FSS issues warning against credit card overpayments at self-service gas stations
The financial authorities here issued guidelines on credit card overpayments at self-service gas stations, Sunday, prompted by an increasing number of customer complaints about their card balances not being reflected immediately due to an automatic transaction cancellation function implemented by self-service gas stations.
The Financial Supervisory Service (FSS) and the Credit Finance Association issued joint consumer guidelines on ways to ensure that the pump price matches the price approved for credit card transactions.
The measures follow an increase in instances whereby card users were charged a user-set per-transaction upper limit of 150,000 won ($112) for a full tank of gas, despite the actual fuel price being under 100,000 won.
Currently, if a customer chooses the full tank of gas option at a fuel kiosk, the preset maximum price is charged first as soon as the button is clicked. But that payment amount is canceled immediately after the actual price is entered into the electronic system as measured by the total amount of fuel pumped.
According to the FSS, many card users with a low monthly spending limit have experienced inconveniences.
For example, a man with a spending limit of 200,000 won remaining for the month chose the full tank of gas option and was initially charged the 150,000 won upper limit, which left his monthly limit at just 50,000 won. Subsequently, the credit card transaction for the actual price (80,000 won) was declined due to exceeding the spending limit. The previously approved 150,000 won charge was left uncanceled and appeared on the man’s credit card statement the following month.
The FSS said that credit card users should make sure that the amount they thought they paid matches the actual amount charged as indicated on the receipt.
“Any signs of overpayments at self-service gas stations should be reviewed by the station staff in person or by phone,” the FSS said. “Only the gas station can request the transaction cancellation to credit card companies, not the card user.”