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  • FIRST POST
    • Bedsit Bob
    • By Bedsit Bob 12th Oct 17, 6:15 PM
    • 9,714Posts
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    Bedsit Bob
    I imagine there be a lot of people going into positive balances, in the near future.
    • #1
    • 12th Oct 17, 6:15 PM
    I imagine there be a lot of people going into positive balances, in the near future. 12th Oct 17 at 6:15 PM
    With the collapse of Monarch, and the cancelling of lots of flights by Ryanair, I'm guessing a great many people will be getting refunds to their Credit Cards.

    What happens with these refunds, that take a Credit Card into a positive balance?
    My job is Top Secret. Even I don't know what I'm doing.

    Amount I have so far denied the BBC - £1161
Page 1
    • zx81
    • By zx81 12th Oct 17, 6:38 PM
    • 13,686 Posts
    • 14,151 Thanks
    zx81
    • #2
    • 12th Oct 17, 6:38 PM
    • #2
    • 12th Oct 17, 6:38 PM
    You can either spend them off, or request a refund by cheque or transfer.
    • Bedsit Bob
    • By Bedsit Bob 12th Oct 17, 8:16 PM
    • 9,714 Posts
    • 51,030 Thanks
    Bedsit Bob
    • #3
    • 12th Oct 17, 8:16 PM
    • #3
    • 12th Oct 17, 8:16 PM
    Is it not a breach of the T&C, to be hundred (if not thousands) of pounds in credit?
    My job is Top Secret. Even I don't know what I'm doing.

    Amount I have so far denied the BBC - £1161
    • zx81
    • By zx81 12th Oct 17, 8:21 PM
    • 13,686 Posts
    • 14,151 Thanks
    zx81
    • #4
    • 12th Oct 17, 8:21 PM
    • #4
    • 12th Oct 17, 8:21 PM
    Not via an unintentional refund.
    • IAmWales
    • By IAmWales 12th Oct 17, 8:30 PM
    • 1,491 Posts
    • 3,132 Thanks
    IAmWales
    • #5
    • 12th Oct 17, 8:30 PM
    • #5
    • 12th Oct 17, 8:30 PM
    I have a positive balance at some point every month. If you pay your card off monthly and then get a refund, you're in credit. The banks only have a problem with people doing it intentionally.
    • sue911186
    • By sue911186 13th Oct 17, 8:30 AM
    • 4 Posts
    • 3 Thanks
    sue911186
    • #6
    • 13th Oct 17, 8:30 AM
    • #6
    • 13th Oct 17, 8:30 AM
    I ended up with a positive balance recently due to hurricane Irma.

    The one thing I didn't consider was that my credit card was one of my regular direct debits for my Bank of Scotland account so I lost out on the interest this month so be aware for any banks which need direct debits to actually be taken each month and not just active.
    • RichL74
    • By RichL74 13th Oct 17, 9:31 AM
    • 836 Posts
    • 341 Thanks
    RichL74
    • #7
    • 13th Oct 17, 9:31 AM
    • #7
    • 13th Oct 17, 9:31 AM
    Don't they have to go and pay all the shareholders and corporate first then whatever minute amount is left (if any) gets shared with the real people?
    • PeacefulWaters
    • By PeacefulWaters 13th Oct 17, 11:08 AM
    • 6,997 Posts
    • 8,604 Thanks
    PeacefulWaters
    • #8
    • 13th Oct 17, 11:08 AM
    • #8
    • 13th Oct 17, 11:08 AM
    Don't they have to go and pay all the shareholders and corporate first then whatever minute amount is left (if any) gets shared with the real people?
    Originally posted by RichL74
    Shareholders are bottom of the pile.

    But I think you've missed the point anyway.
    • Bedsit Bob
    • By Bedsit Bob 13th Oct 17, 12:53 PM
    • 9,714 Posts
    • 51,030 Thanks
    Bedsit Bob
    • #9
    • 13th Oct 17, 12:53 PM
    • #9
    • 13th Oct 17, 12:53 PM
    Don't they have to go and pay all the shareholders and corporate first then whatever minute amount is left (if any) gets shared with the real people?
    Originally posted by RichL74
    Not sure, but even if yes, people making claims against their Credit Card will get the whole amount back, which, if a bulk booking was made, could add up to a considerable refund.
    My job is Top Secret. Even I don't know what I'm doing.

    Amount I have so far denied the BBC - £1161
    • eco_warrior
    • By eco_warrior 13th Oct 17, 1:37 PM
    • 18 Posts
    • 6 Thanks
    eco_warrior
    With the collapse of Monarch, and the cancelling of lots of flights by Ryanair, I'm guessing a great many people will be getting refunds to their Credit Cards.

    What happens with these refunds, that take a Credit Card into a positive balance?
    Originally posted by Bedsit Bob


    You'll find the fast majority of people receiving these refunds use their cards regularly and so wont be going into a credit balance.


