How a Credit Card Charge or Transaction Can Sneak Up On You?

by Vinaya HS on March 14, 2011

in Finance

Thanks for visiting Capital Advisor. I frequently update this blog to cover various topics on personal finance such as investment strategies, financial products that you should buy and ones that you really should stay away from, financial calculators, emerging themes such as early retirement and financial independence, and much more. You can Subscribe through Email and receive new articles directly in your Inbox or you can Subscribe through the RSS Feed and receive new articles in your feed reader.

@ 08.05 AM:

From: TD-TXNALERT

Thank you for using your XXXX Bank Credit Card for YYY.ZZ in ACQUIRER OPERATIONS @ 10-Mar-2011 08:02 AM.

Now, I don’t carry my credit cards in my wallet. My credit cards don’t charge an annual fee. So where did this SMS come from? I was all ready for a fight with the Bank when I happened to see this email:

We’ve delivered your purchase.

Thanks for making your purchase through Skype. We’re happy to confirm your payment. There won’t be any break in service — your new purchase will pick up right where the old one left off…

The recurring payment for your subscription will be charged on the same date (or as close as possible) on each billing period. If you cancel your subscription it will take effect at the end of the last billed period.

There you go — an online recurring payment on my credit card! How dumb of me?

When I was traveling recently on work, I’d purchased an India-calling package from Skype. Upon coming back, I forgot to cancel my subscription and at the end of the first subscription window, Skype happily charged a second subscription to my credit card details that they had on record. Now I have an India-calling package when I reside right here in India. How really dumb of me!

A valuable lesson learned.

Skype no longer has my credit card data on their records. As for that subscription pack, I have 3-months to go before it expires. Maybe I should exhaust it by calling D Bangalore-to-Bangalore!

Goes to show how dangerous credit cards can be.




Thanks for reading this article. I'd love to hear your opinion. Please use the comments section below to share your thoughts. I frequently write new articles that also cover several other aspects of personal finance including credit cards, financial goals, health insurance, income tax, life insurance, mutual funds, retirement planning, and much more. You can Subscribe through Email and receive new articles directly in your Inbox or you can Subscribe through the RSS Feed and receive new articles in your feed reader.

{ 4 comments… read them below or add one }

Ketan March 15, 2011 at 10:10 PM

Hi,

Liked your website… nice layout and good blog… I too write on personal finance (my favorite topic) :-) at http://greenbuck.blogspot.com/

Subscribing your blog now!!

Ketan

Vinaya H S March 16, 2011 at 6:02 AM

@Ketan:

Thanks. :-)

Nancy March 23, 2011 at 5:50 AM

Oops, this just happened to me, too! I’ve already called and reported it to my bank as fraud. Don’t I feel like a dum-dum now. I won’t make this mistake again either! Nice post.

Anoop May 8, 2011 at 9:58 AM

This tragedy can happen even if you have a International Master card(a debt card).. It need not necessarily be through a credit card..

Previous post:

Next post: