Personal Finance

Credit Union took my mortgage payment twice

  • Last Updated:
  • Apr 8th, 2019 1:11 pm
[OP]
Deal Addict
Apr 18, 2013
3494 posts
1596 upvotes
Canada

Credit Union took my mortgage payment twice

My mortgage is with Crosstown Civic Credit Union (Manitoba) and my checking account is with TD. My mortgage is $600 every two weeks.

This week Crosstown correctly took $600 from my TD checking account for my mortgage correctly. Then Thursday they incorrectly took out another $600 for my mortgage. I called Crosstown and they said they are aware of the issue but that it is a company called CUPS Payment Services who messed up the AFT and that it is a wide spread issue. Crosstown says they do not have the extra $600.

I'm quite angry over this as it feels like theft. $600 was taken out of my account unauthorized.

The Crosstown bank manager told me that CUPS said the funds should have been transferred back to TD last night (Friday) and that I should be able to see them in my checking account now, but it's still not there. I called TD and they don't see anything pending.

Has anyone experienced or heard of an issue like this before? When can I expect my $600 to appear back in my TD checking account?
14 replies
Sr. Member
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Jul 25, 2015
693 posts
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Burnaby, BC
I think it's better they keep it and you dont have to pay on your next payment. It's a wash.
[OP]
Deal Addict
Apr 18, 2013
3494 posts
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Canada
Piklishi wrote: I think it's better they keep it and you dont have to pay on your next payment. It's a wash.
I don't think that is an option, since as I mentioned, the Credit Union does not have the funds. It's the payment services agency (CUPS Payment Services) that has the money. CUPS does all of the AFT's for the majority of credit unions.
Deal Addict
May 15, 2013
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Montreal
The advantage is that you are going to finish paying off your debt faster.
[OP]
Deal Addict
Apr 18, 2013
3494 posts
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Canada
iamthebest wrote: The advantage is that you are going to finish paying off your debt faster.
How am I not being clear? The credit union does not have the money. It is not and will not be applied to my mortgage. The AFT payment company CUPS has the money and it is supposed to be returned to my TD account.
Deal Guru
Jun 26, 2011
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GTA
On the bright side you've made your next payment early, right? Smiling Face With Sunglasses
Deal Addict
Jul 28, 2012
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Trois-Rivières, QC
gbill2004 wrote: The Crosstown bank manager told me that CUPS said the funds should have been transferred back to TD last night (Friday) and that I should be able to see them in my checking account now, but it's still not there. I called TD and they don't see anything pending.

Has anyone experienced or heard of an issue like this before? When can I expect my $600 to appear back in my TD checking account?
I understand how aggravating this must be, because the extra $600 is in limbo and it's not your fault that CUPS messed up. Contact the Crosstown bank manager again on Monday and insist that the funds be credited back to your account ASAP. As a last resort they should "lend you" the $600 interest free while they sort this out with CUPS.
[OP]
Deal Addict
Apr 18, 2013
3494 posts
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Canada
airodyssey wrote: I understand how aggravating this must be, because the extra $600 is in limbo and it's not your fault that CUPS messed up. Contact the Crosstown bank manager again on Monday and insist that the funds be credited back to your account ASAP. As a last resort they should "lend you" the $600 interest free while they sort this out with CUPS.
Thank you for the firsts useful response. It is my understanding that Crosstown will do this; they'd give me the $600 until CUPS reverses the AFT into my account. Crosstown would then need me to return the $600 to them. But until then I guess they're out the money; not me. I'd prefer it to just be fixed correctly, but I suppose I'll call Crosstown manager on Monday to do this.

Any idea how long this will take to be resolved correctly?
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Jan 27, 2004
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T.O. Lotto Captain
Next time that happens contact your bank and tell them that its an unauthorized PAD.@ least @ bmo you can return a PAD thats unauthourized. You get the money back right away and you just have to sign a form in branch.
The form states that you swear its legitly unauthroruzied thats all. They just want to avoid people returning payments they are obligated to.
[OP]
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Apr 18, 2013
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Canada
UrbanPoet wrote: Next time that happens contact your bank and tell them that its an unauthorized PAD.@ least @ bmo you can return a PAD thats unauthourized. You get the money back right away and you just have to sign a form in branch.
The form states that you swear its legitly unauthroruzied thats all. They just want to avoid people returning payments they are obligated to.
I've been in contact with TD and they say they are looking into it. But they did not mention that option.
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Jan 27, 2004
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gbill2004 wrote: I've been in contact with TD and they say they are looking into it. But they did not mention that option.
Maybe they have it. Maybe they don’t.
But @ bmo we don’t make it too public as an option. We process it when people come in screaming “omg wtf. I don’t even use rogers how they debit me?”

Or like your case just a company screw up.
Deal Addict
Jul 28, 2012
1021 posts
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Trois-Rivières, QC
gbill2004 wrote: Thank you for the firsts useful response. It is my understanding that Crosstown will do this; they'd give me the $600 until CUPS reverses the AFT into my account. Crosstown would then need me to return the $600 to them. But until then I guess they're out the money; not me. I'd prefer it to just be fixed correctly, but I suppose I'll call Crosstown manager on Monday to do this.

Any idea how long this will take to be resolved correctly?
You can ask the manager how long it will take. I'm surprised they haven't been more proactive with this. I worked at RBC during the major systems failure in 2004, which caused countless numbers of clients and non-clients to miss their payroll, government payments, etc. When the bank realized that it would take several days to fix, they went out of their way to temporarily credit the accounts and even lend money to non-clients.
[OP]
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Apr 18, 2013
3494 posts
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Canada
UrbanPoet wrote: Maybe they have it. Maybe they don’t.
But @ bmo we don’t make it too public as an option. We process it when people come in screaming “omg wtf. I don’t even use rogers how they debit me?”

Or like your case just a company screw up.
But if/when the mistake is fixed and the money is returned, I assume the customer is responsible to return that money back to the bank, right?
[OP]
Deal Addict
Apr 18, 2013
3494 posts
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Canada
airodyssey wrote: You can ask the manager how long it will take. I'm surprised they haven't been more proactive with this. I worked at RBC during the major systems failure in 2004, which caused countless numbers of clients and non-clients to miss their payroll, government payments, etc. When the bank realized that it would take several days to fix, they went out of their way to temporarily credit the accounts and even lend money to non-clients.
Like I said in my initial post, I did ask the manager how long it'll take and they said it should be fixed last night. It still is not fixed and that is why I ask here.
[OP]
Deal Addict
Apr 18, 2013
3494 posts
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Canada
So Crosstown has now put the $600 in my account via a bank draft they deposited into my TD account, but the issue is still not resolved as we expect at some point CUPS will fix the error and the initial $600 that went missing will re-appear in my account. At that point I need to return the $600 back to Crosstown, who is taking my word on if/when the $600 is refunded by CUPS. What a mess...

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