Curve 'all-in-one' debit card to charge 1.5% fee for HMRC payments - MSE News

'All-in-one' debit card service Curve is to close a loophole which essentially allowed customers to make payments to HMRC using a personal credit card – even though the taxman doesn't usually accept them...
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'Curve 'all-in-one' debit card to charge 1.5% fee for HMRC payments'
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  • gt94sss2
    gt94sss2 Posts: 5,622 Forumite
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    It's not a loophole - this facility was advertised as Curve's main USP.

    If it was a loophole, then they wouldn't still be planning to allow their Metal Card holders to do it.

    It would be good if MSE took them to task as they appear to be breaking the law by charging a surcharge for using a debit card when making payment which has been against the law since 2018 - even though Curve claim this isn't the case.
  • Hidden in the email was also a notification that they are amending the privacy policy in 15 days to share more information with other companies, but no details and no link to the new policy.
    That makes me smell hiding sneaky news on privacy
  • born_again
    born_again Posts: 14,275 Forumite
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    edited 26 November 2019 at 10:04PM
    gt94sss2 wrote: »
    It would be good if MSE took them to task as they appear to be breaking the law by charging a surcharge for using a debit card when making payment which has been against the law since 2018 - even though Curve claim this isn't the case.

    MSE are not a regulator.

    If you feel its against that rule. Then report them to the Trading Standards who will have the power to take civil enforcement action against traders who breach the regulations.
    Today’s ban means that it will be unlawful for retailers to charge additional fees when someone uses a particular credit or debit card, or other payment systems like PayPal, to make a purchase. This will ensure consumers can be confident that there won’t be any nasty surprises, and they won’t be penalised for wanting to pay in a particular way.

    In the vast majority of other circumstances surcharges are capped at the cost to the retailer for processing the payment

    Wonder if Curve think as they are not a retailer. It is OK to surcharge. Or they are being charged by the CC co's.
    Life in the slow lane
  • Fingerbobs
    Fingerbobs Posts: 1,636 Forumite
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    born_again wrote: »
    Wonder if Curve think as they are not a retailer. It is OK to surcharge. Or they are being charged by the CC co's.
    I think you've hit the nail on the head there. It's Curve who is charging the fee, not the "retailer".
  • They are not closing anything. They are leaving the option open just as wide but will charge for using it.


    HMRC's payment processor will still see it as debit card transaction and charge accordingly.


    Curve want to earn some money and see this as an opportunity. They interpret the rules in a way that allows them to charge for this service. No-one else offers an equivalent of the Curve card that I'm aware of so they have no competition.


    I understand Curve wanting to cover their costs but I'd be more sympathetic if they were passing on the fee incurred from processing my credit card.
  • born_again
    born_again Posts: 14,275 Forumite
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    Douglas_P wrote: »

    HMRC's payment processor will still see it as debit card transaction and charge accordingly.

    Do HMRC charge any different for Credit or Debit? If so then they are breaking the regulation.

    The issue will be that when a CC is linked to the curve card. Curve get charged more for the transaction.
    So they are simply covering their costs.

    TBH. I can see this type of card disappearing from the marketplace soon.
    Life in the slow lane
  • SnowTiger
    SnowTiger Posts: 4,458 Forumite
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    edited 27 November 2019 at 3:46PM
    gt94sss2 wrote: »
    It would be good if MSE took them to task as they appear to be breaking the law by charging a surcharge for using a debit card when making payment which has been against the law since 2018 - even though Curve claim this isn't the case.
    born_again wrote: »
    MSE are not a regulator.

    I don't think anyone said it is.

    However, MSE claims to employ journalists fighting our corner.

    Taking to task; fighting your corner. These phrases have a similar meaning.

    MSE describes itself as:
    MoneySavingExpert.com is the UK's biggest consumer website, with about 16 million users a month. The site's dedicated to cutting your bills and fighting your corner with journalistic research, cutting-edge tools and a massive community – all focused on finding deals, saving cash and campaigning for financial justice.
    gt94sss2 wrote: »
    Wonder if Curve think as they are not a retailer. It is OK to surcharge. Or they are being charged by the CC co's.

    Anyone who uses a Curve card and checks their bank and credit card statements will know translation payment are made to Curve.

    Curve is like a middle man, similar to PayPal.

    I think Curve can refuse to accept credit cards, however I don't think it can choose to charge credit card users a fee.
  • boo_star
    boo_star Posts: 3,202 Forumite
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    born_again wrote: »
    Do HMRC charge any different for Credit or Debit? If so then they are breaking the regulation.

    They don't take personal credit cards. They only accept corporate cards to which the legislation does not apply.
  • Curve is the card issuer, not a merchant or retailer. Think of it like having a Barclays credit card and you deposit funds at a gambling website, you will probably incur a fee from Barclays by using your credit card for a cash/financial transaction.
  • gt94sss2
    gt94sss2 Posts: 5,622 Forumite
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    Technically, you’re paying Curve who then pay the original merchant - so a two step process more like PayPal (as snowtiger mentions above) rather than a traditional card issuer.

    My understanding is that the regulations banning fees in the UK also cover organisations/payment models like PayPal (so go beyond the original EU regulations)
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