One swipe at gas pump may not cut it

Itsme · 05-30-2006, 03:10 PM

One swipe at gas pump may not cut it

Some stations have $50 credit card limit

By Michael Stetz
STAFF WRITER - San Diego Union Tribune

May 30, 2006

Need a fill-up?

Like many, you might just swipe your credit or debit card at the pump. After all, with gas prices going through the roof, who carries around that kind of cash besides, maybe, Tony Soprano?

But even plastic has its problems.
Now, if you use a debit or credit card, you might get cut off when you reach a certain amount – in some cases as little as $50 – regardless of how flush you are.

If you want more gas, you have to swipe the card again.

If you're filling up a motor home, it could take a few transactions.

If you don't realize this little quirk, you could pull away from the pumps with your car – or more likely an SUV or truck – not completely filled.

This wasn't an issue a few years ago, when gas was more affordable. But prices are now at a record high.

And $50 just won't cut it in some cases.

“People get angry,” said Dave Whitlow, who owns Spirit Auto Center in Lakeside, where there is a $50 limit on debit transactions.

“Fifty dollars – that barely fills up an economy car.”

It's a bank, credit card and a gasoline industry thing. And it's more than a little confusing.

Buying gas with a credit or debit card is not like buying groceries with your plastic. When it comes to gas, you're swiping the card before the actual purchase.

So it's an unknown how much you're going to spend.

A limit is placed on the purchase, to protect the merchant and credit card company from being hosed. In the not-so-recent past, $50 seemed like a reasonable limit because that could fill up most tanks.

The figure is important for two reasons. First of all, you can't use your card if you don't have at least that much money in your account. Even if you only want $20 worth of gas, you got to have at least $50 in the bank or available in credit.

So the limit can't be too high – or else consumers will be disapproved. And, of course, put off.

Second, the bank puts what is called a “hold” on the full amount until the transaction is actually completed. The banks don't want you to drain your account before it gets the money for the gas.

And that takes about a day or so. It doesn't matter if you got only $10 worth of gas. You're hold is for the full $50. That means you can't touch the other $40 until the transaction clears.

Because of the increase in gas prices, the pre-authorized amount may now be too low in some cases, said Tracey Mills, a spokeswoman for the American Banking Association, which represents, in addition to banks, credit card companies.

But it's a tricky thing. As said, if the figure goes up dramatically, people could be priced out of using their cards. And the resulting larger holds could tie up people's accounts more dramatically.

People used to complain that the $50 hold was too high, Mills said.

“They tried to make a system so that both merchants and consumers are happy, and now everybody's complaining,” she said.

Gas station operators are upset because they get grief. Some consumers can't get a tankful of gas without hassle.

“It's kind of a pain,” said Rob Brownlow, who manages Bundy Trucking, which has a fleet of 17 trucks. Each one holds about 200 gallons.

When his truckers started getting cut off, they found a solution at one particular station. They could fill up without worry as long as they first took the credit card inside to the station attendant.

The debit and credit card system is hardly consistent. Some credit card companies and gas providers are upping their limits; others are not. All apparently have at least some limit.

At OB Gas, for instance, the pre-authorized amount for most purchases is $75, said owner Paul Garby.

His station, which is independently owned, sets it, he said. It used to be $50, but that was too low. He hasn't received complaints since it was increased.

Exxon Mobil sets its own limits by working with credit card companies, said Rebecca Chen, a spokeswoman. The limits were increased last November, she said. On debit cards, it went from $50 to $75. On credit cards, the limit was $75. Now it's $100.

Valero still has a limit of $50 for debit card transactions and $75 for credit card swipes at its company-operated gas stations. It also encourages its independent dealers to follow suit.

But the company is now looking at a possible increase in California. It could be bumped up to $60.

Because . . .

Big surprise: Gas doesn't seem to be getting any cheaper.

DarkFury · 05-30-2006, 07:09 PM

Just use a credit card sponsored by the gas station of your choice... I'm sure that they won't have a $50 limit on those.

/me still uses the Shell Mastercard with 5% back on all gas purchases.

Houdini · 05-31-2006, 01:23 AM

Quote:

Originally Posted by DarkFury

Just use a credit card sponsored by the gas station of your choice... I'm sure that they won't have a $50 limit on those.

/me still uses the Shell Mastercard with 5% back on all gas purchases.

Heh....I'm still scared of Shell ever since they had that contamination problem a couple of years ago, screwing up people's gas level sensors, among other things.

Jeffbx · 05-31-2006, 06:03 AM

Sheesh - I hit this last year. When I go to buy gas for my jetski, I have a 28 gallon gas dock that I fill up, along with a handful of 5 gallon cans. The station I go to has a $75 limit, then I have to turn off the pump & start again. Sucks.

