# Continuous Payment Authority



## Lomond (22 Feb 2014)

I took out AA rescue package in November 2012, seemed a good deal but I had no idea when I made the annual payment using my credit card that AA had set me up in a direct debit type payment and this was automatically done when I signed up to the scheme offered on line. I explained to AA that there was nothing confirmed in writing to me regarding the direct debit and no one highlighted or discussed a direct debit type payment to me in the phone discussion I had when setting up the scheme. 

I moved to the UK in November 2013 for one  year, I no longer have my car and I just  discovered the AA had automatically deducted the renewal payment (higher price than the original payment)  from my Visa card. On looking at the terms and conditions it seems to suggest that payment can be paid upfront by credit card on the renewal date or by annual direct debit using my credit card. Somehow AA seems to have gone right to the direct debit option and I understand this is regarded as a continuous payment authority which is not clearly mentioned either.

Not much I can do now, I'm looking for a refund and will write to them. A lesson for the future and one for me to check when I make any further annual payments with my credit card.


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## shesells (22 Feb 2014)

Annual means yearly, not once off. I work with direct debits and am surprised frequently by people who sign mandates without reading what they're signing.


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## Lomond (25 Feb 2014)

yes, I see your point if looking at the literal sense of the word annual. My mistake, I should have said I made a once off payment to cover 12 months membership. No mandate was signed in this case.


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## shesells (25 Feb 2014)

Then you should be entitled to a refund under the direct debit guarantee scheme. Contact your bank, they should be the ones to refund you in the case of an unauthorised direct debit, they will then claim it back from the AA.


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## Time (25 Feb 2014)

It is not a direct debit.

Continuous payment authorities are not covered under any direct debit schemes.


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## Lomond (9 Mar 2014)

Just an update on this. I got a full refund of the membership fee and I have been contacted by AA directly both by phone and in writing to confirm that my complaint is been investigated. They will write to me once the investigation is complete. I'm very pleased with this result and the measures taken by AA has restored my confidence and trust in their treatment of customers.


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## Leo (10 Mar 2014)

Well done Lomond, and thanks for coming back to update the thread.


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## Plutus (3 Jul 2015)

Received a generic letter from AA breakdown assist that the policy was due for renewal on June 30th and that was no need to do anything, that they had my details and could request the debit (I had paid the previous by debit card over the phone). If I didn’t wish to renew I must let them know within ten days. I didn’t wish to renew.

By the time I noticed/contacted them I had missed the ten day deadline however, it was still only June 22nd. The young man at AA told me it was too late and they would debit my account. I contacted my bank (BOI) and the young man assured the AA couldn’t touch/debit my account (indeed it would be illegal he said). 

July 2nd my debit card bounced at the supermarket and yes because the AA had taken €99.

I scurried home and rang the bank (AA had shut for the day) and the young woman told me there was nothing they would/could do and didn’t know why the young man at the bank said what he said on the 22nd (I recorded all conversations using an app, so I wasn't mistaken).

Chats next morning on the 3rd with Citizens Information, Competition & Consumer Protection Commission and the office of The Data Protection Commissioner informed me that my bank card details being retained for the year was not “excessive”, that the contract was a “rolling contract”. However, the very nice people at these agencies were unable to offer any remedy.

So I again contacted the AA and my money will be replaced in 28 days.

It seems that everybody with an AA breakdown assist policy is automatically debited, year after year.

Indeed a google on the AA confirms this is so. The AA is taking direct debit payments without third party consent both in Ireland and the UK. Articles in the Guardian, Telegraph the BBC and consumer sites on both sides of the pond stretching back to 2009 detail how some people don't notice for several years (which is the purpose). Getting money back can be near impossible.

The articles reveal how the policy is rampant for years though the company repeatedly responds (to media) as if it has just become aware of the problem and “will review its procedures” (2011).

This sort of immoral behaviour can have detrimental human consequences so that somebody else can raise their bonus.

The public needs protection from unscrupulous practices by the AA.


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