First Data Merchant Solutions

[julrig]

I can't believe this! I have just resolved a contract issue with First Data Global Leasing over £190 they wanted. Today I receive a letter from First Data Merchant Solutions wanting £200 for termination fee. They say it is in the 'terms and conditions'. I have only ever had a contract in my possession they say the contract is for the equipment only. I have not got their terms and conditions and I was never advised of a £200 fee should I at any point wish to cancel. I really don't know what to do they are causing so much stress.

 

[Chip&PinBDM]

You would have signed a contract with First Data Global Leasing for the terminal you're using. even if you've terminated the merchant account, depending on whether you're a sole trader or partnership/limited company, and the amount of time from the date you signed the agreement, you could be liable for outstanding fees as outlined in your leasing agreement.

The person who sold you the package should really have pointed this out to you before you signed.

 

[julrig]

I understand if I terminated early I would have to pay a termination fee. The hire term was for 18months in 2009 so I am well over that period, that was for the terminal hire so that issue is now resolved. I am now being asked to pay £200 for the termination of the Merchant services. I dont recall having a separate contract and dont have any in my possession which I would have kept if so. This just doesnt seem right, it means that anyone who has a contract with First Data Merchants would have to pay £200 regardless of the time with them should they wish to leave?? Any advice?

 

[a1anm]

We had an ecommerce merchant account with FDMS for just over 2 years. We just recently cancelled it and got hit with a £200 termination charge! They said it was in their T&C's and sure enough when I checked all the document they sent it was part of the agreement.

Very frustrating but probably not much you can do about it.

 

[julrig]

When you checked your t&c had you signed an agreement with them on.
I have been told by Trading Standards they can't just provide a piece of paper it has to be signed that you agree to the t&c.

 

[a1anm]

When you checked your t&c had you signed an agreement with them on.
I have been told by Trading Standards they can't just provide a piece of paper it has to be signed that you agree to the t&c.

No, I hadn't signed it. It was just a little leaflet explaining different charges and one of them was a termination charge of £200. Think it's too late for us now as we have already paid it

 

[AndyP]

Playing devils advocate I suspect that whatever you (the OP) signed it had a reference to agreeing to the T&C's. That's usual practice anyway. It would be worth checking though but I would be amazed if the company hadn't covered themselves with an T&C's agreement clause.

 

[julrig]

I sent a letter yesterday by recorded delivery disputing the termination fee of £200. Will see what happens.

 

[julrig]

Apparently what I signed was an agreement with First Data Ltd (First Data Global Leasing) for the Hire of the terminal I have checked this and can't find anything that states a termination fee for the merchant. I don't have any other paperwork..

 

[WelshSME]

I am having a nightmare with First Data. They increased our fees at the start of May. I have been calling them since 17th April to discuss the new rates and confirm if a Termination Fee applies as they have increased rates. Not a single returned call. They are adamant that they can increase rates at any time and the termination fee will still apply. Is this legal? Thought there was a law against Unfair Contracts.

 

[julrig]

My advice would be to check with Trading Standards. First Data have been extremely difficult to deal with. I only got anywhere when I put it in writing. To cut a very long story short I did get the termination fee waived....

 

[ShopC]

I have not used my offline payment terminal for quite a while so decided to cancel the direct debit payment. When I approached First Data to cancel the account relating to this machine they informed me there would be a £200 cancellation fee. This wasn't pointed out to me in advance - nor would I expect to pay such a fee having used the service since 2008 and already paid monthly fees for an account that wasn't even used. This sort of practice should be illegal.

 

[julrig]

You must dispute this fee with First Data, likewise I was never advised of a fee nor had I signed anything accepting this termination fee, I had also been with them for a number of years. I eventually sorted it out with their complaints dept and they did waive the fee but it was a struggle. I would start with a phone call as they never even replied to the recorded delivery letter I sent. Good Luck

 

[billett05]

I received a termination letter yesterday. Im going to look at disputing it today. I have had my account for about 4-5 years now and barley used, but still paid regardless.

