Related Credit Card Article

"Credit card consumers experiencing problems credit card subscriptions"

By admin | September 17th, 2009 | Credit Cards

It has been revealed that a large number of consumers that have credit cards in the UK may be experiencing real problems with a range of companies that take payment for services from a credit card on a monthly basis, rather than via direct debit or standing order.

Many of these cardholders are finding that cancelling the payment to the company is nigh on impossible, often resulting in them losing out on hundreds of pounds as the companies continue to take the money.

The report revealed that whilst consumers may have cancelled the service from the provider, some will continue to take payments from the credit card each month, and even though the service may have been cancelled there is nothing that the cardholder or even the credit card provider can do to cancel the payment, as this can only be done by the company itself, leaving many in a very difficult situation.

Officials have said that whilst some companies may continue taking payment by way of a genuine mistake when the consumer cancels the service there are also those that operate a scam by continuing to take payments from the consumer’s credit card.

Some of the firms that are taking payments in this way are notoriously difficult to track down, and therefore trying to get the payments stopped can be a nightmare.

One industry official said: ‘The cardholder has entered a contractual agreement with the business who has sold them the goods or services. A recurring transaction can be cancelled only through the retailer concerned and credit card companies cannot currently cancel the agreement or suspend payment on a cardholder’s behalf.’

Tags: credit card subscriptions, Credit Cards

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