Check bank statements regularly

Botshelo Selogilwe

Botshelo Selogilwe

Sello Maphothoma learnt the hard way that not checking bank statements on a regular basis can cost one dearly.

He took out car insurance in 2003 and paid his monthly premiums regularly until November when the insurance company omitted to debit his account. Maphothoma only found out in March when the company refused to process his accident claim.

It took Maxisure about two weeks to tell him they would not repair his vehicle because he had cancelled the policy.

"I was shocked. Then the company said I had insufficient funds in my account. Then they blamed my bank for the cancellation.

"I never cancelled but they never bothered to tell me I was in arrears," said Maphothoma.

He claims that he has a cheque account and an overdraft facility, that his bank automatically pays on demand.

Consumer Line found that Maphothoma had sufficient funds, which Maxisure accessed in December. But the company failed to debit his account from January until March.

At first Maxisure insisted that Maphothoma was at fault, but had a rethink after Consumer Line faxed them proof that the account always had sufficient funds. The company's Irene Kriek has promised to investigate.