Credit Card Fraud / Landlords Insurance

[WebBoard]

From: Sam Coster


WARNING WARNING
We have an apartment, that is rented out
through a Serviced Apartment Scheme.
Approx 1yr ago a tenant, who had been staying
in our apartment for 4 weeks paid her bill
with a Credit Card, which was declined, she
turned to her sister who then tendered her
Credit Card and settled the account.

6 months later the sister, questioned the
transaction, and even though we had proof
that, there were witnesses to the
transaction, autherisation was requested and
given the Credit Card Comp cancelled the
transaction.

We then approached our Landlords Insurance
for loss of income, only to be informed that
our policy does not cover serviced apartments.

MY POINT IS
1.WHATS THE POINT OF GETTING CREDIT CARD
AUTHERISATION, IF SIX MNTHS LATER THE
TRANSACTION CAN BE REVERSED.
2. HAVING LANDLORD INSURANCE IN A SERVICED
APARTMENT SITUATION.

I would appreciate any comments.

Samc
Enjoy the journey, its half the fun.

 

[WebBoard]

Reply: 1
From: Gee Cee Cee


You & I must be having the same type of week/month.

Gee Cee

 

[WebBoard]

Reply: 1.1
From: Sergey Golovin


Did that sister agreed to that transaction initially? Or was it done behind her back? Who paid for it with that credit card?

If she was present what is the problem?

Serge.

 

[WebBoard]

Reply: 1.1.1
From: Sam Coster


That is the point, of my message.
The sister handed over her Credit card as a
substitute, it was autherised with the CC
provider.
Yet when 6 mnths later the sister queried the
account the CC provider debited the payment .
Samc
Enjoy the journey, its half the fun.

 

[Rolf Latham]

Reply: 1.1.1.1
From: Rolf Latham


Sam

Im not a legal bod, BUT if you have a signature of the sister on the credit card slip you are ok, doesn't matter who used the service. This will be proof that she has authorised the transaction. If you dont have that - good luck.

The onus of proof on cc transactions is alwaysupon the vendor, especially since many business will accept card transactions WITHOUT the card owner providing a signature - ie over the phone and net.

Ta

Rolf

 

[WebBoard]

Reply: 1.1.1.1.1
From: Phillip Sharp


Sam,
Rolf may not be a legal bod but he is exactly right.
If you or the real estate agency or whoever has a signed credit card slip or authorization slip. It is a legal contract. Provided that the signature is the same as the one on the card.
If it was done on the phone no contract exists. Although phone authorization is a common practice the, onus of proof, is on the vendor. Even if the authorization has been given, to say there are sufficient funds available on the card, the proof of the transaction must still be the signature.
Phillip

 

[paulzag]

Reply: 1.1.1.1.1.1
From: Paul Zagoridis


The credit card company (bank actually) would have written to the Merchant requesting proof. The Merchant should have provided that within 14 days.

If the Merchant failed to provide the requested info then the Bank would have debited the account.

The consumer protection laws are aggressively in the consumer's favour. That I think is a good thing.

I accepted a $300 credit charge from a Westpac employee who then challenged the charge. The Credit Card department "lost" my faxed proof. My account was debited and 12 months on I am still chasing the deadbeat.

Secondly Sam, you didn't accept the card. The manager did and they were negligent in not checking the signature. I would argue against you footing the bill on the chargeback.

Paul Zag
Dreamspinner
Oz Film Biz is at
http://www.healey.com.au/~paulz