Not impressed with BankWest

[opusman]

So it's a fact of life if you use credit cards online sooner or later your card number will get stolen and used fraudulently. I've had it happen a few times including just recently with Bankwest.

In all the other cases I can remember, once I disputed a charge as unauthorised it was removed from the statement until the bank's investigation was complete.

Turns out Bankwest's "policy" is that the charges stay on your statement for up to 8 weeks while they investigate. They advise continuing to pay your bill as normal - and if that means paying off the full amount, including the fraudulent charges.

Since this was about $4000 worth of fraudulent charges they can go jump! Of course if you don't pay off the full amount they'll charge interest - now they say they'll refund it, but what if that means interest also gets charged on other purchases too. Will they refund it all?

(Plus the fact they didn't even catch $4K of fraudulent internet charges themselves is also a worry. Not much of a fraud team!)

Seems outrageous to me, actually considering closing the account over it.

 

[get me outta here]

Yes, I have enquired with BW before re just general disputes and they want to do as you said. And, only option is to cancel the card immediately.

 

[BAM1748]

I previously had business with BankWest. But have nothing theri now.

Draw your own conclusions.

 

[There'sOnlyOneJimmy]

Just to clarify...
When you say “the charges stay on your Statement”, do you mean “the charges stay on your Account”?
I’m just wondering (and giving BW the benefit of significant doubt) whether they mean that the charges will stay on your account, but be flagged as Pending, during the investigation. In which case, they ought not hit your Statement, and so also ought not require payment (nor accrue any interest) in the interim.
If so, then no harm, no foul.

Or maybe I’m clutching at straws, and being far too optimistic... In which case it’s totally stinky behaviour and we should all cancel our accounts. After all, it’s only a matter of time before a fraudulent transaction will hit us all - particularly frequent travellers, and internet users.

 

[opusman]

Nope, they stay on the statement, fully payable like any other charges.

Here's what they said when I queried it:

You must continue to pay your credit card statement while the
transaction/s is/are being disputed and investigated.
If you pay the full statement balance: We recommend you continue paying
the full statement balance to avoid paying interest on your card,
however if the dispute is found in your favour, any interest charged due
to the unauthorised transaction will be refunded.

 

[There'sOnlyOneJimmy]

B@stards.
*Begins card cancellation process*

 

[TheRealTMA]

A difficult situation at times. You are not responsible for fraud on your card, unless you have contributed, which is very difficult for the bank to prove. Defined by Australian credit card laws.

One ignores the banks “suggestions” and makes a payment on time for only the legally due amount, less fraud charges and any interest or late payment fees for the fraud amounts. The bank can add whatever interest it wishes. You are not liable for that. The process can take up to two billing cycles in our experience.

NAB and Westpac and 28 degrees have tried this cough with us over the years and we ignore them.

One also cancels the current card and gets them to issue a new card and number which can be difficult when you are traveling. My 28 degrees card was compromised while we were on flight to LHR and we were notified of strange transactions when we arrived in UK. Cancelled card and got a new one but we’re nit in one place long enough to have it sent so we had it sent out 25 days later to Australian address.

Used MrsTMA’s card for month in UK and Europe and no one queried or even noticed.

 

[Renato1]

Very strange indeed.
Bankwest is owned by CBA, and I remember how one morning CBA rang me up and asked if I'd just spent $10,000 in a casino in Texas, whereupon they cancelled my card.

If Bankwest rang me up with the same news, and told me I'd have to pay the amount while they investigated, I'd be frothing at the mouth.

I'll cancel my card.
Regards,
Renato

 

[opusman]

I think if Bankwest had caught the transaction themselves I might be less annoyed about it. It seems like they don't have a fraud department at all!

 

[get me outta here]

That is a good point and question to ask, if they actually have a fraud department.

I think if Bankwest had caught the transaction themselves I might be less annoyed about it. It seems like they don't have a fraud department at all!

 

[get me outta here]

I am on a BankWest panel and get questionnaires. Last night I got one about the new credit file regs coming in and how much I as a customer knew about it. I took the oppo to ask what would happen if as a traveller I had a fraud on my BWW card and the bank expected me to cover that fraud whilst investigations took place. If I didn’t pay for that fraud, how would that go on my credit file.

