Undisclosed 3% CC Surcharge for PlayStation Store Payment via PayPal

v8bargain on 11/09/2024 - 15:38
Last edited 11/09/2024 - 16:08

Hi All,

I'm hoping this is an isolated issue as I couldn't find much about this from online search.

There seems to be 3% CC surcharge when purchase made from PlayStation Store using PayPal linked to CC. This surcharge is not displayed on PayPal nor in PlayStation payment details. The worst kind of sneaky surcharge perhaps…

Eg: PlayStation chrage AUD$10.00 > PayPal debit AUD$10.00 from CC, but CC was debited AUD$10.30 instead.

To test this, I added funds into PlayStation Store directly using CC as well as using PayPal, the Bank is showing these pending transactions WITHOUT surcharge.

I'm wondering if anyone came across this before and know what's going on with this situation?

PS: already loged a transaction dispute with my bank.

Thanks in advance.

Edit: So there's a Foreign Fee on the same day as the PSN transaction that I missed. Still trying to find out who's being dodgy here.

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Comments

  • jizmo on 11/09/2024 - 15:52
    +7

    Probably find, it's an international transaction fee according to the bank.
    Who's the bank and what type of card?

    • askbargain on 11/09/2024 - 15:57
      +1

      Probably westpac and their shenanigans

      • v8bargain on 11/09/2024 - 16:06

        Yeah, it's a Westpac Altutude Black Card. Are they a repeated offender for this kind of thing?

        • askbargain on 11/09/2024 - 16:41

          Yep lol

          Their 3% is if the merchant is overseas. Other banks are if the currency is not AUD. Even through PayPal they will sting you the 3%.

          • v8bargain on 11/09/2024 - 16:46

            @askbargain: The merchant here should be Sony, right? They have an ABN and my transaction on PSN has 10% tax on it.

            I'm guessing this is something dealing with amounts too small for everyone to complain about it. Just like those sneaky CC surchrage from local cafe etc.

            • askbargain on 11/09/2024 - 16:48
              +5

              @v8bargain: Yep. Australian business but their payment processor is overseas.

              Switch to Citibank premier card. I’m assuming you don’t churn. Their point value is higher too. DYOR.

              Tell them to refund it or you will cancel the card then cancel the card and get citi.

              • jv on 11/09/2024 - 17:32
                +3

                @askbargain:

                Switch to Citibank premier card.

                OP is jumping up and down for 30 cents and you're telling them to get a card with a $300 annual fee???

                • askbargain on 11/09/2024 - 18:59

                  @jv: Fair comment but his current card has annual fee $295. I have a feeling OP isn't churning (so the first year fee on Westpac doesn't apply).

                  Also the points value earned on Citi is higher.

                  • v8bargain on 11/09/2024 - 20:40
                    +1

                    @askbargain: I got a deal with the card and don't have to pay annual fees. Guess that gives me the rights to jump up and down for 30 cents. :p

                    • mikekiwimike on 12/09/2024 - 08:39
                      +1

                      @v8bargain: Are you sure it is fee free? I had a fee free Altitude Black from 2013 …. and this year they charged me $295 - so I looked and I had been charged that last year too. After calling them and telling them that I had been offered the card fee free forever, the banker informed me that fee free is not possible anymore due to some royal commission outcome (or something like that)…. after a lot of back and forth the refunded me the last 2 years of fees and I closed the card.

                      TLDR: check that it is fee free as I was told that is not possible anymore.

                      • v8bargain on 12/09/2024 - 09:00

                        @mikekiwimike: It's a staff perk kinda thing. I have the card for more than a decade, and there's no annual fee forever AFAIK.

                        I have been paying more attention lately around what I supposed to pay vs what the transaction really is due to sneaky CC surchrage by local cafes, hence picked this up.

                        It's not something that I'd loss sleep to and I changed to use another card that clearly don't charge foreign fees.

