It’s funny how what’s yours is not really yours.
Today, I went to purchase something with my eftpos card. Sure, I knew there was a ‘hole in the wall’ limit on withdrawing funds. I always figured that had to do with security, but since when have banks really been a likely winner of, ‘Humanitarian of the Year’ award. I’ll accept there is a reason that better suits the suits at the bank.
So, I went to make my purchase and handed my card over, in full knowledge there was money in my bank account (an account I have held for at least 17 years) to cover my purchase.
I was not allowed to make the purchase. I phoned my bank from the store, on the number provided on the back of my eftpos card. After getting through a series of ‘push keypad’ intelligence tests, I finished up with a, ‘credit card expert’. She put me back in the system and I had to wait in the queue for the , Customer Service Specialist’. Is it just me, or when you are in a hurry, do you get the customer service ‘expert’ from hell too?… you know, the one who took one too many mogadons before work?
Anyway, long story getting longer… I could not use my money to make my purchase. Bad luck, too bad, suck on that Chris Gibson. I left the retailer empty handed, in a bank daze, and got in my car and readied myself for the hour drive home. I was so annoyed at the time I had lost for a, ‘non result’. I knew I’d have to make time to return at a later date and pick up my order. They were messing with more than my money! They were messing with my life. And that gets personal!
Now, here’s the rub. Had I pulled out my Commonwealth Visa card, I could have made that purchase easily. So plastic cards with other people’s money work just fine. That’s if we are to believe that money actually sits behind these credit card transactions. The only thing certain that credit has to do with money is that it is certain you will need to repay the bank with real money.
On an eftpos transaction, the bank makes no real money.
On a credit card transaction, they justify fees, interest and a merchant fee. All income for the bank. The merchant fee charge on using a credit card in my instance is 3% added to the balance. I believe that banks charge merchants (retailers) between 1 and 3 percent depending on volumes. Some retailers don’t tell you about it and have included it in their price as a cost to do business. Other retailers either will not or can not hide these charges and ask the their customers to pay. Some retailers absorb Mastercard and Visa charges, but ask you to pay American express charges.
So, the question I have is, on say a $4,000 purchase, why should I be urged (or railroaded) to use one piece of plastic over another.
Well, it’s simple.
The bank makes 3% ($120)on one piece of plastic. And it makes dick on the other piece. In honesty, they are hoping we NEVER find out.
The plan could also be to restrict us in accessing our own money. Ooh! Conspiracy! Or it may just be a plan to suck as much money as they can out of retail merchants, which means… they are sucking money out of YOU! The bank does not care. They just take and take and take. And I don’t believe for a moment that they care about our security.
If you think I am wrong on the conspiracy, what the hell was that whole, ‘change the eftpos card to Visa debit card’ thing about. I’ll tell you what it was about. It was about banks snaffling somewhere between 1% and 3% on you transacting with YOUR money.
I got more.
A new book series on borrowing and how banks manipulate you will be on sale soon. Watch your wallets and purses, shoppers!
As for today’s experience, I am waiting for the written explanation from the Commonwealth Bank of Australia. I’ll be blogging their full response here.
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