Skip to comments.A New Obamacare Wrinkle. You Can Not Cancel Auto-pay.
Posted on 01/13/2014 2:54:38 AM PST by Gen.Blather
A friend was notified that the health plan shed been with for over twenty years, Capital Health Plan, was cancelled due to not meeting the Obamacare requirements. So she bought a Blue Cross Blue Shield policy off the exchange and paid for the first month using auto-deduction from her checking account. When she was notified she could keep her old plan for another year she decided thats what she wanted. She renewed her Capital Health Plan then called Blue Cross and asked them to cancel her new Obamacare policy. They told her they could stop her coverage but could not stop the automatic deduction from her checking account. She would have to do that through the exchange. After spending seven hours on the phone (this woman runs a couple of businesses and works seven days a week) she was told there was no way to stop the deductions from her account. She said, Everyone was extremely pleasant and helpful but all concluded it couldnt be done.
Today shes closing her checking account. For added security, given the thinking behind Obamacare, shes moving her account to a different bank.
Another benefit of Obama care! When will the pleasant surprises ever stop!
You can always cancel or change your bank account or credit card. I don’t believe they can tax your paycheck yet but I’m sure that’s coming.
“I dont believe they can tax your paycheck yet but Im sure thats coming.”
I didn’t put this in the post because I couldn’t find the link. As originally written the ACA penalties were to be automatically taken from any account you owned by the IRS. But that didn’t make it into the final bill. In the present version of the “settled law” they have to take the penalties from your tax refund...if any. My understanding is they have no other collection means.
When I started drawing social security I had them send a check every month. One day I got a cal from my SIL who worked at the bank. A transfer had been kicked back because it was sent to an account I had closed. I called SS and was informed that I had signed up for direct deposit. I told the lady I had done no such thing, someone at SS had signed the form. They make up rules on the spot and don't care about any damage.
The woman runs a couple of businesses and is not smart enough to close out her bank account and open another one. She spent 7 hours in the effort!?
This doesn’t sound correct. I think there are some details missing.
It’s as if she’d been a victim of a vampire.
Once you start on that path, any stumbling block becomes a challenge, and no challenge is left without confronting it at least once.
It just may have been a series of ... "No ma'am, but if you call 555-1234, THEY'LL fix it"
It's what WE do on the internet occasionally ... chase rabbits.
I guess if you had actually read the post you would see that she is doing exactly that.
It’s comforting to hear the modern day robber barons are at least pleasant while the are taking your money. Heck, all we need to do now is get IRS agents to smile while they are reaching into your wallet, and the world will be right as rain.
And why WOULDN'T it ?
zero has no respect for SS numbers.
“Welcome to the hotel California.”
It’s not easy to close a bank account because (presumably) there are other checks outstanding. Generally you have to wait until everything clears. I’m in the process of doing that with my business.
Even if you carefully leave just the amount of money in the account to cover outstanding checks, if the government takes another premium for your ACA first, the other checks will bounce.
>> She spent 7 hours in the effort!?
Are you seriously mocking her for the time it takes to deal with this crap?
I was living in Slovakia when I first signed up for SS. My rep was out of the US embassy in Warsaw, Poland. He was outstanding, and I had no problems. I first received checks, as my Slovak bank did not handle SS. I think the checks must have come from the embassy in Slovakia, as the envelopes were spotless with no sign of ever being in the mail. I later opened an account with a bank that accepted direct deposit.
When I moved to the Philippines, I signed up online for direct deposit to my bank here in the Philippines. It comes like clockwork just after midnight on the 4th of each month. I check it via my online banking.
The American Embassy here has a very large staff of gals who could not be any better, or more helpful.
“I called SS and was informed that I had signed up for direct deposit. I told the lady I had done no such thing, someone at SS had signed the form.”
That is scary. I have direct deposit of my paycheck, but refuse to set up automatic debits on the account; I’ll pay the bills when I’m ready (I pay on time, and have great credit), but I’m afraid some unforeseen issue would overdraw it.
Like signing up for the “coupon plus discount service free trial offer” and then you can’t cancel. And when you start investigating more you see that the local tv channel has done a story on them, and they get a “F” rating by the Better Business Bureau. Doubt we’ll see that with obamacare.
Like the Hotel California or the Roach Motel “You can check in but never leave”.
“She spent 7 hours in the effort!?”
I can’t answer fro her, but from years of experience I can tell you she does everything the right way. I suspect that she’s found that’s the best way to not get zinged. So, in her life every “I” is dotted and every “t” crossed.
