Unauthorised use of credit card

Unauthorised use of credit card

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Discussion

Gareth1974

Original Poster:

3,441 posts

150 months

Thursday 13th March
quotequote all
Bit of background: My girlfriend separated from her husband in 2022. At the time he had a card for her credit card. She took this back from him at this point.
In 2023 their divorce was finalised, with a binding financial order.

Last night, £800 appeared on her credit card.

It turns out her credit ex has taken a copy of the credit card number, and three years later used it to towards a car he’s bought

She called the bank this morning, they said she’s liable for the debt, even though she took the card off him several years ago (clearly she should also have cancelled it!).

This wasn’t an authorised use of her card, and the method he used to get the card number would be the same as a person in a shop taking a photo of it and subsequently using it.

Legally, is she on the hook for the debt?

And has he committed a crime? Some sort of fraud?

A few months ago he made a totally false application for child maintenance from her, resulting in a bill for £11000, when in reality she didn’t owe a penny (50/50 childcare split). This took several stressful months to sort out, and it’s typical of the things he does to get money from her, yet seems immune from any consequences.

In addition, last year we know he applied for an IVA to pay off a lot of debts, in the full knowledge that he was getting a large divorce settlement (since burned through) a couple of weeks later. More fraud?

5lab

1,735 posts

207 months

Thursday 13th March
quotequote all
Dispute the charge. The retailer is more on the hook if the card is used without MFA or being physically present. They must have taken it as a remote phone payment.

It's also theft, so call the police

Du1point8

21,749 posts

203 months

Thursday 13th March
quotequote all
Dont understand... he used her credit card, or was he an authorised user of her credit card?

If the former then simple fraud, if the latter, why has he not been removed and if he has then the retailer will be having an issue and its still fraud.

Chris Peacock

2,789 posts

145 months

Thursday 13th March
quotequote all
She obviously never cancelled / blocked his card, so the bank aren't going to do much. A card has been used by the person it was assigned to.

It's one for the police. But I'm not convinced they'll do much either.

soad

33,668 posts

187 months

Thursday 13th March
quotequote all
Chris Peacock said:
She obviously never cancelled / blocked his card, so the bank aren't going to do much. A card has been used by the person it was assigned to.

It's one for the police. But I'm not convinced they'll do much either.
Sadly this.

TownIdiot

2,830 posts

10 months

Thursday 13th March
quotequote all
If it's the additional cardholder card in his name then I'd have thought she is fully on the hook.

If it's the main card in her name then it is a fraudulent use of the card

InitialDave

12,773 posts

130 months

Thursday 13th March
quotequote all
I would dispute it, also is there any way to get the details of the car dealer and comtact them?

As others say, whether he was/is an authorised second card holder is very important though.

98elise

28,983 posts

172 months

Thursday 13th March
quotequote all
TownIdiot said:
If it's the additional cardholder card in his name then I'd have thought she is fully on the hook.

If it's the main card in her name then it is a fraudulent use of the card
That's what I would have thought. If you have a joint account up are both liable for the debts in full, so surely it's the same for a credit card.

As you say if it's just her card, then it's fraud.

Kev_Mk3

3,107 posts

106 months

Thursday 13th March
quotequote all
Chris Peacock said:
She obviously never cancelled / blocked his card, so the bank aren't going to do much. A card has been used by the person it was assigned to.

It's one for the police. But I'm not convinced they'll do much either.
This

Dispute the charge to start with as fraud, she then needs to get a police reference number to give to the card company.

I see it ending up that nothing will happen to him and she will be liable for the debt. I'd be asking him why he did it and if nothing happens I hear brake fluid helps get paint back to metal really well on cars.............

InitialDave

12,773 posts

130 months

Thursday 13th March
quotequote all
98elise said:
That's what I would have thought. If you have a joint account up are both liable for the debts in full, so surely it's the same for a credit card.

As you say if it's just her card, then it's fraud.
I think the issue is an authorised cardholder on someone else's non-joint account doesn't have responsibility for the debt, only the primary account holder does.

davek_964

9,793 posts

186 months

Thursday 13th March
quotequote all
Kev_Mk3 said:
....I'd be asking him why he did it and if nothing happens I hear brake fluid helps get paint back to metal really well on cars.............
Yes - I'm sure if the OP did that, the ex would think : Ah well, I deserved that - no harm done.

I'm sure it wouldn't escalate at all.

Kev_Mk3

3,107 posts

106 months

Thursday 13th March
quotequote all
TownIdiot said:
If it's the additional cardholder card in his name then I'd have thought she is fully on the hook.

If it's the main card in her name then it is a fraudulent use of the card
Sadly not. Its the card holders account they are liable for all of it and use of the account. They gave use to another party and authorised it. Will not impact the authorised party at all in any way.

InitialDave

12,773 posts

130 months

Thursday 13th March
quotequote all
This is a stupid question, but does the second cardholder officially "count" for receipt of goods?

I.E. if you used the consumer credit act to dispute on the basis she never received the car it paid for, does that hinge on it being the card (technically his) or the account/credit agreement (hers)?

carl_w

9,733 posts

269 months

Thursday 13th March
quotequote all
InitialDave said:
This is a stupid question, but does the second cardholder officially "count" for receipt of goods?
Pretty sure I saw Martin Lewis say something about this and that things like the Section 75 protection doesn't extend to the additional cardholder.

InitialDave

12,773 posts

130 months

Thursday 13th March
quotequote all
carl_w said:
Pretty sure I saw Martin Lewis say something about this and that things like the Section 75 protection doesn't extend to the additional cardholder.
But does that mean the rights for purchases made with an additional card just effectively dont exist, or that they default to the account holder?

Just trying to think of potential angles of attack.

carl_w

9,733 posts

269 months

Thursday 13th March
quotequote all
InitialDave said:
But does that mean the rights for purchases made with an additional card just effectively dont exist, or that they default to the account holder?

Just trying to think of potential angles of attack.
Apparently they don't exist unless the account holder both authorises the purchase and benefits from it in some way (e.g. additional card holder purchases a holiday for them and the account holder).

Biker 1

8,076 posts

130 months

Thursday 13th March
quotequote all
I had similar during divorce. Ex used all my Nectar points which although petty, got me to immediately call my credit card company & get her card cancelled & her name taken off the account. I also got the credit score people (Experian if memory serves) to file a financial split (I forget the actual wording). This means that my credit rating can not be affected by her future spending decisions.

leef44

4,878 posts

164 months

Thursday 13th March
quotequote all
How did he manage to pay something that large without the need for a PIN or 2fa?

Unless he did it remotely and the dealer was alright with that. If he did do it remotely then do you have a 14 day cooling off period? Can you cancel the order with the dealer?

BertBert

20,095 posts

222 months

Thursday 13th March
quotequote all
leef44 said:
How did he manage to pay something that large without the need for a PIN or 2fa?

Unless he did it remotely and the dealer was alright with that. If he did do it remotely then do you have a 14 day cooling off period? Can you cancel the order with the dealer?
Surely GF won't be able to cancel the contract as they are not a party to it.

GreatGranny

9,503 posts

237 months

Thursday 13th March
quotequote all
Biker 1 said:
Ex used all my Nectar points which although petty,
Petty doesn't even cover that smile
Another level!