                        I guess ignorance is a bliss to a point. :p

                        • mikekiwimike on 13/09/2024 - 08:18

                          @v8bargain: Lucky for you, I was told by the first Westpac contact center person, "Westpac had never had fee free Altitude black", clearly incorrect as I had one…. second CC person said that all banks had been required to stop offering fee free credit cards after the last royal commission into banks being assholes. So I guess they were lying somewhere along the way.

          • UrMumsOnlyFan on 15/09/2024 - 01:48

            @askbargain:

            Other banks are if the currency is not AUD.

            That is incorrect. If the merchant or payment processor is overseas then it will be treated as an international transaction (with applicable fees), regardless of AUD.

            CommBank - What is an international transaction fee?

            We charge you an international transaction fee when you make a purchase or obtain a cash advance (whether in a foreign currency or Australian dollars):

            • While overseas; or
            • In Australia (for example online) where there is an overseas connection, as the merchant, or the financial institution or entity processing the transaction, is located overseas.

            In some cases, overseas merchants may allow you to pay in Australian dollars, e.g. when you’re shopping online or over the phone. This is still considered an international transaction because your transaction is processed overseas.

            NAB - International transaction fees on your card explained

            An international transaction fee is a charge that applies to any transaction, including purchases and cash withdrawals, processed outside of Australia, or in a foreign currency.

            International transactions are transactions where the merchant, financial institution, or entity processing the transaction is located outside Australia. These transactions are either:

            • Single-currency international transaction: where the transaction or cash withdrawal is made in Australian dollars (AUD).
            • Multi-currency international transaction: where the transaction or cash withdrawal is made in a currency other than AUD.

            For example, you could be on a '.com.au' website and paying for the purchase in AUD. However, the transaction may actually be processed by the merchant outside of Australia, so the fee will apply.

        • foxmulder on 12/09/2024 - 14:53

          It does say foreign transaction fee of 3%.

        • UrMumsOnlyFan on 15/09/2024 - 01:58

          Are they a repeated offender for this kind of thing?

          No, it would have happened with other banks too.

    • v8bargain on 11/09/2024 - 16:05

      Guess what… There was a Foreign Fee on the same day as the PSN payment.

      However both PSN and PP are showing the transaction is AUD, one of them is being dodgy and I'm guessing it's PSN at the moment.

    • HeWhoKnows on 12/09/2024 - 08:13
      -3

      Fully agree. 3% is typical Foreign transaction fee.

      Why is OP complaining about 30c anyway?

      You gotta expect these fees nowdays wihen paying with PayPal and credit cards

      OP should ensure they use a credit card with ZERO FOREIGN TRANSACTION FEES

      Unbelievable someone would go to all the trouble of putting up a post and ranting on about 30c

      • v8bargain on 12/09/2024 - 08:53
        +3

        The 30 cents was just an example. It's a beautiful world mate.

  • Cluster on 11/09/2024 - 16:09
    +2

    It's probably your CC bank imposing the 3% surcharge. Some banks do it even when the payment is in AUD as the charge is still foreign.

  • mboy on 11/09/2024 - 16:11
    +1

    It's an overseas transaction fee. Has happened as long as I can remember when buying stuff from PSN and across multiple banks I've been with - and yes, it happens when using PayPal too. From memory, the charges occur to a PlayStation London account, which is why you get the fee.

    I agree that it's annoying and misleading (and possibly even illegal), but it's small amounts so it hasn’t bothered me too much. I've accepted this as I'm pretty sure all Australian customers get slugged with it (perhaps apart from those that use cards without international transaction fees).

    I couldn't find much about this from online search.

    Some reading material:
    https://forums.whirlpool.net.au/archive/3lyy0nm9
    https://www.reddit.com/r/playstation/comments/q7vnsp/psn_aus…

    To test this, I added funds into PlayStation Store directly using CC as well as using PayPal, the Bank is showing these pending transactions WITHOUT surcharge.

    The fees will be charged eventually. In my experience it doesn't always reflect immediately, or while the payment is pending.

    You can avoid the fee by buying and topping up your account with PSN Gift Cards, which you can buy from online and brick and mortar retailers.