If I was to close an account I’d make certain that every auto-deduction was properly transferred first as there’s really no telling what the bank will do with them if you don’t and secondly not wanting to transfer all the other auto-deductions. Since she can’t cancel this one she has reluctantly decided to change banks as well, to prevent her bank from simply moving the auto-deduction from one account to another. That is why I suspect she persevered as long as she did; not wanting to change banks and having to change all the other auto-deductions.
“Welcome to the hotel California.”
That’s clever. You can check out but you can never leave.
-— After spending seven hours on the phone -—
To the surprise of no one here.
But won’t the moonbats be surprised.
I’m mocking her for not finding a solution that took less than 7 hours to get the desired result.
Completely close that checking account and any other savings instrument with that bank and move it all to another one.
Running a business is not about taking too long to solve a problem.
They just haven’t coded that part of the program yet.
I did not need to read past the part where she spent 7 hours working the problem to see she would never work for me. It is not just the time she spent on it, think of all else that did not get done while she was spending way too much time on this issue.
“They just havent coded that part of the program yet.”
I suspect she could have easily moved the auto pay from one plan to another. But the “concept” of not paying or leaving the program wasn’t part of the designer’s thinking. What happens when somebody dies? Will Obamacare continue to auto-deduct until the bank freezes the account? Will Obamacare be exempted from the mandatory dead-account freeze? Who knows.
When you design something you game these situations. Some companies have had children come in and play with their new equipment because the engineers would never think of flipping the switches that would run power directly to ground, but some grunt in the field almost certainly will.
And if you had read the post with any comprehension you would also have noted that she runs her own business and therefore would never work for you anyway. But don’t let ignorance of what you’re talking about stop you. Please proceed.
It doesn't matter to me, I get SS direct deposit and I am, for all practical purposes, a nobody
It pains me to realize, I'm old enough to be almost dead and I'm out'a here ... and THAT is not what the American Dream purported nor promised.
I see very few "You can live here in sunny where-ever" commercials any more ... they're all financial services so you can ride your bike.
I found out the hard way that the only way to "cancel" auto pay is to close your bank account and open a new one.
Caution ladies, it involved the health/gym, whatever it is, "Curves".
Now, no one gets my routing number for auto pay - no one.
Typical obama flustercluck.
“Caution ladies, it involved the health/gym, whatever it is, “Curves”.”
I was able to stop the YMCA auto-deduct, once when I took a 10 month assignment and again when I finally joined a closer Gold’s. So, it can be done. But apparently only reputable companies will do it.
BTW, I’ve been on auto-pay for Free Republic for several years. I decided that even when I’m out of work that $15/month is okay for entertainment as I don’t smoke, drink, own a TV, or go to movies. (Fluck Hollywood!)
“If you like your bank you can keep it”
Posting without reading for 3 years!!!
They've been doing it ever since 1943. It's called "withholding."
So when the IRS puts a lien against her property for lack of payment I’m certain they’ll be helpful & kind as well.</s>
“You can check out any time you like
But you can never leave...”
Hmmm... just like Facebook.
I never gave my banking info up to one of those auto-pay functions for that reason.
Isn’t it possible to stop it from the bank side?
Sure she’s not getting this confused with XM/Sirius radio?
“Isnt it possible to stop it from the bank side?”
I have no idea. Anybody know?
Why go to the hassle of having to close an re-open an account when every other business has an OBLIGATION to stop pulling from your account when you notify them?
Because they have her personal information, they will run it to see if she’s opened any new accounts. Then they will track down her new bank account, take out missed payments and fine her for closing her original account.
Sadly, she is in for a real big surprise. When you have authorized auto-deduct closing your account won’t stop the deductions. Auto-deduct will force the account to reopen and she will incur overdraft charges in addition to paying for an 0bamacare policy she doesn’t want or need.
The consumer has no power to stop the once authorized deductions.
Many years back I remember someone I knew set-up the monthly auto-deductions from checking for a Bally’s health and fitness, and had trouble getting them to stop doing it.
The better route is the banks electronic bill pay system where the customer controls all the transactions from their computers.
I also have one credit card just for periodic monthly billing transactions.
But I am not giving out my bank account info.
As of now, the IRS can only take money from your tax refund. So of course, the wise taxpayer will adjust their withholding to be slightly less than necessary to pay off the balance of their tax bill on April 15....no refund.
Of course, then the Senate will pass a bill, with the help of 6 RINOs, which will let the IRS garnish your wages, or if you are retired, take your scooter, in payment of your penalty.
What a pitiful flock of sheeple we have become.
Obamacare hasn’t implemented withholding “yet”.
The bank will tell you that the business has to cancel the auto-pay, then they’ll thank you for calling and hang up.
Seriously, what does it matter what the law actually states?
Obama’s been changing it at will and on a whim wherever the political winds are blowing.