    People who have a CC to use very sparingly are rare in the grand scheme of things.
    • bigadaj
    • By bigadaj 13th Oct 17, 3:16 PM
    • 10,339 Posts
    • 6,637 Thanks
    bigadaj
    You'll find the fast majority of people receiving these refunds use their cards regularly and so wont be going into a credit balance.


    People who have a CC to use very sparingly are rare in the grand scheme of things.
    Originally posted by eco_warrior
    Depends on how many cards they have and what and how much each is used for.

    The other consideration is that spending down the balance of any credit would mean that you wouldn't be covered for a section 75 claim for that subsequent purchase, there has to be credit involved.
    • RichL74
    • By RichL74 13th Oct 17, 3:32 PM
    • 836 Posts
    • 341 Thanks
    RichL74
    Shareholders are bottom of the pile.

    But I think you've missed the point anyway.
    Originally posted by PeacefulWaters
    No I haven't. But thanks for caring.
    • eco_warrior
    • By eco_warrior 13th Oct 17, 4:57 PM
    • 18 Posts
    • 6 Thanks
    eco_warrior
    Depends on how many cards they have and what and how much each is used for.

    The other consideration is that spending down the balance of any credit would mean that you wouldn't be covered for a section 75 claim for that subsequent purchase, there has to be credit involved.
    Originally posted by bigadaj


    True - although chargeback is where its at
    • bigadaj
    • By bigadaj 14th Oct 17, 12:58 AM
    • 10,339 Posts
    • 6,637 Thanks
    bigadaj
    True - although chargeback is where its at
    Originally posted by eco_warrior
    Section 75 is safer.
    • eco_warrior
    • By eco_warrior 15th Oct 17, 12:35 AM
    • 18 Posts
    • 6 Thanks
    eco_warrior
    Section 75 is safer.
    Originally posted by bigadaj
    It’s not at all but I’d be interested to hear why you think it is

    It’s full of loopholes for one nevermind the obvious limitations
    • bigadaj
    • By bigadaj 15th Oct 17, 3:09 AM
    • 10,339 Posts
    • 6,637 Thanks
    bigadaj
    It’s not at all but I’d be interested to hear why you think it is

    It’s full of loopholes for one nevermind the obvious limitations
    Originally posted by eco_warrior
    Because it's law, rather than an offer by a supplier to help you out if they can.
    • The Big Bamboo
    • By The Big Bamboo 15th Oct 17, 3:37 PM
    • 54 Posts
    • 19 Thanks
    The Big Bamboo
    It’s not at all but I’d be interested to hear why you think it is

    It’s full of loopholes for one nevermind the obvious limitations
    Originally posted by eco_warrior
    Because it's law, rather than an offer by a supplier to help you out if they can.
    Originally posted by bigadaj
    It certainly is ‘the Law’,… but only when that law is actually applicable.

    I’ve absolutely no idea how Monarch transacted their ‘online’ Credit Card payments but (and it’s a big ‘but’) if they used the services of a ‘3rd Party Transaction’ company there is the possibility that the ‘Section 75’ laws don’t apply and customers won’t be protected.

    I’ve only just become aware of this anomaly myself. However, there will be lot’s of gurus on here, far more knowledgeable than I, who’ll be very aware of this (potential) pitfall.

    I’m certainly no expert,…please feel free to dissect/dismiss anything I’ve written.
    • eco_warrior
    • By eco_warrior 15th Oct 17, 8:21 PM
    • 18 Posts
    • 6 Thanks
    eco_warrior
    Because it's law, rather than an offer by a supplier to help you out if they can.
    Originally posted by bigadaj
    I’ve heard that said before but in reality it means little.

    If a bank refuse to help via chargeback when they can the ombudsman will rule against them and force them to refund anyway out of their own pocket. So it’s enforceable in that respect as opposed to an offer.

    Chargeback covers many more things although obvously section 75 covers other things and is very useful for many people. Both should be used in tandem to find the best outcome for the customer imo.
    • eco_warrior
    • By eco_warrior 15th Oct 17, 8:24 PM
    • 18 Posts
    • 6 Thanks
    eco_warrior
    It certainly is ‘the Law’,… but only when that law is actually applicable.

    I’ve absolutely no idea how Monarch transacted their ‘online’ Credit Card payments but (and it’s a big ‘but’) if they used the services of a ‘3rd Party Transaction’ company there is the possibility that the ‘Section 75’ laws don’t apply and customers won’t be protected.

    I’ve only just become aware of this anomaly myself. However, there will be lot’s of gurus on here, far more knowledgeable than I, who’ll be very aware of this (potential) pitfall.

    I’m certainly no expert,…please feel free to dissect/dismiss anything I’ve written.
    Originally posted by The Big Bamboo
    Monarch accepted PayPal transactions so this could hinder section 75 claims as you’ve alluded to.

    Also only the debtor is covered as such whereas holidays involve family and friends so again this can be a sticking point should a bank choose to be stick to the law.

    It’s been known for banks to only refund their own customers part of the booking for this reason.
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