Charged 4 months after initial transaction

you123l

Hi, hoping somebody can help. My husband works away a lot and uses his credit card to pay for his accommodation. He paid on the 29th December 2022 for a weeks accommodation, the business he used came back to him yesterday 17th April to state that he was undercharged and they have subsequently made a charge to credit card. As it is currently pending, his credit card company said they can't do anything until it has been processed. Can they store his details for that length of time, and can they request payment without his permission? Thanks for any help

MorningcoffeeIV

Yes, that's fine, as he already gave his permission, assuming the amount being sought is correct.

you123l

Oh really? So after 4 months they can decide they undercharged him and make a charge on his card? That's surprised me. Thanks for your response 👍 

MorningcoffeeIV

It's not that they decided they undercharged him. 

They either did or they didn't.

mr_stripey

definitely frustrating if it is their error but I think they are allowed to do so (if they have billed less than the agreed amount).

Presumably he can claim back the amount from his company though so maybe not too bad!

you123l

MorningcoffeeIV said:

It's not that they decided they undercharged him. 

They either did or they didn't.

He would never have agreed to paying £500 for the week. And it was the week of new year, so was actually only 3 nights. 

you123l

mr_stripey said:

definitely frustrating if it is their error but I think they are allowed to do so (if they have billed less than the agreed amount).

Presumably he can claim back the amount from his company though so maybe not too bad!

He agreed an amount, within the company allowance for accommodation, and they've now said he needs to pay an extra £185, which is over the allowance so out of our pocket unfortunately 😞

MorningcoffeeIV

If it's not the amount agreed, then he should dispute it. 

DullGreyGuy

you123l said:

Hi, hoping somebody can help. My husband works away a lot and uses his credit card to pay for his accommodation. He paid on the 29th December 2022 for a weeks accommodation, the business he used came back to him yesterday 17th April to state that he was undercharged and they have subsequently made a charge to credit card. As it is currently pending, his credit card company said they can't do anything until it has been processed. Can they store his details for that length of time, and can they request payment without his permission? Thanks for any help

Is this in the UK or overseas?

Assuming its in England then they have up to 6 years to make any claim against him however credit card scheme rules typically allow payments against an authorisation for up to 6 months after which the business should advise the customer of the charge prior to applying it. 

you123l said:

MorningcoffeeIV said:

It's not that they decided they undercharged him. 

They either did or they didn't.

He would never have agreed to paying £500 for the week. And it was the week of new year, so was actually only 3 nights. 

Then in the first instance he should be raising the dispute with hotel... its one thing to agree a price of £500, charge the customer £350 and then later charge the extra £150 the customer had agreed to... its totally different to agree a price of £350, take £350 and then after the stay say the original invoice is wrong.

Naturally charges for things billed to the room, damage, late checkout etc are different again. 

you123l

DullGreyGuy said:

you123l said:

Hi, hoping somebody can help. My husband works away a lot and uses his credit card to pay for his accommodation. He paid on the 29th December 2022 for a weeks accommodation, the business he used came back to him yesterday 17th April to state that he was undercharged and they have subsequently made a charge to credit card. As it is currently pending, his credit card company said they can't do anything until it has been processed. Can they store his details for that length of time, and can they request payment without his permission? Thanks for any help

Is this in the UK or overseas?

Assuming its in England then they have up to 6 years to make any claim against him however credit card scheme rules typically allow payments against an authorisation for up to 6 months after which the business should advise the customer of the charge prior to applying it. 

you123l said:

MorningcoffeeIV said:

It's not that they decided they undercharged him. 

They either did or they didn't.

He would never have agreed to paying £500 for the week. And it was the week of new year, so was actually only 3 nights. 

Then in the first instance he should be raising the dispute with hotel... its one thing to agree a price of £500, charge the customer £350 and then later charge the extra £150 the customer had agreed to... its totally different to agree a price of £350, take £350 and then after the stay say the original invoice is wrong.

Naturally charges for things billed to the room, damage, late checkout etc are different again. 

It is in the UK. The agreed fee was a lot lower than what they are now saying he should have paid. Its not a big hotel chain, rather a small private let company, dealing with short term let's.

Gandalf644

you123l said:

DullGreyGuy said:

you123l said:

Hi, hoping somebody can help. My husband works away a lot and uses his credit card to pay for his accommodation. He paid on the 29th December 2022 for a weeks accommodation, the business he used came back to him yesterday 17th April to state that he was undercharged and they have subsequently made a charge to credit card. As it is currently pending, his credit card company said they can't do anything until it has been processed. Can they store his details for that length of time, and can they request payment without his permission? Thanks for any help

Is this in the UK or overseas?

Assuming its in England then they have up to 6 years to make any claim against him however credit card scheme rules typically allow payments against an authorisation for up to 6 months after which the business should advise the customer of the charge prior to applying it. 

you123l said:

MorningcoffeeIV said:

It's not that they decided they undercharged him. 

They either did or they didn't.

He would never have agreed to paying £500 for the week. And it was the week of new year, so was actually only 3 nights. 

Then in the first instance he should be raising the dispute with hotel... its one thing to agree a price of £500, charge the customer £350 and then later charge the extra £150 the customer had agreed to... its totally different to agree a price of £350, take £350 and then after the stay say the original invoice is wrong.

Naturally charges for things billed to the room, damage, late checkout etc are different again. 

It is in the UK. The agreed fee was a lot lower than what they are now saying he should have paid. Its not a big hotel chain, rather a small private let company, dealing with short term let's.

Same princliple applies - complaint to whoever the supplier of the accomodation was.

If the extra amount has already been charged to the credit card, I suppose you could also look to doing a Visa/Masterchard chargeback via the card provider but this could again be reversed in the future if the accomodation supplier disputes it and the bank believes the increased price was correct.