Paypal payment on card

kford224

Dear All,

I have a credit card with Cooperative, which I have had for about three years. Late last year, I paid off the remaining money outstanding on there (around £1300) and forgot about it. I was going to close it all together, but thought I might be better off leaving it open but not using it.

In December I got a statement through saying there was nothing on there - it was a great feeling!! I didn't check the January statement, but I got a letter in February from the Co-op stating that due to lack of payment, they were restricting my card limit to £500!?! I frantically opened my Feb statement (which arrived at the same time) to see that there was £25 on there - £13 'spent' with the rest being fees.

Turns out, that when I purchased two things on Ebay in January through Paypal, the payments came off of my credit card, rather than out of my registered current account, which they should have done. (A few payments before and after this all came out of my current account).

I called Co-op (as this would/will no doubt show on my credit file) and explained the situation, but was informed that as the payments were legitimately mine, there was nothing they could do.

I have since had a long winded and very unhelpful email from Paypal confirming that they have a fraud 'system' in place which means that they used the credit card as a backup payment, although they aren't sure why this happened on this occasion!! :mad:

I appreciate it is my fault for not checking my January statement, but I never imagined there to be anything on there! Is there anything I can do to rectify this?

jd87

It's not a problem for the Co-op, and like paypal have said, they have a system of using a back-up source for any reason, which you have agreed to. Best just put it down to experience.

Dabooka

Try calling the CO-Op back and maybe, if you're lucky, they might possibly refund the fee if you offer to set up a direct debit to stop this happening again.

I wouldn't hold out much hope though, but must be worth a try.

kford224

Dabooka wrote: »

Try calling the CO-Op back and maybe, if you're lucky, they might possibly refund the fee if you offer to set up a direct debit to stop this happening again.

I wouldn't hold out much hope though, but must be worth a try.

Thank you It is not the money I'm worried about so much, it is more the mark on my credit file, but I assume this is down to the Co-op to sort out too and they obviously won't/can't

climbgirl

I doubt very much they will remove the mark on your credit file - as far as they are concerned it is a legitimate payment that has been missed / is late. You could explain the situation to them and ask them, but it's not their mistake so they're under no obligation to remove the mark on your rating.

Lesson learnt going forward is to close down unused accounts or to check all your accounts every couple of days so you stay on top of things like this. If you don't want to check your accounts that often, set up a direct debit so you don't miss payments.

Dabooka

If it's all you have on youir file, one little blip, and you don't envisage doing anything requiring new credit for a while, I wouldn't worry too much TBH. Might be worth setting the minimum payment DDs up though, to stop it happening again, and ALWAYS read your statements when posted or available online. It's as much about fraud than keeping an eye on your balance (but I appreciate what your syaing, I've been guilty of not bothering to check).

Good luck!