Auto debit from credit card without any emandate from bank

[ak7550]

Hi, so recently I made a foreign transaction from my IDFC first bank credit card, and I expected that it was an one-time expense. But today I saw that a monthly subscription fee has been deducted from my credit card without prior notice. Though it's a French company and I complaint regarding this about their customer care, I dont think I will get any help from them. But right here, my concern is, I was supposed to get some auto pay or e-mandate set related email from the bank itself right ?The whole transaction has been done without my concern and after getting this debit SMS I immediately blocked my card and called to IDFC first bank customer care. They are saying that merchant is supposed to send me an emendate email not the bank. This statement feels a bit vague from the bank because for all of my other cards, I have received an auto-pay or emendate email from the bank itself. Any opinion in this regard? and how can I get my money back?

 

[akshayhs]

E-mandates can only be set for merchants operating as registered under RBI. So no wonder why you didn't receive it.

International transactions don't respect OTP/e-mandate mechanisms.
My advice is to disable international transactions on your card, and your bank will not be able to process any payments to the merchant as long as it is disabled.

Get the card replaced marking it as lost or outright block it and request a replacement card.

I have 6-7 subscriptions that are recurring. None of them are notified in advance, but I know when they are debited and which card is being used. So I am aware of my debits.

 

[ak7550]

E-mandates can only be set for merchants operating as registered under RBI. So no wonder why you didn't receive it.

International transactions don't respect OTP/e-mandate mechanisms.
My advice is to disable international transactions on your card, and your bank will not be able to process any payments to the merchant as long as it is disabled.

Get the card replaced marking it as lost or outright block it and request a replacement card.

thanks..
I have already blocked my card and requested for a replacement. But is there any chance I can get back the amount ?
I am not even using the service, it was an one time purchase that I did for a digital product.

 

[akshayhs]

thanks..
I have already blocked my card and requested for a replacement. But is there any chance I can get back the amount ?
I am not even using the service, it was an one time purchase that I did for a digital product.

You should have thought about it before blocking the card right? Even if the customer care entertains your request and refunds the amount, how is your credit card issuer going to receive it?

 

[imdjay]

Hi, so recently I made a foreign transaction from my IDFC first bank credit card, and I expected that it was an one-time expense. But today I saw that a monthly subscription fee has been deducted from my credit card without prior notice. Though it's a French company and I complaint regarding this about their customer care, I dont think I will get any help from them. But right here, my concern is, I was supposed to get some auto pay or e-mandate set related email from the bank itself right ?The whole transaction has been done without my concern and after getting this debit SMS I immediately blocked my card and called to IDFC first bank customer care. They are saying that merchant is supposed to send me an emendate email not the bank. This statement feels a bit vague from the bank because for all of my other cards, I have received an auto-pay or emendate email from the bank itself. Any opinion in this regard? and how can I get my money back?

Recurring txns for the merchants who have not setup e-mandate should be declined as per RBI rule. Check your emails if you have received any emandate notification when you did the first transaction. If there was no e-mandate created and the merchant has charged you.
Raise a complaint with the Bank saying unauthorized- follow the bank escalation matrix. if they do not agree, move to RBI Ombudsman.

 

[ak7550]

Recurring txns for the merchants who have not setup e-mandate should be declined as per RBI rule. Check your emails if you have received any emandate notification when you did the first transaction. If there was no e-mandate created and the merchant has charged you.
Raise a complaint with the Bank saying unauthorized- follow the bank escalation matrix. if they do not agree, move to RBI Ombudsman.

First of all this situation was not supposed to occur, because I only paid the price considering it as an one time fee for a digital product. Then 2 days later today I got a message that from my credit card complete monthly subscription fee has been deducted.

Coming to your point, there's no -mandate has been created, I can't see any auto payment enabled in my card. But still the amount has been debited, which is unfortunate.
I talked with bank, and asked them about it that how they are able to deduct the money from my card with out any auto-pay enabled or e-mandate and why there's no e-mandate from the credit card company ?
So they are saying like, e-mandate is supposed to be sent from the merchant side not from the bank's side. I am really confused here, because I have auto payment enabled for my amazon prime subscription and other insurance premium payment, and for all of them I received e-mandate and auto payment enabled notification from bank.
Is IDFC trying to save their back to get rid from this fraud transaction ??

 

[imdjay]

First of all this situation was not supposed to occur, because I only paid the price considering it as an one time fee for a digital product. Then 2 days later today I got a message that from my credit card complete monthly subscription fee has been deducted.

Coming to your point, there's no -mandate has been created, I can't see any auto payment enabled in my card. But still the amount has been debited, which is unfortunate.
I talked with bank, and asked them about it that how they are able to deduct the money from my card with out any auto-pay enabled or e-mandate and why there's no e-mandate from the credit card company ?
So they are saying like, e-mandate is supposed to be sent from the merchant side not from the bank's side. I am really confused here, because I have auto payment enabled for my amazon prime subscription and other insurance premium payment, and for all of them I received e-mandate and auto payment enabled notification from bank.
Is IDFC trying to save their back to get rid from this fraud transaction ??

As I suggested raise the complaint with the Bank as an unauthorized transaction and tell them you have not authorized the card to be charged by the Merchant. If they deny to raise the dispute, complain to RBI Ombudsman.

 

[ak7550]

As I suggested raise the complaint with the Bank as an unauthorized transaction and tell them you have not authorized the card to be charged by the Merchant. If they deny to raise the dispute, complain to RBI Ombudsman.

sure thanks for guiding.

 

[Aniket]

You should have thought about it before blocking the card right? Even if the customer care entertains your request and refunds the amount, how is your credit card issuer going to receive it?

Though the card is blocked Cr. can happen but Dr. is not possible as per my knowledge and experience.

 

[ak7550]

Though the card is blocked Cr. can happen but Dr. is not possible as per my knowledge and experience.

thanks for sharing, I was really worried about it.

 

[Aniket]

thanks for sharing, I was really worried about it.

Don't worry, wait till the refund period shared by the merchant.

I hope it will get processed and credited by 7 working days, in case if it won't get credited, chance is less than 1%, then contact your bank with the refund reference number.

 

[ak7550]

Don't worry, wait till the refund period shared by the merchant.

I hope it will get processed and credited by 7 working days, in case if it won't get credited, chance is less than 1%, then contact your bank with the refund reference number.

I talked with customer care, and it seems like they won't be refunding the amount. In France there's no concept of e-mandate. But I don't know how they are able to manage to my money without any auto-payment permission. I think it's an issue from bank's side and anyone is able to get the access of deducting money without the permission. I have sent a mail to IDFC first bank with proper details of the scenario, let's see what they come up with. Otherwise, I won't hesitate to reach out to RBI.

 

[ak7550]

Thanks everyone for your valuable suggestions. I went through a tough battle with bank as it's not easy to convince them that it's a fault from their side. But finally, when everything settled down, bank returned the amount back. But now they are asking 100 + GST as a card replacement fee to get a new card. Though I am thinking to pay this and get a new card. Which is definitely not ethical though. What's your suggestion over here.