Virgin Money - dispute transaction?

13

Comments

  • I can't believe the standard of VMs customer service.

    I don't know how you've explained it to them but you should simply write and say you undertook a transaction in the local currency (as per a copy of the MasterCard transaction receipt you are providing for them) and the retailer has then converted this into Sterling for processing in a manner not authorised by you and unknown to you.

    You have looked at the exchange rates prevalent at the time and, by your calculations a local currency transaction converted into Sterling by MasterCard should have come to about £X whereas the unauthorised conversion done by the retailer means you've been charged £Y and that you have lost out by £Z.

    As the Chargeback in question has to send back the full amount for proper processing in the local currency, there is still a risk to you because the X-rate may have moved in the intervening time. To prevent this being an issue the processing bank is supposed (I believe) to resend the transaction in the correct currency using the processing date of the original transaction. If they don't do this you could find yourself losing out again and you'd have to re-dispute it. There is also a possibility that rates may have moved in your favour and you get charged even less than you were expecting.

    You could of course ask VM to just write off the difference because it is going to cost them a few quid to handle the dispute (and has done already) and it may be in their best interests just to write it off. If they refuse to do anything you'll need to raise a formal complaint. If they refuse to write off the difference and insist on doing a proper chargeback (if there is still time) you may have to go through this all again if it gets reprocessed wrongly. Stick with it though, it's the only way that VM is going to learn.

    Keep insisting and you will get your money back.
  • chattychappy
    chattychappy Posts: 7,302 Forumite
    Although people often assume that they are presented with a terminal and authorise the amount on the screen, I did have the experience in a Madrid hotel where I authorised (by PIN) a EURO amount on the screen and returned the device to the receptionist as instructed. He pressed a button and THEN it offered HIM the choice to bill in GBP or EURO. Before I had a chance to say anything, he selected EURO, so no harm done.

    I assume he didn't take advantage of the situation either because it was hotel policy not to use DCC, or I had previously told him I wanted to pay in EURO.

    On all other occasions, the GBP/LOCAL option is offered before I type in the PIN, which is how it should be in my book.

    But given the OP has a yuan receipt, I do wonder if something similar happened - she authorised a yuan amount, but the guy switched it to GBP after the receipt was printed.
  • eskbanker
    eskbanker Posts: 30,470
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    Warmq wrote: »
    I travel the world as a part of my life.
    Well I'm sure that OP will find that a really helpful and constructive contribution to the discussion! :huh:
  • [Deleted User]
    [Deleted User] Posts: 35,242
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    Just one of a number of inane post building posts. I suspect the good stuff is still to come.
  • Emily_Joy
    Emily_Joy Posts: 1,212
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    edited 7 August 2018 at 4:23PM
    I can't believe the standard of VMs customer service.

    As per the initial post, Virgin Money representatives seem to think I should go back to the retailer and sort it out. Based on my previous experience with Lloyds/HSBC I was assuming it would be easier to sort out with the credit card provider, at least we speak the same language.

    I am waiting for a letter from them explaining this in detail in writing.
  • Emily_Joy
    Emily_Joy Posts: 1,212
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    edited 12 August 2018 at 9:38PM
    MEM62 wrote: »
    It would be interesting to see that regulation tested in this instance. The OP is travelling in a country where he does not speak the native language. Would the expectation therefore be for the shop assistant is able to communicate in English to facilitate this choice? Personally, I cannot see that standing up.

    Most people travel countries where they don't speak the language. The difficulty in China is that they have their own payment system, called UnionPay, as well as web-based WeChatPay and AliPay, and their shops assistants simply are not very familiar with western CC. For instance, in a large Carrefour there could be only one check-out which takes Mastercard/Visa.
  • Emily_Joy wrote: »
    As per the initial post, Virgin Money representatives seem to think I should go back to the retailer and sort it out. Based on my previous experience with Lloyds/HSBC I was assuming it would be easier to sort out with the credit card provider, at least we speak the same language.

    I am waiting for a letter from them explaining this in detail in writing.

    I wouldn't wait if I were you. Get your written complaint in up front.

    From what you have said, their letter will probably just say the transaction was undertaken in Sterling in China and has therefore not gone through any conversion process beyond what the retailer did at the point of sale and as that conversion must have been done with your consent, there is nothing they can do about it.

    You need to ram it home to them that you did not consent to any point of sale conversion into Sterling and that your transaction receipt clearly demonstrates you agreed to pay in local currency. I am assuming that the receipt you have is the cc transaction receipt and not just the till receipt. Virgin will have no idea what is on the tran receipt and will just be going by the info in the tran message, which will presumably show the source currency as Sterling (826). This is the argument you need to 'head off at the pass'.

    You need to be quite categorical in your assertion that you agreed to undertake a local currency transaction and that you are not going to take the hit for something the retailer may have done after you had completed your part of the transaction. Tell them that you are well aware of the practice of Dynamic Currency Conversion (DCC) and that you would never consent to it (and never have done) because you know the x-rate provided by the retailer is going to be a retail rate that suits them and probably 'loaded' significantly to favour them, whereas you know the rates used by MasterCard and Visa are generally very good wholesale rates and will always beat any retail rate provided at retailer level - even allowing for the type of conversion loadings often added by card issuers (of which there shouldn't be any with the type of card you have).

    Obviously only tell them this if it is true and bear in mind the possible issues (mentioned in a previous post) that may come up if a Chargeback is done and the subsequent reprocessing is not done correctly. Your best outcome will be for Virgin to agree to simply write off the difference and not bother with a Chargeback, so it will pay you to know your rates and know what level of overcharge you believe has occurred.
  • SnowTiger
    SnowTiger Posts: 4,458
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    Emily_Joy wrote: »
    I am waiting for a letter from them explaining this in detail in writing.

    Good idea. :rotfl:

    Keep it simple and send them a copy of the receipt. And get proof of posting from the PO.

    All you need to say is that the receipt says you paid the retailer X yuan, but Virgin Money's statement says you paid Y pounds.

    Mention that you deliberately paid in yuan, as your receipt shows, because you wanted Virgin Money to do the currency conversion.

    If Virgin Money don't play ball, take the matter to the Financial Ombudsman Service.
  • Emily_Joy wrote: »
    Just to avoid future possible confusions: 4834 is duplicate transaction, 4846 is POI Currency conversion.


    It might still get referenced as that but disputes were re-categorised under 4834 and 4853 some time ago.

    4834 - POI Error (duplicate, incorrect currency, billed twice for same service)
    4853 - Cardholder disputes (goods not received, not as described etc)
  • Emily_Joy
    Emily_Joy Posts: 1,212
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    edited 12 August 2018 at 9:54PM
    It might still get referenced as that but disputes were re-categorised under 4834 and 4853 some time ago.

    4834 - POI Error (duplicate, incorrect currency, billed twice for same service)
    4853 - Cardholder disputes (goods not received, not as described etc)

    The link above to MasterCard chargeback regulations from May 2018, and it seems different. However, it is from mastercard US. Do UK codes differ?


    I have eventually got back home to find out that Virgin Money didn't bother to reply. It has been over a month since I got in touch requesting a chargeback for the first time. :wall:
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