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You can find the current article at its original source at http://www.guardian.co.uk/money/2013/jun/07/bounced-payments-bank-customers-fca
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| Bounced payments agreement gives bank customers second chance | Bounced payments agreement gives bank customers second chance |
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| Consumers will save millions of pounds a year in penalty fees for bounced payments under a deal between eight current account providers and the City regulator. | Consumers will save millions of pounds a year in penalty fees for bounced payments under a deal between eight current account providers and the City regulator. |
| Previously, most banks and building societies processed standing orders, direct debits and other pre-arranged payments early in the morning, at the same time as salaries were paid in to accounts. If the money coming in had not cleared before the debit was attempted customers could be charged about £25 for each unpaid item – with the total cost to consumers estimated at £200m a year. | Previously, most banks and building societies processed standing orders, direct debits and other pre-arranged payments early in the morning, at the same time as salaries were paid in to accounts. If the money coming in had not cleared before the debit was attempted customers could be charged about £25 for each unpaid item – with the total cost to consumers estimated at £200m a year. |
| The Financial Conduct Authority (FCA) said it had reached a deal with seven banks and one building society that would "improve the experience of everyday banking for millions of consumers". | The Financial Conduct Authority (FCA) said it had reached a deal with seven banks and one building society that would "improve the experience of everyday banking for millions of consumers". |
| They have agreed to retry processing failed payments rather than instantly hitting customers with a charge, allowing money to arrive in the account later on the same day. | They have agreed to retry processing failed payments rather than instantly hitting customers with a charge, allowing money to arrive in the account later on the same day. |
| If the deposited money is not present when a debit is initially taken, they will make a second attempt in the afternoon before finalising the transaction. They will also inform consumers what time money must be in their accounts in order for outgoing payments to be made. | If the deposited money is not present when a debit is initially taken, they will make a second attempt in the afternoon before finalising the transaction. They will also inform consumers what time money must be in their accounts in order for outgoing payments to be made. |
| Barclays, the Co-operative, HSBC, Nationwide, RBS Group, Santander and National Australia Group, which owns Clydesdale and Yorkshire banks, have all introduced the change, while Lloyds Banking Group is extending it to all transactions. | Barclays, the Co-operative, HSBC, Nationwide, RBS Group, Santander and National Australia Group, which owns Clydesdale and Yorkshire banks, have all introduced the change, while Lloyds Banking Group is extending it to all transactions. |
| Lloyds said that until this is in place, customers will be able to claim a refund for related late payment charges. | Lloyds said that until this is in place, customers will be able to claim a refund for related late payment charges. |
| Clive Adamson, the FCA's director of supervision, said: "This is a small adjustment, but one that will make a big difference." | Clive Adamson, the FCA's director of supervision, said: "This is a small adjustment, but one that will make a big difference." |
| Adamson said this was a voluntary agreement rather than a new set of rules from the regulator, but added: "Working together for the benefit of consumers can often be more effective than writing new rules, and it certainly delivers results more quickly." | Adamson said this was a voluntary agreement rather than a new set of rules from the regulator, but added: "Working together for the benefit of consumers can often be more effective than writing new rules, and it certainly delivers results more quickly." |
| The FCA said it was working with the Payments Council on how to improve the minimum service level for customers across all banks and building societies offering standing order, direct debit or future-dated payment facilities. | The FCA said it was working with the Payments Council on how to improve the minimum service level for customers across all banks and building societies offering standing order, direct debit or future-dated payment facilities. |
| It is also plans to publish a report in the summer on recurring transactions, also known as continuous payment authorities. These are used across a range of industries, including the payday loans sector, and allow companies to withdraw money from a consumer's account without requiring permission each time. | It is also plans to publish a report in the summer on recurring transactions, also known as continuous payment authorities. These are used across a range of industries, including the payday loans sector, and allow companies to withdraw money from a consumer's account without requiring permission each time. |
| Charities have reported instances where borrowers at payday loan companies have seen repeated withdrawals over the course of a day and had their accounts emptied by lenders collecting repayments. | Charities have reported instances where borrowers at payday loan companies have seen repeated withdrawals over the course of a day and had their accounts emptied by lenders collecting repayments. |
| Top savings accounts | Top savings accounts |
| Yorkshire BS | Yorkshire BS |
| Coventry BS | |
| Chelsea BS | |
| Powered by MoneySupermarket for the Guardian | Powered by MoneySupermarket for the Guardian |