Unauthorised credit card payment

Discussion in 'Finance, Property, Law' started by semper, Nov 2, 2012.

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  1. Hopefully some of you guys have moved over to the banking sector after discharge or has experience with this kind of thing.

    I closed my Tesco credit card in July 2012 and cancelled my direct debit, settled in full, got confirmation letter that the account is now closed, no dramas, I have today received a letter stating that I have money owing and I have searched my bank statement history a payment of £25 have been taken out just before I cancelled my direct debit it seems it is for a holiday insurance which I no longer require, and the latest letter is for £5.36 what it is for I don't know they have also added a late payment charge of £12 to it.

    Before I ring them tomorrow where do I stand on this, to me this is like a fraudulent transaction and trying in on to squeeze extra money out of me, since there is NO money owing as it is settled in FULL.


    I am thinking its a CPA that I don't know about and they are very difficult to cancel as they "forget" to stop it

    Any advice chaps thanks all
     
  2. Did you tell the holiday chaps not to renew the insurance Yearly? Its up to you to stop any reoccuring payments charged to your card, if not the card company has to honour it.
    Despite what the uneducted may tell you its not the bankers trying to rob you its most likely an oversight on yours or the holiday peoples part, your first port of call is with them and demanding why they have took a payment from your credit card after cancelling the insurance (You probably didn't but worth a try)
    Then depending on how it goes speak to the credit card people explaining what happened and try to get it waived. When doing this dont be a dick and start bashing bankers, the person on the other end will be a dick back to you, be nice explain things and if needed speak to a manager. The 12 quid charge is all above board and was allowed by the courts, they can charge it but you can try to get it waived, be nice but firm and there is a good chance it will happen as no call centre monkey wants the bother for something like this.
     
  3. If the £5.36 is on the Credit Card it may be the interest for the month as that usually doesn't get added on till the day the statement is getting sent out. I would argue the £12 as you thought the account was clear, if you get no joy from who answers the phone then ask for their supervisor. Good luck
     
  4. Cheers for some wise advice there,

    Did a bit of digging, do you know anything about payment Service Regulations ? from what I understand I could use this to stop the CPAs, as I no longer have the details of the original CPA company which can happen to anybody.
     
  5. No I'm sorry i don't.
     
  6. There was a BBC news article about this earlier in the year. It said,


    BBC News - Banks deny customers' rights over payment cancellations

    I'm glad I read it because 3 months ago I got a credit card statement with a payment I knew nothing about. I rang the card company and told them I was disputing it and they needed remove the payment from my account. The person I spoke to was really obstructive on the phone and tried to fob me off by saying it was up to me to contact the company who'd taken the money. I said I was telling them not asking them, and sure enough, the next statement arrived with the payment cancelled.
     
  7. "Residual Interest" is the one that catches people out when they close a card, and instruct their bank to make no more payments. You think you owe £100 on the day you close it, which you pay, they confirm on the phone your balance is zero. Up to four weeks later the interest is calculated and you owe a fiver still, but you've no method of payment in place so it doesn't get paid, then a penalty charge is added.

    If you close a card, it's good to call again shortly after to check the balance.
     
  8. Phoned them today and paid only the £5 quid owed due to as mentioned residual interest, no £12 penalty and I also declared the card lost not found, which should have a stop on it, I am expecting a confirmation letter that this is the end of it.

    Will update again for advice if they balls it up.

    Lesson learned never buy anything this is likely to be a continuous matter such as Club, Gym memberships, Holiday insurance etc as far as I am aware its just the one holiday insurance that has CPA. no other CPA type purchases, hopefully everybody is also aware of these activities which is scam like in nature as they rely on consumer ignorance.

    Thanks to everybody who have given me some pointers.

    if this provokes further discussions regarding something like this is a good thing as consumer awareness is something we all need in order to keep our hard earned money out the hands of the grasping slippery corporations.