USBank cardholders - Don't pay at the pump!

[Paladin3]

I was looking at my USBank statement online today and noticed the charge for some gas I purchased on 9/1 was higher than it should have been. I called USBank customer service and was very politely informed of a new policy they instituted on 9/1.

Anytime you use a debit card to pay for gas at the pump, USBank now automatically freezes $74 in your account until the actual charge clears when they refund the difference. It doesn't mater if you pump $2 worth of gas, they still freeze $74.

My 9/1 gas purchase is still listed as pending on 9/3 and the difference between $74 and what I actually spent is still frozen. The rep suggested to get around this in the future I go into the store and run the card as credit for a set amount instead of using it as debit at the pump.

Just a heads up for any USBank customers. I'm not sure if other banks have similar policies, but this was a new one on me. Have a great day!

 

[QueBert]

That's almost all banks and gas stations, if I'm using my debit I always go inside and pay directly. The explanation for the hold if you use it outside doesn't make sense to me, but what makes even less sense is why the hold can stay around a few days depending on your bank.

 

[rcpratt]

That's...retarded. What's wrong with freezing $1 like every other bank in the world does for pay-at-the-pump transactions.

 

[kami333]

That's almost all banks and gas stations, if I'm using my debit I always go inside and pay directly. The explanation for the hold if you use it outside doesn't make sense to me, but what makes even less sense is why the hold can stay around a few days depending on your bank.

^^^ This.

And don't use debit cards to pay for hotels or rental cars either.

Better yet, don't use debit cards, period.

http://articles.moneycentral.msn.com/Banking/BetterBanking/HosedAtTheGasPumpByYourDebitCard.aspx
http://www.usatoday.com/travel/hotels/2008-03-13-debit-cards_N.htm
http://www.ncnblog.com/2007/04/18/can-i-use-a-debit-card-to-rent-a-car/

 

[SunnyD]

Just new and exciting ways for banks to make up the revenue lost for the new overdraft laws.

 

[Anubis]

curious about something, it says debit cards where you enter your pin go through instantly.

What about debit cards that are run as credit cards?

 

[DesiPower]

curious about something, it says debit cards where you enter your pin go through instantly.

What about debit cards that are run as credit cards?

This

 

[JulesMaximus]

Don't live paycheck to paycheck?

 

[Paladin3]

^^^ This.

And don't use debit cards to pay for hotels or rental cars either.

Better yet, don't use debit cards, period.

http://articles.moneycentral.msn.com/Banking/BetterBanking/HosedAtTheGasPumpByYourDebitCard.aspx
http://www.usatoday.com/travel/hotels/2008-03-13-debit-cards_N.htm
http://www.ncnblog.com/2007/04/18/can-i-use-a-debit-card-to-rent-a-car/

Great articles, thanks. I was in the habit of using cash when I went out, but then got lazy and started using my debit card again. It's easier for me to stay on budget when I only carry the cash I can afford to spend and keep the card for emergencies.

 

[HardcoreRobot]

debit = dumb

 

[Paladin3]

Don't live paycheck to paycheck?

I knew someone would post this. I even though about putting in a preemptive "fuck you" reply in my OP.

But if it makes you feel good to jab at others then go ahead. Maybe later you can take a magnifying glass to some ants or find a puppy to kick.

 

[bignateyk]

uhh.. i'm pretty sure just about every bank has done this for a long time. Just use a credit card.

 

[Gibson486]

curious about something, it says debit cards where you enter your pin go through instantly.

What about debit cards that are run as credit cards?

it's if you use your bank card at the pump, period. Does not matter if it's a debit or credit transaction. In MA, they actually have signs telling people that if they use their bank card that there will most likely be a holding fee.

 

[highland145]

debt = income

fixed

 

[TheTony]

http://articles.moneycentral.msn.com/Banking/BetterBanking/HosedAtTheGasPumpByYourDebitCard.aspx

While the length of the hold is up to your bank, the amount of the hold is up to your gasoline retailer.

