Payment Sense / FDGL Contract Issues

[kaggylupin]

I am writing to see if anyone else has had problems with Payment Sense ( FDGL) in response to them no longer been affiliated to a bank. I cancelled my FDMS / RBS contracts due to the fact that they had breached it and are no longer taking payments through the RBS. I have now been billed for over £550, for terminating the leasing side of the contract which apparently has not been affected by the change. My argument is that the contract we agreed at the time was that the merchant services were affiliated to a bank, RBS (trading as FDMS) now they can no longer process my payments though a major bank and I do not wish to use First Data Europe Limited (also now trading as FDMS) as my merchant acquirer. I signed and agreed the FDGL contract after signing the FDMS contract as they were affiliated to a major bank.
Therefore, I feel penalised that I either accept the changes they are suggesting or pay the contract up, it also appears that I am bound by the contract terms even if I tried to transfer the terminals to use though another provider.
Can anyone offer advice I don’t really think it’s fair to charge excessive amounts for termination because of this.
To be fair the last time I posted a problem about payment sense on here they were a lot better than the help line and did sort the issue out for me.

 

[LMDServicesUK]

I am writing to see if anyone else has had problems with Payment Sense ( FDGL) in response to them no longer been affiliated to a bank.

I cancelled my FDMS / RBS contracts due to the fact that they had breached it and are no longer taking payments through the RBS. I have now been billed for over £550, for terminating the leasing side of the contract which apparently has not been affected by the change.

My argument is that the contract we agreed at the time was that the merchant services were affiliated to a bank, RBS (trading as FDMS) now they can no longer process my payments though a major bank and I do not wish to use First Data Europe Limited (also now trading as FDMS) as my merchant acquirer.

I signed and agreed the FDGL contract after signing the FDMS contract as they were affiliated to a major bank.

Hi I am sorry to learn you are having problems with us, but you have been seriously misinformed..

Have we actually stopped settling payments processed through your FDMS Merchant account to your Business account ?

Who advised you to cancel your account and lease agreement ?

Why do you think FDMS can no longer process your payments ? This is an administrative change and FDMS are now a principal member of both the VISA and MasterCard Schemes, so they no longer need to be sponsored by a UK Bank (e.g. an existing Card Scheme member).

I quote from an internal announcement..

"Currently our merchants receive card acceptance services from FDR Limited (FDR) under the sponsorship of the Bank of Scotland plc. Going forward FDMS will directly provide our merchants with their merchant acquiring services.​

​

​

Please be assured that all operational aspects of their merchant acquiring services, will remain the same and merchants will continue to be supported by the same First Data Merchant Solutions team that supports them today.​

A letter has been sent to all customers advising them of the change which is effective from 7

November 2013."

I am afraid you have been seriously mis-informed by somebody ( another ISO perhaps wanting you to switch to them ?) and as a result are in breach of your contract with FDGL and FDMS, so if you go through with the cancellation those charges are fully enforceable..​

I will also escalate this issue on your behalf with PS if you please PM me your details so I can get a case opened on your behalf, assuming you have not already done so yourself ?

Rgds

Mark


​

 

[kaggylupin]

Mark, I can see the argument for the FDGL contract but can you explain why I am in breach of the FDMS contract?? I thought they had breached their contract. Can you explain this to me as I have just received a £200 bill.

 

[Sparx]

Why have PS breached contract? Have they stopped providing you with a service? Are funds taking longer to settle in your bank account? Have you or your business suffered financially because of this change in anyway?

I'm confused..

 

[Mayor]

With both sides conversing with each other, I'm not sure that a public forum is a good place for the discussion ?

 

[LMDServicesUK]

Mark, I can see the argument for the FDGL contract but can you explain why I am in breach of the FDMS contract?? I thought they had breached their contract. Can you explain this to me as I have just received a £200 bill.

Hi

Your agreement for Merchant services with FDMS can be cancelled at any time, however FDMS do reserve the right to charge a cancellation fee of £ 200 which they can apply at their discretion. If you only entered into your agreement in the Summer you cannot be surprised that they have chosen to recover their set up costs ?

Exactly how have FDMS failed to deliver the service you contracted for, as I have asked before, did they ever stop processing payments as taken through your terminal or undertake any other material breach of their agreement with you ?

The change re HBOS sponsorship was purely administrative and had no impact on the service you were contracted to receive from FDGL & FDMS.

Again who advised you that this was legitimate grounds to break your contract ? They were very wrong.

This clause is in the T's & C's you signed up to, and are contained in the merchant hand book that is delivered with the terminal.

PaymentSense is a Reseller of these companies services, your contract is and always was with FDGL and FDMS and they are separate agreements

On a personal level I realise this must be very upsetting and stressful, but had you chosen a more diplomatic approach to exiting your contract due to your business not developing as you expected (after 6 months trading ?), you may have been able to get PS to help negotiate away the cancellation fees as imposed by FDMS.

Sadly I suspect your bridges are now burnt, although I will raise you case with our CS team (again) to see if we can get you some relief, but I cannot make any promises.

Mark