and expiry date on the debit card.

 

[Clearaccy]

I know all that and it is not relevant to what I am talking about.

This is a continuous payment authority which is set up by using the long card number and expiry date on the debit card.

I wasn't aware that it was possible to set up a direct debit/standing order with debit card numbers..

 

[Newchodge]

I wasn't aware that it was possible to set up a direct debit/standing order with debit card numbers..

That's probably because it is not possible. It is not a direct debit or standing order.

 

[StevensOnln1]

I once had something renewed on a continuous payment authority on a debit card from a bank account which had been closed. The bank still allowed the payment to go through and sent me a letter asking me to reimburse them. I complained that they had no authority to authorise payments on an account that had been closed and after a couple of visits to the branch (they wouldn't talk to me on the phone as I couldn't verify my identity with a card/account number) and got the charge removed.

 

[AllUpHere]

I was as surprised as you when the AA took my annual subscription from my card, even though I hadn't given them my new card details.

 

[DontAsk]

You have agreed to pay, or at least neglected to cancel. Suck it up and move on.

 

[billmccallum1957]

Am I over-reacting? YES.

Just cancel Netflix and move on.

 

[Newchodge]

My argument is not about the payment. In any event Netflix has already agreed to refund the payment taken. My point is about my bank giving details of my new debit card to a third party.

 

[Mrs P]

I didn't know this could happen; is it a new thing? I've had many memberships & subscriptions that I've meant to cancel and then just let lapse when card expires / is cancelled. It would be a nightmare if they all started debiting my account again

 

[DontAsk]

There is no argument. You agreed to pay a continuous authority from your account using a debit card. You already had a financial arrangement with the third party.

 

[Newchodge]

There is no argument. You agreed to pay a continuous authority from your account using a debit card. You already had a financial arrangement with the third party.

My debit card details are mine. I gave the third party card details for them to use. It is not for my bank to give my new card details to anyone. Especially as they would have to have given them the security code as well.