Direct debits is not a scam

3/30/2010

Magna West Somerset (MWS) residents have been told that a request to sign new direct debit forms is a genuine one.

A technical fault within the housing association’s centralised computer system meant that all original direct debit mandates were cancelled and Magna could not collect payments due for rent or other services from its customers’ bank accounts.  

Christine Boland, tenant services manager for MWS, said, ”We apologise to all our customers for the inconvenience this is causing them, but we are keen to put things right as soon as possible.  We have discussed how best to do this with our bank and the authorities who administer direct debits.  The rules surrounding direct debit are very tight, and quite rightly so.  They mean that there is only one way to correct the problem, and that is for us to ask all our customers to sign a fresh direct debit mandate.”

Anyone who receives a mandate form should complete it and return it in the enclosed pre-paid envelope by Wednesday 31st March 2010 (no stamp required).  
Christine added, “We want to stress to our residents that this is not a scam, and anyone who wants reassurance should phone us on the housing freephone number 0800 138 6107. Anyone who does not return the mandate will need to make alternative arrangements to pay their rent on or before the usual direct debit date, either by cheque, cash, debit or credit card.”

Residents have been told that there is no risk of Magna collecting duplicate payments from their bank as the previous direct debit mandate has been cancelled and that the same amount as before would be collected.