What Is a Per Diem fee Retaining to automobile insurance?

Elephant insurance renewal fee + collection agency fee?

• unknown to me elephant insurance renewed my policy after 12mths and tried to take out the renewal money out of my account luckily i hadnt the money within the account for them to get so nothing was taken altough lloyds charged me £20 for this. Angry i rang elephant who informed me it is written in small print of automatic renewal - unknown to me. I therfore canceled the policy however they attempted to charge me £22.50 administration fees which i refused to pay, after numerous letters pursuing me for this money they have now passed the debt onto a collection agency who add their own fee of £20 totalling a £62.50 charge for something i never had. Is there any legal loopholes out of this or should i just pay the collection agency fee before they increase this (i really dont want to). These companies should not be allowed to do this.

• Answer:

  Why should they not be allowed to do this? Did you not read the contract you signed? You signed papers agreeing to those terms. Most contracts call for collection costs, attorney fees, and interest. This is common practice and completely legal.