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Card Merchant Services Help

Hi,

I have a small business that is less than one year old, trade as been slow to start, however, things have been picking up.

I have been taking card payments for goods and everything was fine until I was contacted by Merchant Services, who have stated that "In there opinion" one of the cards used as been done fraudulently.

The card payments have all been taken over the phone and the very first order the customer made, was shipped by Royal Mail Next Day signed for delivery.

Within two hours of getting the first call from Merchant Services, they said they would "Freeze" the account, my understanding of freeze was that any monies that they held would be frozen until they had completed there investigation, at no time did they say they was going to rob my account of over £10.5K. As they have proved beyond any doubt that they have no interest in me the customer, just there money, I decided to ask here for advice here as I am sure I will get an answer.

I am aware that there are protections in place for people buying with card, Section 75, but is there any protection for the seller?

Barclays merchant services refuse to acknowledge or any my questions, just keep demanding that I help them investigation.

Because they took so much money, it left me in the position that I cannot pay the business rent and council tax. Can anyone tell me if there is anything I can do please. £10.5K is an awful lot of money to take from a new company.

Comments

  • InsideInsurance
    InsideInsurance Posts: 22,460 Forumite
    10,000 Posts Combo Breaker
    How much was the transaction thats in question?

    In short? No, there is little to protect you as you are a business and as such deemed responsible enough to protect yourself rather than needing a nanny state to protect you.

    You of course could litigate against the fraudster, if its proven they are such, but the chances are that you are throwing good money after bad.
  • gunsandbanjos
    gunsandbanjos Posts: 12,246 Forumite
    PPI Party Pooper
    If you took the risk of accepting payment over the phone (a card not present transaction) then you leave yourself wide open to fraud. And yes the acquirer can take the money.
    The trouble with the world is that the stupid are cocksure and the intelligent are full of doubt.
    Bertrand Russell
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