Starling Dispute

Branagorn

I have a small dispute with Starling and/or a hotel I recently visited in Bulgaria.  Nothing major, just giving minor inconvenience that I wanted to share with the forum.  Perhaps get your opinion as to whether I should expect what’s has happened, or if there is genuinely something to complain about (44 pence perhaps!).

26/03, 08:00, Bulgaria.  I check out of my hotel, and settle a balance of 209 BGN.  I pay via Apple Pay (I have to use faceid to verify the transaction) using my starling account.  *Bing, notification on my phone, successful transaction.  £89.45 has been taken from my account.  I’m printed off a receipt, and go on my merry way.

29/03, 03:00, UK.  I’m woken by my phone getting a notification.  Apparently in my sleep, I’ve agreed to pay a further 209 BGN to the hotel, this time £89.89.

Obviously, I haven’t agreed to this.  But how is it, that the hotel can take this payment when I am not physically present, with my card or phone, to input my pin/ faceid authorisation?   Not to mention, I had returned from my holiday, and as in my eyes my holiday spending was over.  I had withdrawn all the money from starling back into my regular UK current account.  So this unexpected additional payment had actually taken me overdrawn.

I raised this with Starling, who looked into it.  They explained that the difference in the two payments was due to fluctuations in the exchange rates, and kindly offered to reverse one of the payments.  Which happened to be the first one from 26/03.  The one I was actually present for and input my authorisation. Leaving the 2nd payment standing.  Leaving me still overdrawn, but merely 44 pence.  I then top up my account to avoid any overdrawn fees.

I’ve tried explaining to Starling that this unauthorised taking money from my account shouldn’t be possible, and that I shouldn’t be 44 pence worse off (a small amount, but a net-negative nontheless.  But they remain uninterested?

I don’t feel inclined to waste my time pursuing my complaint any further.  But I did feel like highlighting it here for a small grumble. 

Thoughts?

Ballard

It seems as though some sort of adjustment went through after your payment. That could have been an automatic thing or the hotel perhaps sent through another payment for some reason.

You may have found that the initial payment would have been reversed automatically but it has at least been reversed now.

The 44p debit could easily have been a credit had the rates gone the other way and I’d say that it’s just one of those things. It seems as though you leave a zero balance on your account and it’s entirely up to you how you manage your money but I find it prudent to leave £5-10 on accounts that I rarely use. 

TheStoozeFather

Not a good customer experience regardless of technicalities of why it might have happened. I would also be mildly peeved but wouldn't pursue it.

Migster

Presumably, the first debit wasn't an actual debit, but the auth that ring-fenced £89.45, which was the equivalent of 209 BGN at that time. As I understand it, the final conversion doesn't take place until settlement, which typically takes place on the next working day. As your payment was made on a Saturday, it would not be processed until Monday 28th, so settlement would be 29th, which fits with your dates. Unfortunately, the exchange rate appears to have moved slightly against you, so the final amount taken was £89.99. Pretty sure I've seen this discussed on the Starling forums or one of their blogs posts in the past.

Edit: Scroll down to the section headed Foreign Exchange https://www.starlingbank.com/blog/card-transactions-explained/

penners324

Find it odd they've done the payment twice. I'm aware the settled amount will vary when the payment settles due to the exchange rate. That's happened to me.

born_again

penners324 said:

Find it odd they've done the payment twice. I'm aware the settled amount will vary when the payment settles due to the exchange rate. That's happened to me.

Odds on the OP has not used the same payment method as the booking.
See this quite often, 
Booking made on one card. Customer pays via another. Hotel backend staff thinks customer has not paid, when leving. Payment is simply taken by Customer Not Present just like any other online payment.
Other option (no disrespect to Op) is that there was some damage to room, but given the amount is the same local amount that is unlikely.

[Deleted User]

Lots of the Fintechs present authorisations as actual payments; it's becomes an issue where the debited amount changes or the payment currency is different from the account currency.  

Bigwheels1111

I had it with PayPal after paying for a podcast, first billed me 99p then next day was billed £1.03.
Its down to when the transaction hits Mastercard and it’s rate at that time.