Wonga, Is this legal

meer53

stuartroberts wrote: »

So does that mean that any company for any reason could potentially reuse my details and claim they had a cpa with me.

Technically, yes. Any retailer or company can reuse your card details once they have them on their systems or in their records.

Most CPA transactions debit with a code which identifies it as such. As far as i'm aware PDL transactions don't show as CPA's which is why they can't be disputed as CPA payments. If they did, it would be a simple procedure for the banks to charge back stating the CPA has been cancelled.

The usual chargeback for unauthorised transactions can be used in a dispute, but not if you've given the company your details previously. This also prevents a transaction from being dealt with as fraudulent.

stuartroberts

meer53 wrote: »

Technically, yes. Any retailer or company can reuse your card details once they have them on their systems or in their records.

Most CPA transactions debit with a code which identifies it as such. As far as i'm aware PDL transactions don't show as CPA's which is why they can't be disputed as CPA payments. If they did, it would be a simple procedure for the banks to charge back stating the CPA has been cancelled.

The usual chargeback for unauthorised transactions can be used in a dispute, but not if you've given the company your details previously. This also prevents a transaction from being dealt with as fraudulent.

Thanks,

this is the most comprehensive explanation anyone has given all day.

So we should all use pre pay cards online in reality to be safe, or pay cash

this info though just makes you cringe, its prime game for fraud never mind PDL

VitaK

So once you so graciously helped out by making a payment, your card becomes a 'guarantor card' for any and all future payments and debts?

meer53

stuartroberts wrote: »

Thanks,

this is the most comprehensive explanation anyone has given all day.

So we should all use pre pay cards online in reality to be safe, or pay cash

this info though just makes you cringe, its prime game for fraud never mind PDL

When CPA's are used correctly, they're fine. They save a lot of people a lot of time and bother when making regular payments. Retailers like them as they have control of your payments. All that is needed is to remember to cancel them if you don't want them to debit and to then let your bank know. Then if they debit again they can be disputed.

The PDL payment fiasco needs to be sorted out. The majority of people who, like yourself, trying to help your brother, don't fully understand the implications of handing over card details without checking t & c's or asking more questions.

meer53

VitaK wrote: »

So once you so graciously helped out by making a payment, your card becomes a 'guarantor card' for any and all future payments and debts?

Only if there are no available funds in the account of the person owing the money.

AppAddicted

stuartroberts wrote: »

So does that mean that any company for any reason could potentially reuse my details and claim they had a cpa with me.

yes they can do that, unfortunately.

nottoolate

VitaK wrote: »

So once you so graciously helped out by making a payment, your card becomes a 'guarantor card' for any and all future payments and debts?

no. any payday lender doing that is out of order.
the payday lender can only do that if you explicitly consent to it.

if it's a one off payment then they cant.

JimmyTheWig

nottoolate wrote: »

if you give card details for a one off payment that does not give them permission to raid you account for debts owed on a different debt later on.

Correct.
And if you give your card details on the basis of the company taking payment now and then taking further payment in the future as and when necessary then that does give them permission to raid your account for debts owed on a different debt later on.

It just comes down to whether the OP is bound by terms and conditions that he may not have seen. Personally I think he is, via the brother.
The brother is bound by these conditions, as he signed up to them. The brother asked the OP to use his card knowing full well (assuming that he read and understood the terms and conditions that he signed up to) that the OP may be charged in the future. If the brother didn't tell the OP, that's not Wonga's fault.

JimmyTheWig

stuartroberts wrote: »

So does that mean that any company for any reason could potentially reuse my details and claim they had a cpa with me.

No, because you would tell your bank that they didn't have a CPA and the company would have no leg to stand on.
In this instance Wonga has terms and conditions that say they can use your card.

JimmyTheWig

nottoolate wrote: »

no. any payday lender doing that is out of order.
the payday lender can only do that if you explicitly consent to it.

if it's a one off payment then they cant.

Be careful.
This thread won't just be read by the OP.
Whatever the legalities and the moralities of it, what is absolutely certain is that Wonga has done it. And if Wonga do it then the chances are the others do it, too.
And we all seem to be in agreement that the OP has little realistic chance of getting his money back.

So, to anyone reading:
If you make a payment to a payday loan company using your card, that payday loan company can use your card at a later date if the person who you are paying on behalf of defaults.
Unless you are happy with this, don't do it.