Money removed from companies bank account without authority

[Angelic]

Nearly £500 was taken from our company bank account today by a motor finance company. The my company had an agreement with them in 2018/9, but directors of the company now buy their vehicles in their own name. I have contacted the finance company but they are unwilling to speak to me as the agreement is not in my name. I maintained that the money belongs to the company and should be refunded without delay but they say their financial crime team need to investigate it and that could take some weeks. What can I do?

 

[japancool]

Do you have a copy of the lease? Has it ever been cancelled? If it has, do you have a record of it in writing?

Are you a director?

 

[boxlot]

Report it to your business bank as fraudulent transaction.

 

[Daybooks]

If it were taken under a Direct Debit arrangement then consider using the Direct Debit Guarantee - contact your bank without delay.

 

[Newchodge]

Nearly £500 was taken from our company bank account today by a motor finance company. The my company had an agreement with them in 2018/9, but directors of the company now buy their vehicles in their own name. I have contacted the finance company but they are unwilling to speak to me as the agreement is not in my name. I maintained that the money belongs to the company and should be refunded without delay but they say their financial crime team need to investigate it and that could take some weeks. What can I do?

TALK TO THE BANK. Why would you even consider talking to anyone else. Tell the bank that the money has been taken without authorisation and it needs to be returned to the account immediately.

 

[Mark T Jones]

What is your position in the company?

Have you asked your colleagues (who signed the original agreement)?

 

[WaveJumper]

Think I would start by checking with your own directors first, are you confident they have not been chased by the finance company.

How would they have taken the money without either a standing order or direct debit in place surely if any had previously been in place someone with control over the bank account would have deleted these?

 

[japancool]

How would they have taken the money without either a standing order or direct debit

Continuous payment authority.

 

[Angelic]

Mamy thanks for all your replies. I spoke to our companies bank, a new direct debit had been set up on 1st August by the finance company without our permission (how can that happen?), the payment has now been reversed but it doesn't end here!

 

[David Griffiths]

(how can that happen?)

That's the way that the system works. All direct debits are set up by the recipient, and it's up to you to keep an eye out for unauthorised payments. Of course you have the protection of the direct debit guarantee and the banks don't just let any fly by night operate the system, but it's surprising how often you hear tales of people who don't check their statements and find that they've been paying for something unwanted.

I seem to recall that Jeremy Clarkson poo poo'd the idea that someone could take money off him just by having his bank details, and published them on national TV. Somebody went online and set up a direct debit for a charity to prove him wrong!

 

[AlanJ1]

Mamy thanks for all your replies. I spoke to our companies bank, a new direct debit had been set up on 1st August by the finance company without our permission (how can that happen?), the payment has now been reversed but it doesn't end here!

Would speak to the directors and get them to call the finance company ASAP.