Pending Transaction

notgottimeforthis

Hello, Is there an ombudsman or regulatory body who I can complain to about pending transactions being well over the amount actually charged after the event. My example is EV charging. Monta app has taken £50 and is still holding it yet the total charge only came to £10. I'm now overdrawn and unable to pay my rent. Who can I complain to?

la531983

Nobody. Use a separate card for things like this, away from your usual spending, so it doesnt impact it.

eskbanker

notgottimeforthis said:

Hello, Is there an ombudsman or regulatory body who I can complain to about pending transactions being well over the amount actually charged after the event. My example is EV charging. Monta app has taken £50 and is still holding it yet the total charge only came to £10. I'm now overdrawn and unable to pay my rent. Who can I complain to?

The good news is that the Financial Ombudsman Service is available to users of financial institutions.

The bad news is that the institution doesn't sound like it's doing anything wrong here, so if a retailer ring-fences a larger amount than the ultimate value then this hold will automatically drop off a few days later, but it isn't a fault of the bank concerned.

Ring-fencing such funds via pre-authorisation will only reduce available funds, rather than actual balances, so shouldn't take you overdrawn in itself....

sausage_time

Do you have a credit card you can use for this?  Any hold on a credit card reduces your credit limit, which will likely be less impactful than reducing your available fund on the account linked to the debit card.

DullGreyGuy

notgottimeforthis said:

Hello, Is there an ombudsman or regulatory body who I can complain to about pending transactions being well over the amount actually charged after the event. My example is EV charging. Monta app has taken £50 and is still holding it yet the total charge only came to £10. I'm now overdrawn and unable to pay my rent. Who can I complain to?

You're not overdrawn as the money hasn't actually been taken, the charge may prevent other payments going through but thats not the same thing. 

It is the merchant that decides how much they want to authorise before starting the supply, any complaint would have to be to them and any body that sits over them. Given Monta is just an app it's unlikely there is any body that sits over them and so any "ombudsman" will just be a discretionary ADR so have little to no teeth and there is no obligation for them to offer an ADR service.

eskbanker said:

notgottimeforthis said:

Hello, Is there an ombudsman or regulatory body who I can complain to about pending transactions being well over the amount actually charged after the event. My example is EV charging. Monta app has taken £50 and is still holding it yet the total charge only came to £10. I'm now overdrawn and unable to pay my rent. Who can I complain to?

The good news is that the Financial Ombudsman Service is available to users of financial institutions.

Monta isnt a financial institution, isnt regulated by the FCA and so the FOS wouldn't look at any complaints. It's the merchant that decides what's an appropriate sum to authorise not the card issuer. Many "pay at pump" petrol stations now authorise £100 up front. 

eskbanker

DullGreyGuy said:

eskbanker said:

notgottimeforthis said:

Hello, Is there an ombudsman or regulatory body who I can complain to about pending transactions being well over the amount actually charged after the event. My example is EV charging. Monta app has taken £50 and is still holding it yet the total charge only came to £10. I'm now overdrawn and unable to pay my rent. Who can I complain to?

The good news is that the Financial Ombudsman Service is available to users of financial institutions.

Monta isnt a financial institution, isnt regulated by the FCA and so the FOS wouldn't look at any complaints. It's the merchant that decides what's an appropriate sum to authorise not the card issuer. Many "pay at pump" petrol stations now authorise £100 up front. 

Hence the rest of my post after the line you've quoted!

born_again

notgottimeforthis said:

Hello, Is there an ombudsman or regulatory body who I can complain to about pending transactions being well over the amount actually charged after the event. My example is EV charging. Monta app has taken £50 and is still holding it yet the total charge only came to £10. I'm now overdrawn and unable to pay my rent. Who can I complain to?

You would have to complain to bank 1st, who would have 8 weeks to either issue a deadlock letter or resolve the issue.
Not that there is anything bank can do as the pre auth is a retailer right & will be clearly advised on charger.
Guessing this happened over weekend, so could drop off & debit for correct amount today.

Nothing FOS could do anyway, as this would not fall under their remit.

As a aside had you used a pay @ pump. They pre auth for £100..
Best advice is not to use a debit card if close to your limit in these situations. As under card regulations the auth can sit there for 14 days. 

I would suggest you get a Electroverse card from Octopus & you can then link to a DD payment, which also avoids any pre auth. As well as discounts quite a lot of chargers. But it does not cover all chargers. 

penners324

You complain to Monta. 

COIAHLGW

Wait, how much is your rent?  There's £40 remaining (give or take) with your scenario above even if the Monta charge was taken correctly.

flaneurs_lobster

There's something not working with your cash management if you are running a vehicle and yet a (relatively) small unexpected expense causes meltdown.

What would you do if you suddenly need a new tyre? 

Get yourself a credit card, it's a useful tool for dealing with this type of short-term cash borrowing, with no cost if settled in full at month-end.