A new rule change at petrol stations across the country has left drivers confused and worried about why they've seemingly been charged extra to fill up their car.
One man who used a Tesco petrol station in Manchester this week was left "gobsmacked" after being charged £120 - despite only filling up £15 worth.
Another driver, a single mum, was left absolutely fuming after she noticed the same amount had appeared on her bank account after using the petrol station in Ardwick.
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All UK petrol stations are set to be affected by this measure, which sees card companies place a temporary hold on customer's bank accounts - to ensure they have the correct money.
The changes are being rolled out across the country. So far, M.E.N readers have noticed the change a Tesco fuel stations.
They have been introduced by American Express, Visa and Mastercard, in what they say is a move to help customers 'keep an eye on their finances.'
But the decision has left many drivers outraged, amid concerns about what it will mean for their bank balance at a time when finances are already extremely tight.
Here we have answered all the major questions drivers worried about the new rule change will mean for them.
Why am I being charged £120 when I'm only filling up £20 on fuel?
Customers are not actually charged £120, but when you insert or tap your card at a self-service pump, your bank will temporarily reserve an amount from your available balance when you fill up.
This could be up to a maximum of £120 but each retailer may request a lower amount. Once you’ve finished filling up, the petrol pump will immediately notify your bank of the actual value of the petrol you’ve purchased and your bank should be able to update your balance straight away.
Banks, card networks, and petrol stations, who have worked together on the new rule say part of the reason for these changes is to help customers keep track of their finances.
Previously, the exact amount they spent on fuel would show up against their account balance one or two days later, making it hard to keep track of their daily spend.
The process is designed to protect customers by ensuring they can’t fill up with more fuel than they can pay for.
It's understood that some petrol stations have set the amount at £120 following feedback from customers about how much it costs to fully refuel their vehicle.
What happens if I don't have £120 in my bank?
If a customer does not have £120 available in their account before refuelling, the pump will tell them how much they have available and allow them to refuel up to this amount.
Previously, £1 was pre-authorised, with the full amount debited later on. This risked customers spending more money than they had available, say card companies.
When will I get the money back?
Unused reserved funds never leave your account but they temporarily come off your available balance. They should revert back within minutes if the system works correctly, but some drivers have reported having to wait several days.
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.
What do you think? Have your say in our comments below.
According to MoneySaving Expert, if your available balance is lower than what it should be due to reserved funds taking too long to be returned and you urgently need to spend the cash, here's what to try:
- Contact your card issuer to ask it to speed up the reversal or ask for your overdraft/credit limit to be temporarily increased. By card issuer we mean the bank, building society or credit provider, such as Barclaycard, Capital One, HSBC or Nationwide (not Mastercard or Visa).
- Take your complaint to the ombudsman if a delay to funds being returned has caused you financial hardship and your card provider hasn't helped. If your bank or building society hasn't responded to your complaint within eight weeks or you're unhappy with the response you get, you can take your complaint to the free Financial Ombudsman Service.
How can I avoid the charge?
The system only affects pay at pump transactions - if you pay in the kiosk, you will still just be charged for what you have bought.
What Tesco Say
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.”
What Mastercard and Visa say
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 please see VISA Pay at Pump or Mastercard Pay at Pump.
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