Credit card over limit fee

[Deleted User]

phillw said:

molerat said:

Unfortunately in this modern world it seems it is always someone else's responsibility to manage personal financial affairs for you.

I don't think you can be that judgmental, I think there should be a shared responsibility. They bury all the terms and conditions in such dense text that they can't expect everyone to read and understand them. There are very few things that most people actually need to know & they should make those things more obvious.

For example that they don't enforce the credit limit because it's cheaper to do batch/offline transactions.

Or that you really ought to get a smart phone and use their app as a lot of banks are moving away from sending text messages to sending in app alerts.

Your limit is £x, don't spend more than that or you get a fee. That is not hidden anywhere, it's not dense text, it's literally the only thing you need to know about using your card for spending - stay under your limit.

eskbanker

phillw said:
There are very few things that most people actually need to know & they should make those things more obvious.

For example that they don't enforce the credit limit because it's cheaper to do batch/offline transactions.

Although there would eventually be some minor marginal costs associated with higher volumes of online authorisations, most of these would be at the merchant's end of the chain and it would surprise me if these formed any part of the decision process for card companies choosing not to enforce credit limits as hard limits beyond which authorisation won't be given.  Do you have any evidence to support your assertion?

kimwp

It must have been a bit of a shock to get a charge when you thought it wasn't possible to go over the limit, but fundamentally it's on you for using something without understanding the basics. At the very least, read the fees section of the T's and C's, the "fee for exceeding your credit limit" would have been a hint. If you hadn't set up a warning limit and you were near the credit limit, was your expectation to just keep using it until you were declined at the counter and have to leave your purchases there?

MEM62

Keeka said:

When I repeatedly asked why they don't send a 'warning' text or email to inform me I was nearing my limit it was met with silence - what is the point of having a Credit Card limit if the company is just going to use it to make more money out of you by charging you fees you have not agreed to ?  

Firstly, it is not part of their responsibilities to manage your finances - which is probably why your question met with silence.  You know what your limit is and you should keep track of your spending and balance.  Secondly, if you refer to the Terms and Conditions that you signed up to when you took the card out you will note that you have agreed to these charges as they are listed in those terms.  If you think there is some ploy to make extra money out of you then you are mistaken.  That is not how mainstream financial institutions work.     
You cannot expect everyone else to take responsibility for your oversights or lack of financial management.  You have to 'adult' for yourself.      

phillw

flashg67 said:
Plus the 'wasted time' is actually costing them an employee's salary - again, who do you think pays that?

Creating more jobs during covid19 seems like a good idea.
Forget eat out to help out, do your bit by complaining to help out.

adamp87

DjangoUnchained said:

write to them complaining and tell them you will take it to the financial ombudsman, ittl cost them hundreds, they will probably refund you. If they dont refund, and the ombudsman doesnt favour you at least youm have the satisfaction of costing them hundreds and wasting their time.

Why? It’s Op’s fault the situation. What you suggest is overboard IMO

yksi

If you're determined to stay in the technological dark ages then try collecting receipts.

It's nobody else's fault when you spend more than you can afford. Grow up.

Thrugelmir

DjangoUnchained said:

write to them complaining and tell them you will take it to the financial ombudsman, ittl cost them hundreds, they will probably refund you. If they dont refund, and the ombudsman doesnt favour you at least youm have the satisfaction of costing them hundreds and wasting their time.

Hopefully you have a better attitude at your place at work. As otherwise you'll be first out the door when redunancies loom.  No one likes to waste their time.......

JamesPeter

Although I am not a solicitor (nor anything like), the OP may (just) have a case as he was one of those unfortunates who were transferred to Jaja from the Post Office or the AA.

As it stands, Jaja have not yet sent out any revised t&c’s to customers, simply stating that your Post Office t&c’s remain in force. The problem being that although the old Post Office statements were transferred onto the Jaja website, they were stripped of all t&c’s, such as one’s interest rate, the charges for going over one’s credit limit, not paying in time, how to pay etc. In short there is no access to ‘summary box’ details – not even on Jaja’s website and app!

Even when they sent out the Jaja branded Visa cards, there were no t&c’s sent with it.

Thus, if this was the OP’s first statement from Jaja, he would not have had sight of Jaja’s t&c’s as they are only shown on the first Jaja statement one receives and not before.

Unless he can recall the t&c’s from when he applied for his/her former PO card – which in any case only refer to ‘Post Office Mastercard’ and not ‘Jaja Visa’, then he would actually have no access to the t&c’s for using his Jaja credit card.

Yes, I know he should know his balance and not go over his limit, but Jaja have not provided any of their t&c’s to this date – unless you have received your first Jaja statement.  If this was the Op’s first Jaja statement, then he may have a point as the first time he has had sight of Jaja’s t&c’s woyuld be on receipt of the statement.

Incidentally, I repeatedly asked Jaja for their t&c's before I used the Jaja card. As none were forthcoming, I closed the account (in writing by special delivery) but according to their website my account is still open!

Mickey666

penners324 said:

Every credit card charges a fee for going over the limit. And they always have.
I don't see what you're complaining about.
Jaja have an that you can use to track your spending. Every credit card does now. 
Get the app. 
Some credit cards let you set text or email notifications, usually set in their app, when you get close to the limits.

Really?  In over 30 years of using multiple credit cards I've never been charged for exceeding my credit limit.  On the few occasions when I have exceeded my limit only two things have ever happened - the transaction has been refused or the credit limit has been increased.
I did once have a similar situation with a bank account where a payment pushed me into an unauthorised overdraft, for which I was charged a penalty fee plus interest.  I complained to the bank on the basis that they should not have allowed the payment to go through if there were no funds available and that the resulting overdraft was indeed unauthorised - unauthorised by me, so I didn't see why I should pay their fee.  I also pointed out that I had other accounts with them that more than covered this 'unauthorised overdraft' so I was, in fact, not in any debt to their bank at all.  I had since put the account back in the black and insisted that they refund the penalty plus interest otherwise I would close all my accounts with their bank.
I'm pretty sure that deep in the small print somewhere the bank was exercising its contractual rights and that I didn't have a legal leg to stand on, but they refunded the penalty fee and interest anyway
So, although the OP probably has no 'rights' in this case, my advice would be to complain strenuously, put the blame on the card company for even allowing the card limit to be exceeded and threatening to cancel the card if they do not cancel this charge.  What is there to lose?