My company is closing down and tbh I dont have the money to pay it. I had also never been advised of a fee when taking out the account, of which I obtained via sagepay. I ran through the T&C's they sent me and there is no reference to prices, i have never recived any fee information over the years, so in theory the line stating

"29.2.6 - you will pay us a Termination Fee."

would mean that they could charge me £10k and I would still be leagally liable to pay them. It's almost criminal!

 

[exceedmedia]

Me too! Just terminated my First Data contract and Payment Sense ecom gateway and was informed about the £200 termination fee. Bunch of rip off merchants if ever there was one with really poor rates and their customer service department is simply awful. Not sure if anybody else notices it, but they dont use noise cancelling headsets, so every time you call up its like shouting across a pub to talk to the person involved.

Another annoying thing is that they create support tickets EVERY time you talk to them and close them straight afterwards... Is this some kind of incestuous back slapping on their part, so they can look at their support ticket stats and see XXX created, and YYY solved?

I could go on and on about the fact that in 14 months they have NEVER gotten our company name right.

And while were on the subject of that unholy PaymentsSense/FDMS union... come on paymentSense, sort out your bloomin' phone numbers and dialling options. I thought Aviva had a bad enough system but seriously guys, I have NEVER managed to get through the the correct departement, and even when we get through to one of your people, 9 times out of 10 it has been redirected to First Data!!

Incidentally, just moved across to Barclays Merchant Services and SecureTrading... what a breath of fresh air... great rates and excellent support, would thoroughly recommend them...

 

[msalih90]

Me too! Just terminated my First Data contract and Payment Sense ecom gateway and was informed about the £200 termination fee. Bunch of rip off merchants if ever there was one with really poor rates and their customer service department is simply awful.

did you pay the 200 in the end?
im refusing to at the moment, i agree to pay the 190 fee for the whipeing of the terminal but the extre 200 is a load of rubish.
the sales person is now a regular customer of mine and has left payment sense and he himself says he did not know about the 200 charge

 

[ARGParker]

We were very low users with Elavon when a sales Rep came to sell the benefits of moving to first Data. We were promised 18 months contract then leave when you want. We had to pay the minimum about the same as Elavon but in busier months saved a few pounds. Over the whole period we saved probably 50 quid now they want to charge thje £200 cancellation fee on merchant services a cancellation fee on the actual machine and even though we have written to cancel the contract they are continuing to try to bill us for the machine we no longer have!

Why would we have moved companies to save £50 if we were going to be hit with exit fees of over £400.

I am a Sole Trader and someone mentioned Sole trade exit strategy??? I am holding out against an obviously unfair and unscrulous pratice.

By the way our original info from BoS says that a "£200 fee MAY be" charged but as they give no specific reasons as to why it may be charged I should think it is a pointless clause legally.

 

[Ian Spielman]

When taking a contract out with any company one has to ensure they read small print.

I currently represent a company introducing to FD (no, not payment sense) I am self employed and when I go see potential clients I ensure to point out all small print so Im sure people understand what they are signing. Admittedly I have lost a couple of potential accounts as a result but I find that people prefer honesty AND I have seen the results of people being missold contracts.

Having said the above, I am almost 100% sure that FD MIDs are max 12-18 months. However, that is only if you don't have a chip and pin machine with FDMS in which case you would be signing an extra contract for it (up to 48 months with FDMS). Its also worth noting that if you signed up with FD through the likes of myself, or Payment sense, FD would only be responsible for your merchant account.

Sorry fee the rant but feel free to grill me should you choose.

Ian Spielman
Fidelitypayment.com

Sent from my GT-I9100 using UK Business Forums

 

[Ian Spielman]

Just re read your issue. If I may say, it might be worth double checking with FD re cancellation fee on you merchant account as far as I am aware no such thing exists. Where they are charging you is £190 for cancelling your terminal contact prior to the minimum term. If you got your machine from them too....
They SHOULD NOT be charging anything else.

Sent from my GT-I9100 using UK Business Forums