    • mboy on 11/09/2024 - 16:26
      +4

      Also, just found this OzBargain Wiki page that I didn't know existed:
      https://www.ozbargain.com.au/wiki/australian_sites_that_char…

      Find 'Sony Entertainment Network (inc. Playstation Network)' in the table.

      Also, some interesting information at the top:

      If you buy from an “Australian” website that bills in Australian Dollars (AUD) but uses a foreign payment processor, the local bank charges their usual FX percentage on the AUD amount. This results from a change to the T&Cs on Mastercard and VISA effective 20th March 2014, but may also apply to bank-issued American Express cards.

      The problem is that there is no way that they or a cardholder can tell where a merchant will process a transaction. If the merchant does not disclose this on their website, there seems to be no way to tell.

      So it's been happening since 2014…

      • v8bargain on 11/09/2024 - 16:41
        +2

        Good to know and thanks for the efforts. They are small amounts and I rarely make purchase from PSN and didn't quite bother me until now.

    • HeWhoKnows on 12/09/2024 - 08:19
      -4

      You can avoid the fee by using a credit card with ZERO FOREIGN TRANSACTION FEES.

      There are a few around with ZERO annual fees these days

  • burningrage on 11/09/2024 - 16:14
    +2

    This is the reason why I do not purchase PSN games by linking to CC/Paypal. I always bought PSN Cards and load them up and use them for spending.

    The same goes to Apple ITunes and Steam.

    if you must do it, use either 28 Degrees or Bendigo Ready or any Debit Card with Free International Transaction Fee.

    • jv on 11/09/2024 - 17:33
      +1

      use either 28 Degrees

      that now has monthly fees.

  • v8bargain on 11/09/2024 - 16:15

    It looks like this is the same kind of issue as my purchase from Creative a long time ago. Everything in AUD but they use foreign party to process payment which led to additional foreign fee being charged.

    Let's see how the dispute goes…

  • jv on 11/09/2024 - 17:29
    -1

    PS: already loged a transaction dispute with my bank.

    For 30 cents ?

    • v8bargain on 11/09/2024 - 20:42
      +2

      The 30cents was just an example. The amount is more than that but not to a point I'd loss sleep. I don't pay any annual fees for the card, hence I'm a little upset with this kind of small fees rip off.

      • foxmulder on 12/09/2024 - 16:07

        I don't get it, you replied to someone that telling you it's a 3% foreign fees 23 hours ago, they do mention the fees page but then 4 hours later you say you open dispute re the charges that they are meant to collect. You lost sleep for 30c? Some people reserve the stress for things much bigger than this.

  • DingoBilly on 11/09/2024 - 18:02

    Just be aware from what I've read most people who lodge a dispute/chargeback seem to get their account suspended or permanently banned. Multiple reports of that happening available online.

    Not sure it's worthwhile over 30c…

    • askbargain on 11/09/2024 - 19:00

      Banned from Sony if that's not clear. Steam also bans if you chargeback.

      Westpac should investigate the chargeback first anyway without pushing it to the merchant.

      • jv on 11/09/2024 - 19:03

        Westpac should investigate the chargeback first

        AMEX doesn't

      • v8bargain on 11/09/2024 - 20:52

        The email from them saying they're going to investigate. I guess they'll point out the foreign fees that makes up the different first.

    • v8bargain on 11/09/2024 - 20:49

      Looks like they suspend the account on the ground of possible fraud or account take-over to investigate.

  • Liamhos08 on 12/09/2024 - 08:19
    +1

    International transaction fee. This is why I buy JBHiFi gift cards from Shopback to add funds.

  • JimmyF on 12/09/2024 - 09:32

    Eg: PlayStation chrage AUD$10.00 > PayPal debit AUD$10.00 from CC, but CC was debited AUD$10.30 instead.

    Welcome to overseas merchant fees.

  • clover on 12/09/2024 - 18:43

    It is the FX fees. I have seen many websites liek that : booking.com, klook, etc… I used bankwest or citi debit when buying from those site

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