Conference 7.286::dcu

    This sounds like an example of why DCU decided to terminate business
    with Paymate.  I had a similar problem when I first signed up.  I ended
    up double paying a car loan and a student loan because 1) I didn't
    realize I had signed up for automatic payment (I thought I still had to
    authorize it by phone - and the application form was very vague) and 2)
    they didn't notify me that the automatic payments had started.

  Tell Paymate to jump off a CLIFF!!!  You have the document stating that 
DCU no longer deals with Paymate therefore you don't owe them anything.
It's not your problem ;-.] ;-.]  Let them fight it out.  You are ahead in
the meantime.

re: .0

I'm not a lawyer but here are my thoughts on the matter:

>When Paymate became available, I signed up for a recurring payment, a New Car
>Loan to Ford Credit.  My goal for using this feature was to make sure that I
>don't drop the ball and forget to pay a bill.  This could help keep the best
>credit rating even with a busy schedule.

OK, you contracted with Paymate for a service, they were to be reimbursed
for their outlay of cash from your DCU account


>Through a letter dated 1/10/92, DEFCU announced that it would discontinue this
>service effective 3/1/92 "due to low member usage and unacceptable service levels
>provided by Paymate, Inc."

OK, DCU announces that they are severing their relationship with Paymate as of
3/1/92. Did you inform Paymate not to continue paying Ford Motor as of 3/1/92?
I think that your relationship with Paymate may still have been valid.

>Knowing that Paymate would no longer be handling my account, I subscribed to an
>EFT/check writing service from Checkfree.  Checkfree handled the next payment
>on 3/26/92 on schedule.

I do not know how you knew that Paymate wouldn't be handling your account.
You didnt specifically sever it, you seemed to assume that because DCU was
severing their relationship that meant that, "all bets were off". May not
legally be true.

- George

    
    I'd say that the DCU and Paymate have a problem, no you.
    
    Steve
    

�I do not know how you knew that Paymate wouldn't be handling your account.
�You didnt specifically sever it, you seemed to assume that because DCU was
�severing their relationship that meant that, "all bets were off". May not
�legally be true.
    
    I asked DCU about this while trying to track down another problem I had
    between PayMate and Mass.Electric.  DCU assured me that PayMate would
    not be able to withdraw money from my account to make the automatic
    payments for my car and student loans and that PayMate knew that such a
    service was to be terminated by the quoted date.  FWIW, PayMate has
    thankfully not contacted me asking me for money since the termination
    of the agreement.

    Well, I did end up getting bit just like .0 did.  I thought I was free
    and clear since I didn't see any Paymate activity in March and April. 
    I went to the DCU to get some money for the weekend this morning.  They
    told me my checking account was empty and they had to go to my line of
    credit to cover a check.  They printed out an activity sheet for the
    month to date and there were 4 Paymate withdrawls!  I had automatic
    payments going to a student loan and a car loan.  On May 1 they
    apparently tried to make up for not taking my money in March and April
    and took out 2 payments for each of the loans.
    
    The DCU teller then immediately called member services at the central
    branch.  After explaining the situation, she told me someone would call
    me back this afternoon and assured me that the money would be credited
    to my account.  Sure enough, just after lunch I got the call.  I was
    told the money taken by Paymate from my checking account is being put
    back, and my credit line transaction has been cancelled with no
    interest charge.  A little while later I received another call from DCU
    confirming that the appropriate transactions had taken place and was
    given balance information on the affected accounts.  Through the whole
    process, the DCU folks were very helpful, polite and apologetic.

A while back in one of Charles Givens' books I saw a suggested form for fixing
this kind of stuff... in essence, it is a letter to your bank telling them to
immediately cease allowing any transfers from your account to XYZ Company.
Thus, XYZ cannot bleed your account of any more $$$.

Lee

    Better make that letter return receipt requested.

    When DCU stopped using PayMate, I was told that they would not be able
    to take money from my account.  Somehow they were able to, but DCU made
    the appropriate credits to my accounts on the day the transfers were
    discovered by me.