From: "Iain" 
Newsgroups: uk.finance
Subject: Credit / debit cards
Date: Thu, 21 Apr 2005 15:07:36 +0100

Hi,

Credit cards
When does a CC transaction become a continuing authority?  Does it have to 
be written into the T&Cs and / or mentioned specifically (eg. over the phone 
when giving CC details)?  Or, can it reasonably be assumed by the nature of 
the business?

While doing some searching to try and find this out, I came across the 
following from the British Bankers' Assoc site 
(http://www.bba.org.uk/bba/jsp/polopoly.jsp?d=262&a=398&view=print)

"Continuing Authority Transactions (also known as recurring transactions)

These are similar to Direct Debits, but the payment is claimed from your 
credit card account. Although this type of transaction is not covered by the 
Direct Debit Guarantee ..."

I find this statememt somewhat misleading because it associates the payments 
with DDs, but in reality, the CC holder has very little say when trying to 
cancel - the payee has the control.


Debit Cards
I made an interim payment to my ISP, when I eventually managed to stop the 
CC payments, as a one-off payment and on the basis I was going to set up a 
DD.  I discovered from my statement that during the same month, 2 further 
PoS (Point of Sale) payments were made.  I had not authorised either of 
these.  When I queried these payments by email, a few days later the two 
payments were then re-credited to my account - I did not ask for this.  So, 
a further two unauthorised transactions were made.

My question here is (and my bank is still unable to give me a specific 
answer on this); how do I stand with unauthorised transactions being made on 
my account, simply because my ISP, or anyone, holds my debit card details 
from one earlier transaction?  Is it legal, am I protected, or is it fraud? 
Can there be 'un-said' assumptions?

From another conversation just now with my bank, it seems that a continuing 
authority can also be set up with a Debit Card.  I am learning new things 
every day.

I sent a fax to the financial director asking for my debit and credit card 
information to be removed from their system because I want to set up a 
standing order (the best protection out of them all).  He has not responded 
on this issue.  They responded by attaching a DD form.  How do I stand if 
further attempts are made to remove funds from either my credit or debit 
card?  Both my bank and CC Co have instructions not to accept further 
payments.  I have just been informed that my CC Co will bounce further 
attempts.

I am also trying to find out who my ISP's merchanting company are (eg 
Barclaycard or Streamline).  Because, if unauthorised / fraudulent 
transactions are being made, they should be made aware of this.

Sorry it's long, but I need to know, together with regulatory / legislative 
back-up, how to proceed and how, or if, I, and my bank account, are 
protected.

Iain