Odd restriction on payment options
December 5, 2017 3:08pm CST
My experience has usually been that companies will offer a variety of payment options in order to get your cash. My home insurance is due to expire this month and rather than simply renew I considered changing my insurer. Earlier today I visited a site online and entered all my details in order to get a quote, which definitely seemed a decent improvement on my current insurer. However, the only payment option available was credit or debit card. I prefer not to use this method because it carries the risk of the company automatically renewing my policy next year and claiming the cash. I telephoned the company to enquire about this and explained that I would prefer to transfer the money directly from my bank to their account. The reply was that this option was not available because the company was too large for such a system. That was clearly nonsense because I pay such companies as British Gas and British Telecom this way. That option is also available with Amazon. I can understand why they would prefer to know my debit card details, but also wonder how much business they have lost due to this.
27 people like this
• Manchester, England
I could use my debit card and request a new one after the payment has been made, which would cancel this one and provide me with a new number. The reality is that if transferrng the cash is not acceptable then I will go elsewhere.
• El Paso, Texas
I use my credit card to pay for insurance all the time, not once has an insurer automatically debited my card without me first initiating a payment. Of course I make sure that all the check boxes to allow a renewal are unmarked.
• Boise, Idaho
I use my debit card. I don't like the autopay options some places have because once I signed up for this and the company didn't take it out the same day each month. I don't care for that. So I pay some by check, some debit and some over the phone or go to the site. Sounds like this company you are dealing with doesn't want to make the customer happy. It's all about them.
• Manchester, England
I was not referring to Direct Debit. My preference would be a manual transfer, which involves myself using online banking to transfer the money to their account. My intention was to pay the annual fee at once, so the company would not have to request payment.
• Midland, Michigan
I prefer it when companies allow payments with different methods which gives us the control over how and where our money is taken from. There are things I pay online where I can only use a credit card although for many I like the option of using a checking account so I can use my business account when there's more in that than my personal funds. But not all of them give or allow me that option.
@Asylum Exactly and it takes time and the company that cashed do nothing to help. A couple of years ago I was obliged to give my debit card details for an insurance, when I decided to cancel, I also asked to cancel the card and issue a new one. They had a very bad surprise when they tried to debit.
• United States
I am curious if you know if the credit/debit card laws are different in England that what they are in America? (There shouldn't be much if any difference since I can use my debit card for purchases there just like here. I believe most countries use similar laws for cards used in their country, no matter where the cards were issued.) If that is the case, then the company cannot simply take next year's payment without you giving tacit permission. (Here, there is always a small paragraph somewhere that says "Leave this box checked to automatically renew your service when it comes due." You take the check mark out of the box and they can't bill your card again.
• United States
@Asylum Now, that is entirely possible! I have seen the checkbox included in the fine print that most people don't bother reading. (The checkbox was full sized but the language around it was definitely "fine print"! I had so direct light was hitting the paper before I could read the "fine print".) I have seen that checkbox (online) set over to the side of the page where it could easily be missed, also.