Full Version: Service Fee for Paying over the Phone
I called up one of my creditors because I had to change my card that they take the payment out of each month. They want to charge me a $10 fee for calling them on the phone and having them change my card. Is this okay with the Visa agreement? Are they allowed to charge you a service fee for this?
QUOTE (monica @ Sep 17 2009, 02:09 PM) 
I called up one of my creditors because I had to change my card that they take the payment out of each month. They want to charge me a $10 fee for calling them on the phone and having them change my card. Is this okay with the Visa agreement? Are they allowed to charge you a service fee for this?
BS................
DON'T THINK SO..............
They have a right to charge a fee "IF" this is a 3rd party company doing the charges like some utilities do (LIKE MY GAS COMPANY DOES)
But there CAN'T be a fee to just change the account number being charged
...and the 3rd party companies don't even charge $10 as a fee to take the credit card
Tell them no.
Mail a letter.
Mail a letter.
Yes, it is permitted in certain circumstances.
Visa Card Acceptance and Chargeback Management Guidelines
http://usa.visa.com/download/merchants/rul...a_merchants.pdf
Visa Card Acceptance and Chargeback Management Guidelines
http://usa.visa.com/download/merchants/rul...a_merchants.pdf
QUOTE
Convenience Fees
For merchants who offer an alternate payment channel for customers to pay for goods or services, a convenience fee may be added to the transaction amount. If the merchant chooses to assess a convenience fee to its customers, the merchant must adhere to the following rules:
* The fee is being charged for a bona fide convenience of using an alternative payment channel outside of the merchant’s normal business practice (see example below).
* The fee:
– must be disclosed to the customer as a charge for the convenience of using the alternate method to pay
– is applied only to non face-to-face transactions
– must be a flat or fixed amount, regardless of the amount of the payment due
– is applied to all forms of payment products accepted in the alternative payment channel
– is included as part of the total transaction amount
– cannot be added to a recurring transaction
– is assessed by the merchant that provides the goods or services to the cardholder and not a third party
* The customer must be given the opportunity to cancel prior to the completion of the transaction
Example:
The merchant provides utility services to its customers, and the customary way to pay is by mail or in person at the merchant’s location. For the convenience of its customers, the merchant also offers a website for payments. In this example, the merchant may apply a convenience fee to payments made via the website.
For merchants who offer an alternate payment channel for customers to pay for goods or services, a convenience fee may be added to the transaction amount. If the merchant chooses to assess a convenience fee to its customers, the merchant must adhere to the following rules:
* The fee is being charged for a bona fide convenience of using an alternative payment channel outside of the merchant’s normal business practice (see example below).
* The fee:
– must be disclosed to the customer as a charge for the convenience of using the alternate method to pay
– is applied only to non face-to-face transactions
– must be a flat or fixed amount, regardless of the amount of the payment due
– is applied to all forms of payment products accepted in the alternative payment channel
– is included as part of the total transaction amount
– cannot be added to a recurring transaction
– is assessed by the merchant that provides the goods or services to the cardholder and not a third party
* The customer must be given the opportunity to cancel prior to the completion of the transaction
Example:
The merchant provides utility services to its customers, and the customary way to pay is by mail or in person at the merchant’s location. For the convenience of its customers, the merchant also offers a website for payments. In this example, the merchant may apply a convenience fee to payments made via the website.
A company can charge whatever fees they want for particular services and it is up to the customer to decide if they want to pay the disclosed fee. This was not a fee to use the card...this was a fee for the customer service end of the equation (not unlike some of the banks that charge to make a payment over the phone or even to speak to a teller). This is very different from the surcharge nonsense that gets some panties around here in such a bunch...
QUOTE (centex @ Sep 18 2009, 10:18 AM)
A company can charge whatever fees they want for particular services and it is up to the customer to decide if they want to pay the disclosed fee. This was not a fee to use the card...this was a fee for the customer service end of the equation (not unlike some of the banks that charge to make a payment over the phone or even to speak to a teller). This is very different from the surcharge nonsense that gets some panties around here in such a bunch...
Something tells me a part of the cost is because of the credit fee. More semantics in the good ol USA.
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