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Anyone Aware of This?


sockmonkey
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Here is a policy of Craftlobby.com regarding their shipping: Reserves:

Please note that when you place an order, Yahoo places a reserve on your credit or debit card. It will be the total of your order plus $25.00. This reserve will help expidite the processing of your order, should any changes be required. When the order ships, the correct amount is charged and the reserve is released.

I was not aware that they had this policy. I have ordered from them a few times in the past and was well aware of their hideous shipping charges, but didn't know they did this! Don't you love that they say "Yahoo" places a reserve on your card, instead of Craft Lobby places a reserve on your card?

I tried calling the company to get an explanation for how this expedites an order, but keep getting a recording. This is insane. It seems like this should be against the law.

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I swear I've heard of this type of problem with people using their debit cards at gas stations too and if they had a really low balance, actually had things bounce. That when they swiped the card it automatically held 25 or 50 bucks before you filled up.

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As for the when you use the debit card at the gas stations (and other places) it basically does a check for a certain amount, such as $25. They do this because there were so many people that would fill up (remember you don't know exactly how much the price will be when you are done filling up since it always changes) only to have their credit/debit card charge denied, so this is a way of protecting themselves. Hotels, rental car places, etc all do this.

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I can tell you why they do it.

Because it sucks when a customer buys something from your website and you get an authorization number from the CC processor at the time of order...and then 3 days later when you go to ship and try to charge their card, you find out they maxed it out in the meantime and the charge is declined. This is especially annoying when you custom-make items. Or you do batch CC transactions at the end of the day, after you've shipped. (BTDT, won't do that again!) :mad:

Or maybe they have a fulfillment house drop ship orders for them, and have to pay fees if the charge doesn't go through after the order's been packed?

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Rather than this "reserve" they place on every order, they should do as other businesses do--assess a $25 fee to anyone whose card is rejected.

If someone's card gets maxed out it's probably because of their high s&h charges! Forty percent and up for small orders is extreme, and then on top of that the "borrow" an extra $25. That's outrageous!

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