insurance direct payment plan error

by mike
(lakeville, ma, United States)

when i purchased my auto insurance policy, i decided to use the monthly automatic payment plan. in that plan i supplied AMICA with my bank account information and agreed to let them take the money directly from my checking account on the day the bill was due for the month. it was the standard direct payment plan that they offer. however, they never took the money from my account on the day that they were supposed to and i don't go through my bank account that much so i never noticed. now, 4 months later they are sending me the bill from 4 months ago from when they were supposed to take the money from my account. the way i see it is that they were supposed to take the money from my account and they didn't so i don't think i should have to pay the bill because they messed up 4 months ago. i gave them permission to take the money from the account on the day the bill was due for the month and they didn't so i don't think i owe them anything if they didn't take it when they were supposed to. however i'm no lawyer and before i go make a big deal over this i'd like someones advice. my question is that if they never collect the money like they are supposed to, do i owe them it?

Comments for insurance direct payment plan error

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Jan 24, 2012
insurance direct payment plan error
by: Debtcollectionanswers.com

Mike:

I know it is frustrating, but when you purchased the policy, you entered into a legally-binding contract with the company and so you owe it for the 4 months, despite the fact that your payments were not automatically debited out of your account. So, I would pay the bill but I would also contact the company to explain what happened. And, you may want to have all future bills sent to you rather than having your account debited for them so you don't run into this problem again.

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