Do credit cards offer any sort of protection?!!

sapna_2

Hi all,

My car insurance company decided to automatically renew my insurance at a higher higher renewal price than I was quoted over the phone and they took the payment from Lloyds TSB credit card (a card that they were not supposed to take the payment from).

I called them and they said that they couldn't stop the payment from being taken but would refund the difference as the new insurance quote was £130 less.

I then referred this to Lloyds TSB who disputed the payment but have now said that they can't do anything about as I have previously dealt with the insurance company.

The insurance company still haven't refunded me the £130 and now Lloyds are expecting me to pay the full insurance amount.

What do I do?!! Surely my credit card company should be able to fight my corner?!

Hominu

Lloyds can't do anything if you have already agreed a refund from the insurance company.

Likewise, if you had a continuous payment authority on that card from last year, you in effect gave them full authorisation to take that amount.

When you say "still" - how long is it since the insurance company stated they would refund the difference?

sapna_2

Thanks for the reply. It's been well over a month!

I didn't even realise that the insurance company had put "auto-renew" on my policy. Naivety on my part!

Gromitt

Have you tried ringing up and saying that you wish to lodge a formal complaint?

and if that doesn't work, send in a written one.

If still no go, then go back to Lloyds with your evidence.

dalesrider

Gromitt wrote: »

If still no go, then go back to Lloyds with your evidence.

Non receipt of refund requires something in writing stating.
Date of refund, Amount of refund, Last 4 of card.

If it is not refunded within 15 days of the date stated there is a chargeback right.
None of the above and there is nothing that can be done.

Also note chargebacks against Ins co's can lead to things like then revoking a policy.....
Not something you ever want to have to declare.

chattychappy

sapna wrote: »

What do I do?!! Surely my credit card company should be able to fight my corner?!

No, why should they do that? They have their own corner. CCs are not working for you. Of course that doesn't mean you shouldn't cooperate in trying to sort something out.

You are free to dispute the transaction and the law says it is up to the CC to prove the amount was authorised rather than for you to prove it wasn't.

If you can't get the promised refund, then you'll have to assess the ramifications of a disputed amount cancelling the policy and all the hassle involved. But Lloyds-TSB are wrong to say anything along the lines of "can't do anything about as I have previously dealt with the insurance company.". Poppycock. If you dispute the original charge, then they have to deal with it and produce the evidence that the amount was authorised by you - else they can't hold you to it.