Drivers have been left confused at finding £120 'frozen' in their bank accounts after filling up at petrol stations across the country - no matter how much they actually put into their tank. The problem was first reported three years ago, but seems to be surfacing again as a new wave of motorists encounter the issue.
The system occurs with pay-at-pump petrol stations, where you can use your card to pay for fuel at your car, rather than going into the shop and paying at the till.
It used to be that the machine would instantly charge your card £1 to make sure funds were available, before allowing you to fill up then charging you the amount you had spent.
Since 2021 a system has been rolling out across the country where your account temporarily 'freezes' £120 while you fill up, to make sure enough funds are available. When you have finished filling up the amount you buy is deducted and the rest of the money is released.
If you don't have £120 in your bank, the machine will allow you to spend what you have. Unused reserved funds never leave your account but they temporarily come off your available balance., reports MEN.
In a very small number of cases, it can take the bank longer to release the funds back into your account. People affected by this delay are advised to contact their bank directly.
Some Tesco shoppers in Manchester reported seeing the money held in their accounts for longer.
A Tesco Spokesperson said: “We’re really sorry to hear about this. The funds that are reserved whilst a customer refuels at Pay at Pump should be immediately released back into the customer’s account. If this has not happened, we would recommend that the customer contacts their card issuer to resolve the issue.”
In 2021, when the amount frozen was £99, Tesco said: "Previously, all Pay at Pump transactions were authorised by requesting a £1 transaction from your card issuer before taking payment for the value of the fuel 1 to 3 days later.
"Under new rules implemented by Mastercard, Visa and American Express, we must now request authorisation from your card issuer for up to £99.
"Once you’ve finished filling up, the final transaction amount is sent to your card issuer, and the remainder of any unused funds up to the maximum filling amount will be released back to your available balance.
"We’ll only ever charge you for the value of the fuel you’ve actually purchased."
At the same time, An ASDA spokesperson explained: "The solution makes it easier for you to keep control of your finances when you pay for your petrol at the pump, however if an issue does arise you should first contact the bank that issued your card."
A spokesperson for Mastercard said: "Banks, card networks, and petrol stations have worked together to update and improve the way payments are made at ‘Pay At Pump’ sites.
"Although customers may notice in their banking apps an initial transaction for a higher ‘pre-authorised’ amount, this is temporary.
"Once the sale is made, the exact value of fuel dispensed will be charged and any remainder of the pre-authorised amount is released for use almost immediately. If cardholders experience any issues they should contact their bank."
According to information from Visa's website, the new changes are being rolled out a petrol forecourts to 'improve the experience.'
"Our innovative payments solution means you can make a quick pit stop to fill up your vehicle without entering the shop and keep control of your budget at the same time," they say.
"In the past, when you used a self-service pump to buy fuel, the exact cost would only show up against your account balance one or two days after you filled up. This could make it hard to track your daily spend.
"Soon, the way you pay for fuel at self-service pumps will change. When you insert or tap your card at a self -service pump, your bank will temporarily reserve an amount from your available balance while you fill up. This could be up to £120.
"But not to worry, once you’ve finished filling up, this will be updated to your bank and you’ll only be charged for the amount you’ve spent."
For more information see VISA Pay at Pump or Mastercard Pay at Pump.