Each big oil company has a different policy: Shell says it preauthorizes just $1 for gas purchases, for example. Chevron says it has a $1 hold that ensures a card is active. British Petroleum preauthorizes $75 when customers use debit or credit cards, said spokeswoman Sarah Howell. The same policy applies at its Amoco and Arco stations, Howell said. Hess asks for $75 as well.

The reasoning behind this policy is that oil companies don't know how much gas you're about to pump -- only PIN-based debit transactions are processed immediately -- and so they earmark a certain amount of your money. "We want to make sure that we're protected, that we get payment for the gasoline," says BP's Howell.

Best answer? Buy your gas elsewhere.

 

[Keeper]

Paladin, thanks for the info and GOOD reply to the toolbag above. Like you said, some jackass would post something like that.

In the old days, we would call it "beer muscles". We all did it at one point in time..
But the internet. Man its SO much worse.
Whats it called with the internet?
Total jerkoffedness as I hide behind my 'puter screen and no one can get to me persona???

It may be this forum. There are a lot of people here that really need a bran muffin.

I find myself of late, chiming in like this (Notice limited number of posts for time joined) Could be a signal that I am spendign too much time here LOL.

 

[Numenorean]

So they freeze $74 for a few days. So fucking what? It's not like I'm going to go on some spending spree with my checking account and run it into oblivion. Why the fuck should I care if a few bucks are frozen for a day or two. Makes no difference to me.

 

[highland145]

Numerorean: Rich man, poor attitude.

Edit: that was too nice. Shitty attitude.

 

[Numenorean]

Numerorean: Rich man, poor attitude.

Edit: that was too nice. Shitty attitude.

Who said I was rich? I just know how to manage money and not be a fucking moron.

 

[Eli]

Some of you must have some shitty ass gas stations. I have never encountered this on the West Coast. When I get gas as debit with my PIN, the pending transaction is the same amount as my pump receipt.

Edit: On second thought, I have seen the 1$ thing.

74$ is ridiculous and would piss me off. Where did they come up with that figure? Do these companies assume everyone drives SUVs?

lolbp. I hope you go bankrupt. What a worthless company.

 

[Train]

That's almost all banks and gas stations, if I'm using my debit I always go inside and pay directly. The explanation for the hold if you use it outside doesn't make sense to me, but what makes even less sense is why the hold can stay around a few days depending on your bank.

One of the reasons it can take days is the delay between "Authorize" and "Capture"

debit/credit cards work on a two step process. The "authorization" is just the approval for the card, like when you give your card up at a restraurant, but havent entered tip yet, they authorize it, but the capture done later may have a different amount.

With gas stations it used to be $20 standard. But after gas went up, a lot of places went to $40, I'm not surprised it went even higher.

The downside is, if you get "authorized" for $40 but fill up a big tank and spend $60, its possible you may have only had $50 left in your account or only had $50 left to your limit on the cc. Raising the authorize amount protects all parties (including yourself, since you'll have less chance of overdrawing or going over your limit)

There is no rule that says the capture has to happen right after the sale is completed (unless it's a debit purchase with a PIN). you technically have up to 30 days. Most stores run a batch capture every night, closing out all authorizations ran that day. Other times a store may wait all weekend until a manager runs the batch on monday Morning. Sometimes the only manager who can run the batch is on vacation, and the auth will sit on your account for a week or more.

 

[Zargon]

still better than when they were limiting you to 50 bucks worth of gas per transaction like when gas was at 4 bucks a gallon

 

[PricklyPete]

Don't they all do this...what's the issue? As long as the correct amount is finally charged once the charge goes through...who cares?

 

[highland145]

Don't they all do this...what's the issue? As long as the correct amount is finally charged once the charge goes through...who cares?

Because part of the 40% of people living check to check could overdraw erroneously.

 

[Gibson486]

Because part of the 40% of people living check to check could overdraw erroneously.

Do not bother with that argument. Now we will have an influx of ATOTers saying, "Well they should not be living paycheck to check".