I told them that I knew of people who planned to cancel their cc due to the bank telling people this. Further, I asked if their fraud department was up to the job.

 

[KateMayo]

I have had Bankwest ring me up to query a transaction whilst I’ve been overseas, so suspect they have some anti-fraud system in place

 

[cove]

We use Bankwest World in the UK as well as Australia and no issues for us.

 

[markyboy]

So it's a fact of life if you use credit cards online sooner or later your card number will get stolen and used fraudulently. I've had it happen a few times including just recently with Bankwest.

In all the other cases I can remember, once I disputed a charge as unauthorised it was removed from the statement until the bank's investigation was complete.

Turns out Bankwest's "policy" is that the charges stay on your statement for up to 8 weeks while they investigate. They advise continuing to pay your bill as normal - and if that means paying off the full amount, including the fraudulent charges.

Since this was about $4000 worth of fraudulent charges they can go jump! Of course if you don't pay off the full amount they'll charge interest - now they say they'll refund it, but what if that means interest also gets charged on other purchases too. Will they refund it all?

(Plus the fact they didn't even catch $4K of fraudulent internet charges themselves is also a worry. Not much of a fraud team!)

Seems outrageous to me, actually considering closing the account over it.

Stick with Amex. Never have to deal with that nonsense, and the fraud protection is best in class

 

[jb747]

Wow. What a good reason not to be a customer.

 

[get me outta here]

BWW is one of the few left to pay points on govt spends.

 

[shbap]

This sounds all too familiar.

I had about $5K with of fraudulent transactions hit my account over a 20 min period, about a week after returning from the USA. Received the overseas transactions notifications (via the mobile app). Immediately checked and called Bankwest, they put a stop on the card and gave me a new number...still went through a 5-6 week "investigation period" which only started after I sent in a PDF form (which I couldn't fathom in this day and age).

Billing cycle came and went but I didn't pay the due amount, and they eventually cleared up the fraudulent transactions and accrued interest. I remember correctly, all the current transactions including the fraudulent ones were moved across to the new account number. It wasn't fun dealing with them but I've kept the card as it serves the primary purpose (no fx fees, no annual fee, competitive fx rate).

Eventually, their processes will be subsumed by big brother CBA. I have found CBA still has the best customer service relatively (don't about Westpac, but certainly compared a bunch of others including the 4 out of the top 5).

 

[marki]

We use Bankwest World in the UK as well as Australia and no issues for us.

YET

I hope it stays that way

 

[bfm]

So it's a fact of life if you use credit cards online sooner or later your card number will get stolen and used fraudulently. I've had it happen a few times including just recently with Bankwest.

In all the other cases I can remember, once I disputed a charge as unauthorised it was removed from the statement until the bank's investigation was complete.

Turns out Bankwest's "policy" is that the charges stay on your statement for up to 8 weeks while they investigate. They advise continuing to pay your bill as normal - and if that means paying off the full amount, including the fraudulent charges.

Since this was about $4000 worth of fraudulent charges they can go jump! Of course if you don't pay off the full amount they'll charge interest - now they say they'll refund it, but what if that means interest also gets charged on other purchases too. Will they refund it all?

(Plus the fact they didn't even catch $4K of fraudulent internet charges themselves is also a worry. Not much of a fraud team!)

Seems outrageous to me, actually considering closing the account over it.

- - -

I suggest Bankwest are doing what every other bank does.

I have used Latitude Financial's (fee & OS charge fee free - 28 Degrees) card for many years while OS. Oft times I have had to contest transactions. ALWAYS have been instructed to pay in full and await resolution.

Invariably, the disputed transaction is awarded in myfavour and the payments I've made are returned.

I accept this asnormal.

Cheers

 

[Lawrage]

- - -

I suggest Bankwest are doing what every other bank does.

I have used Latitude Financial's (fee & OS charge fee free - 28 Degrees) card for many years while OS. Oft times I have had to contest transactions. ALWAYS have been instructed to pay in full and await resolution.

Invariably, the disputed transaction is awarded in myfavour and the payments I've made are returned.

I accept this asnormal.

Cheers

This is far from normal. I have had two cards compromised in the past ~10 years and both banks (NAB and Westpac) did not require me to pay the amount due.

It stayed on the statement until the matter was resolved but was not required to pay it.