Dealer wants me to pay charges for using a Debit card

[Rower]

I recently bought a car from a dealer and paid him with a Debit card on my company account. He has just called me and said his bank ( which I think are the same as mine )are charging him £260 and he wants me to re-imburse him !! Is he pulling my chain or is he likely to have paid this money ?

Rower

[jimslops]

Rower said:

I recently bought a car from a dealer and paid him with a Debit card on my company account. He has just called me and said his bank ( which I think are the same as mine )are charging him £260 and he wants me to re-imburse him !! Is he pulling my chain or is he likely to have paid this money ?

Rower

Tell him to go and play with himself. Absolutely no chance would I be paying it. It is his fault he is charged, not yours.

[Soovy]

Rower said:

I recently bought a car from a dealer and paid him with a Debit card on my company account. He has just called me and said his bank ( which I think are the same as mine )are charging him £260 and he wants me to re-imburse him !! Is he pulling my chain or is he likely to have paid this money ?

Rower

Tell him to poke it.

Bl00dy cheek.

[MagicalTrevor]

Rower said:

I recently bought a car from a dealer and paid him with a Debit card on my company account. He has just called me and said his bank ( which I think are the same as mine )are charging him £260 and he wants me to re-imburse him !! Is he pulling my chain or is he likely to have paid this money ?

Rower

That's one of his 'costs' for running his business. In the same way that he'd have costs were he to accept cash (counting, handling, paying into the bank, etc).

Was the heating on when you went to his premises? Maybe you should be paying his heating bill too?

[MC Bodge]

Debit card transactions aren't charged are they?

[Du1point8]

(even if this is a lie, call his bluff)

Ask him that since you paid it on the company car you are going to try and get the VAT back on it, if the VAT doesn't come back or you can't claim it all, is the dealer more than happy to make up the short fall?

Don't pay him by the way... its his business he should know what he has to pay and when and if he came on PH he would get told to suck it up and to learn from this experience and to not make that silly mistake again.

[ForzaWhitesGen2]

Debit Card costs the bank around 20-23p per transaction (in real world terms) ... technically its the same as a Point of Sale (PoS) transaction.

Yes most banks 'charge' their clients for the payment terminal etc

I design and implement Banking payment systems!

[VidalBaboon]

MC Bodge said:

Debit card transactions aren't charged are they?

ForzaWhitesGen2 said:

Debit Card costs the bank around 20-23p per transaction (in real world terms) ... technically its the same as a Point of Sale (PoS) transaction.

Yes most banks 'charge' their clients for the payment terminal etc

I design and implement Banking payment systems!

I'm pretty sure we're paying a % of the sale cost, 23-30p dependant on card type through Streamline.

Edited by VidalBaboon on Thursday 16th February 10:53

[Decky_Q]

If you are feeling generous you could offer that if he refunds the money to your card you could pay him in cash or with cheque? But def not stump up for his bank charges, he can open an account with any bank he wishes and its his problem to use a suitable package for his business needs.

[MC Bodge]

When I bought a car recently, I was told that I'd have to pay extra if I turned up with a holdall (ok, a small bag) full of cash, as they preferred not to store cash and they'd have to take it to the bank.

[TrevorH]

When we had a small business a couple of years back it cost us £300 to set up with a mobile terminal and £40 a month (min) to run it. Individual debit card transactions were 40p. So god knows where he thinks the £260 comes from.

[ForzaWhitesGen2]

VidalBaboon said:

I'm pretty sure we're paying a % of the sale cost, 23-30p dependant on card type through Streamline.

Edited by VidalBaboon on Thursday 16th February 10:53

You could well be, depending on the agreed Business Account Tariff that you and your Bank have agreed. Of course I was talking about the pure infrastructure and processing costs for the Electronic Signature/Check/Validation and debit process, which works almost the same as a Cash point....

[VidalBaboon]

ForzaWhitesGen2 said:

VidalBaboon said:

I'm pretty sure we're paying a % of the sale cost, 23-30p dependant on card type through Streamline.

Edited by VidalBaboon on Thursday 16th February 10:53

You could well be, depending on the agreed Business Account Tariff that you and your Bank have agreed. Of course I was talking about the pure infrastructure and processing costs for the Electronic Signature/Check/Validation and debit process, which works almost the same as a Cash point....

So the checks are purely the same regardless of amount (i.e. takes up the same bandwidth) which the banks have to pay for, and it's just a money spinner for them?

[XitUp]

£260! Either he thinks you're a mug, or his bank are a bunch of robbing bds (being a bank, I guess that goes without saying).

[ForzaWhitesGen2]

VidalBaboon said:

So the checks are purely the same regardless of amount (i.e. takes up the same bandwidth) which the banks have to pay for, and it's just a money spinner for them?

Yep, correct. The 'electronic' signature on your card is linked to your personal bank account. Available funds are checked as if you had put the card into an ATM and then the transaction carries on.... so that the Bearer is debited and the receipient is Credited within 90 seconds or so... Like I said this in real terms costs circa 20 odd pence!!

Other costs for the terminal eqpt etc are again passed onto the customer or business in way of monthly charges, as another Poster has just said.... These are standard business operating costs and no way liable to be passed onto the customer / card bearer ....

[QuackHandle]

Rower said:

I recently bought a car from a dealer and paid him with a Debit card on my company account. He has just called me and said his bank ( which I think are the same as mine )are charging him £260 and he wants me to re-imburse him !! Is he pulling my chain or is he likely to have paid this money ?

Rower

bks, no way would a debit card transaction would cost that much.

[Lucas Ayde]

Rower said:

I recently bought a car from a dealer and paid him with a Debit card on my company account. He has just called me and said his bank ( which I think are the same as mine )are charging him £260 and he wants me to re-imburse him !! Is he pulling my chain or is he likely to have paid this money ?

Rower

It's highly unlikely that transaction charges on the debit card came to £260 (they could on a credit card though) but even if somehow they did, those are his costs and he should have factored them into the price he originally quoted you.

[Rower]

Thanks for all your input , I have just had a full and frank conversation with him !!

Rower

[markmullen]

Are you sure it was a debit card and not a charge card?

If debit card then it costs pennies, if it is a charge card (Amex, Diners etc) then we get raped on fees.

[MadMark911]

Rower said:

Thanks for all your input , I have just had a full and frank conversation with him !!

Rower

And what did he say / do?