Credit card charges - are they fair?

tetty177 · 5 November 2009 at 5:11PM

Hi

I just wondered if anyone knows what is fair in regards to credit card charges. I know that anything over £12 has been classed as unfair by the OFT but can credit card companies put on multiple charges of £12. I have a vanquis card and before the OFT decision if a payment was missed i would have been charged a one off £30 fee. This month was the first time i have missed a payment in about 2 years and it was due to a mistake with my wages.

I have a direct debit set up to pay the minimum every month but this month as my wages were not paid in to my account in time my bank returned the direct debit unpaid. Vanquis have now charged me £12 for having the direct debit returned, £12 for a missed payment and because these charges have been added i have gone over my credit limit by £1 so i have a further £12 charge for that. Therefore for missing one payment (which was paid 1 day later by the way) i have been charged £36 so in effect i am worse off than before the OFT decision on unfair bank charges.

Can they do this??

Thanks in advance

exel1966 · 5 November 2009 at 5:23PM

The problem here is not with the OFT or Vanquis or the bank (they have all acted reasonably), but your employer.

If you have an issue as to when you were paid then you should be taking it up with them, though I don't think there's any employer out there who guarantees to pay your salary on any particular day.

never-in-doubt · 5 November 2009 at 5:30PM

They shouldn't charge multiple amounts for a small mistake. You should write in complaining, offer the solitary payment of £12 and close the account if necessary.

You should not be charged 3 times for a small error but unfortunately it is up to the lender, its not law or anything (yet!).

tetty177 · 5 November 2009 at 5:31PM

My employers have said they will refund me charges but only of £12 they are not prepared to pay all 3 charges. It just seems a bit unfair that previously i was only charged a single payment of £30 where now vanquis seem to think it is perfectly acceptable to charge me 3 times for what is simply missing a payment. If this is the case surely it is better not to set up direct debit because at least that way they can only charge me for a missed payment and not a missed payment and a missed direct debit if it was to ever happen again.

jonesMUFCforever · 5 November 2009 at 8:04PM

tetty177 wrote: »

My employers have said they will refund me charges but only of £12 they are not prepared to pay all 3 charges. It just seems a bit unfair that previously i was only charged a single payment of £30 where now vanquis seem to think it is perfectly acceptable to charge me 3 times for what is simply missing a payment. If this is the case surely it is better not to set up direct debit because at least that way they can only charge me for a missed payment and not a missed payment and a missed direct debit if it was to ever happen again.

Depends how far you want to take it really - is your job safe etc ?
I would certainly show them your statement to prove that the charges have been taken.
I do think it is bad practise to charge a fee when a charge provokes another fee - I agree that you should complain about that part with the credit card company.

The ultimate responsibility for the account however is you - IMO you should never get too close to your limit in case things like this happens.

tetty177 · 6 November 2009 at 3:28AM

Thanks for the advice but when u lose ur job and have rent and bills to pay sometimes u have to do what u can to avaoid becoming homeless and as you have to be out of work for six weeks before you can claim job seekers allowance it left me with little choice. Thankfully I have a job now and unfortunately this has happened. I know what everyone is saying about my employer and I am going to speak to them but ultimately what I want to know is if it is fair for vanquis to charge me 3 seperate 12 fees because I would rather get vanquis to remove them than ask my employer for the money.

never-in-doubt · 6 November 2009 at 8:39AM

Vanquis can charge as many as they want - there is no final outcome (as of today) on the test case for unfair charges so as things stand, they are perfectly within their rights to charge you not only 3 x £12 - but £12 per day (of overlimit) if they really wanted to!

Just get over it and stump up the £36 - you're constantly trying to blame someone - look in the mirror, you are ultimately the one to blame - no1 else. Sorry but its the truth....

Take it as a lesson learned....

tetty177 · 6 November 2009 at 10:52AM

I am not trying to blame anyone all I wanted to know is are these charges fair. I know I have made mistakes but that's has nothing to do with u. Maybe get out a bit more u seem to have put some messages on quite a few threads and all u ultimately do is criticise people for there mistakes. U r really quite pathgetic if u get ur kicks from kicking people while they r down - truely one of lifes know alls. I suppose u have never made a mistake. Next time either answer the question or just keep ur mouth shut. I don't take criticism from complete strangers.

never-in-doubt · 6 November 2009 at 10:58AM

tetty177 wrote: »

I am not trying to blame anyone all I wanted to know is are these charges fair. I know I have made mistakes but that's has nothing to do with u. Maybe get out a bit more u seem to have put some messages on quite a few threads and all u ultimately do is criticise people for there mistakes. U r really quite pathgetic if u get ur kicks from kicking people while they r down - truely one of lifes know alls. I suppose u have never made a mistake. Next time either answer the question or just keep ur mouth shut. I don't take criticism from complete strangers.

HUH?

Try reading my posts agin, I think you'll actually see that i'm the number one person on here that admits to doing everything I can to screw the banks! You must be talking about someone else cos I never kick people when they are down - I help them!

The point is, with you, i've told you twice and so have several others but you still will not listen. They have acted within their rights - accept it and move on.

Do not, however, get smart or personal cos you're way off the mark. If there was anything you could do then you'd have been told already!

p.s. regards to your last comment about taking advice from strangers - then why the hell post on a ruddy internet forum asking for advice!!

YorkshireBoy · 6 November 2009 at 11:16AM

tetty177 wrote: »

I have a vanquis card and before the OFT decision if a payment was missed i would have been charged a one off £30 fee.

Are you sure? Do you speak from experience or are you just presuming?

As far as I know providers have always treated each 'offence' separately, so you'd probably have been charged 3 x £30 (and maybe even 4 x £30 if you didn't bring the account back under the limit before your next statement was produced).

As to "fairness", the people on the reclaim board will tell you that even the £12 fees can be reclaimed...if you're prepared to put in a bit of work.

never-in-doubt · 6 November 2009 at 11:17AM

YorkshireBoy wrote: »

As to "fairness", the people on the reclaim board will tell you that even the £12 fees can be reclaimed...if you're prepared to put in a bit of work.

Why oh why did you have to go and say that! :rotfl::rotfl:

Point is, due to the nature of this and the lender being Vanquis, they will not wipe the charges - mainstream lenders do but not sub prime - why would they? They took the risk.

Credit card charges - are they fair?

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