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NatWest Credit Card Block Not Returned

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NatWest Credit Card Block Not Returned

edited 30 November -1 at 1:00AM in Consumer Rights
11 replies 1.1K views
LoNaLoNa Forumite
2 posts
edited 30 November -1 at 1:00AM in Consumer Rights
Hope I'm in the right place :cool:

Long story short - rented a car in Sri Lanka (through Car Flexi) in April. As per, €500 blocked off of NatWest credit card as deposit. Car returned in same condition and deposit due to be refunded within 14 days - happy days. Fast forward 3+ months and a bazillion emails later, and the €500 is still not back on the card. The car rental company says they have returned it (actually, they never took it, just blocked the amount).

Here's where it gets weird... There is no record of the transaction in the account, although the balance did miraculously reduce by €500 and never go back up... NatWest say 'that this is not uncommon' and if they can't get to the bottom of it they will refund 50%.
1) I'd quite like the full amount back
2) How can they have no record of the transaction?! How can money just disappear like that?

Has anyone ever heard of anything like this before? And if so, is there any solution where my money isn't lost to the NatWest ether forever?

TIA
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Replies

  • waamowaamo Forumite
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    From your description it doesn't sound as though this money actually exists. It sounds like you don't have to pay it back. Is that correct?

    If so it isn't really your money. It's a credit limit on the card. From your description it seems it's merely had the effect of reducing your credit limit by €500 and you haven't lost any real money.

    Unless I'm reading it wrong that is.
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  • preablepreable Forumite
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    waamo wrote: »
    From your description it doesn't sound as though this money actually exists. It sounds like you don't have to pay it back. Is that correct?

    If so it isn't really your money. It's a credit limit on the card. From your description it seems it's merely had the effect of reducing your credit limit by €500 and you haven't lost any real money.

    Unless I'm reading it wrong that is.

    If I read it right I think they paid a deposit which is returnable when they bring the car back and should of gone back to the credit card once the inspection of the car was done. They take the deposit so if they damage the car they can deduct it from the deposit... but in this case there was no damage so the deposit should be returned?
  • waamowaamo Forumite
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    preable wrote: »
    If I read it right I think they paid a deposit which is returnable when they bring the car back and should of gone back to the credit card once the inspection of the car was done. They take the deposit so if they damage the car they can deduct it from the deposit... but in this case there was no damage so the deposit should be returned?

    It's the bit in brackets that makes me think it's not real money where the op says
    (actually, they never took it, just blocked the amount).
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  • GrumpyDilGrumpyDil Forumite
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    So that sounds like a pre-approval where they basically check that the card is good for the company to be able to to take 500 if necessary. Normally this temporarily reduces the available limit, so it sounds like this hasn't reset. Doesn't sound like any actual charge has been taken
  • sherambersheramber Forumite
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    from 1st post As per, €500 blocked off of NatWest credit card as deposit.

    (actually, they never took it, just blocked the amount). - a pre authorisation.

    So there is nothing to return they need to release the pre authorised amount.
  • unholyangelunholyangel Forumite
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    As above, the funds were ringfenced but not debited. It should still show on your balance, just not available balance.

    These normally fall off after a set amount of time but sometimes "hang". In those circumstances, usually a fax from the retailer in question to the bank saying they're not going to be debiting the funds will see the funds released for use again.
    Money doesn't solve poverty.....it creates it.
  • LoNaLoNa Forumite
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    Thanks for the replies. As I understand it, the money was ringfenced (which is when the available balance reduced but money wasn't actually taken from the card, just blocked from being used, apparently). But then it has never been reset/returned. Basically the available balance is still minus €500 from where it was.

    The part that is really strange is that NatWest have no record of any kind of transaction, ring fence or anything at all. That is strange enough, but NatWest have said this is not uncommon and will refund 50%! I just can't understand how money can leave an account (or just sort of disappear) and the bank have no trace of it whatsoever. I have never heard of anything like this before and I'm not sure what to do.
  • photomephotome Forumite
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    LoNa wrote: »
    Thanks for the replies. As I understand it, the money was ringfenced (which is when the available balance reduced but money wasn't actually taken from the card, just blocked from being used, apparently). But then it has never been reset/returned. Basically the available balance is still minus €500 from where it was.

    The part that is really strange is that NatWest have no record of any kind of transaction, ring fence or anything at all. That is strange enough, but NatWest have said this is not uncommon and will refund 50%! I just can't understand how money can leave an account (or just sort of disappear) and the bank have no trace of it whatsoever. I have never heard of anything like this before and I'm not sure what to do.


    I am not sure why nat west would refund anything as no money has been taken , as others have said it looks like its just your limit has been reduced by £500
  • Angus_OgAngus_Og Forumite
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    You need to go back to your statement prior to the trip and go through it line by line, transaction by transaction and work forward.
  • waamowaamo Forumite
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    Ask them to increase your credit limit if it's an issue.
    This space for hire.
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