DarkFury · 05-31-2006, 07:49 AM

Quote:

Originally Posted by Houdini

Heh....I'm still scared of Shell ever since they had that contamination problem a couple of years ago, screwing up people's gas level sensors, among other things.

Huh? I never had any problems with them... and I've been buying Shell gas exclusively since about 1990.

nickel · 05-31-2006, 08:34 AM

Quote:

Originally Posted by DarkFury

Huh? I never had any problems with them... and I've been buying Shell gas exclusively since about 1990.

Quote:

Miami Drivers Sue Shell, Refiner Over Gas Guage Problems
MIAMI June 8, 2004; Cathrine Wilson writing for the AP reported that lawyers for motorists with broken gas gauges will seek more than $100 million in damages from Shell and its refiner Motiva Enterprises for repairs, insurance claims and lost time blamed on high-sulfur gasoline pumped in May.

The Florida Circuit Court suit estimates 1 million vehicle owners pumped defective gas supplied by the Shell-owned refinery before Shell and Texaco shut down about 400 stations just before the Memorial Day holiday weekend.

The suit, filed Tuesday, is the second to be filed in Florida over the gas pulled from the market last month. The latest seeks class-action status to cover anyone damaged by the gas sold in Florida.

Karyn Leonardi, spokeswoman for Shell and Motiva, said the company had not yet seen the lawsuit and had no comment on it. But she said Shell "responded quickly and appropriately to minimize the impact on customers" by suspending sales and replacing defective gas.

The earlier suit was filed in federal court in Fort Lauderdale.

High sulfur levels can break gas gauges and make them read full when tanks are empty.

"In order to correct it, it costs anywhere from $400 to $1,000 per vehicle depending on the make and model," said attorney John Ruiz, who sued on behalf of three Miami gas purchasers.

The suit seeks money for the fuel, replacement parts, repair costs, rental cars used when vehicles were in for repairs, loss of the use of vehicles, towing charges and insurance deductibles. The suit also seeks future damages for any higher insurance premiums and any loss in vehicle resale values.

After the holiday, Shell said it had received about 15,000 calls from consumers in Florida, Mississippi and Louisiana about the tainted gas. About 9,000 claims have been filed to fix faulty gas gauges in the three states.

On Tuesday, Shell released a list of 80 auto service centers in Florida where drivers may go for repairs and be reimbursed without an estimate.

Problem fuel turned up in shipments to Miami, Fort Lauderdale, Tampa, Sarasota and New Orleans.

http://www.theautochannel.com/news/2...08/199111.html

Found this also about Shell:

Quote:

2. Why boycott Shell?
Since the Nigerian government hanged 9 environmental activists in 1995 for speaking out against exploitation by Royal Dutch/Shell and the Nigeria government, outrage has exploded worldwide. The tribunal which convicted the men was part of a joint effort by the government and Shell to suppress a growing movement among the Ogoni people: a movement for environmental justice, for recognition of their human rights and for economic justice. Shell has brought extreme, irreparable environmental devastation to Ogoniland. Please note that although the case of the Ogoni is the best known of communities in Shell's areas of operation, dozens of other groups suffer the same exploitation of resources and injustices.

The Problem

"The most conspicuous aspects of life in contemporary Ogoni are poverty, malnutrition, and disease."
-Ben Naanen, Oil and Socioeconomic Crisis in Nigeria, 1995, pg. 75-6
Although oil from Ogoniland has provided approximately $30 billion to the economy of Nigeria1, the people of Ogoni see little to nothing from their contribution to Shell's pocketbook. Emanuel Nnadozie, writing of the contributions of oil to the national economy of Nigeria, observed "Oil is a curse which means only poverty, hunger, disease and exploitation" for those living in oil producing areas2. Shell has done next to nothing to help Ogoni: by 1996, Shell employed only 88 Ogoni (0.0002% of the Ogoni population, and only 2% of Shell's employees in Nigeria)3. Ogoni villages have no clean water, little electricity, few telephones, abysmal health care, and no jobs for displaced farmers and fisher persons, and adding insult to injury, face the effects of unrestrained environmental molestation by Shell everyday.

Since Shell began drilling oil in Ogoniland in 1958, the people of Ogoniland have had pipelines built across their farmlands and in front of their homes, suffered endemic oil leaks from these very pipelines, been forced to live with the constant flaring of gas. This environmental assault has smothered land with oil, killed masses of fish and other aquatic life, and introduced devastating acid rain to the land of the Ogoni4. For the Ogoni, a people dependent upon farming and fishing, the poisoning of the land and water has had devastating economic and health consequences5. Shell claims to clean up its oil spills, but such "clean-ups" consist of techniques like burning the crude which results in a permanent layer of crusted oil meters thick and scooping oil into holes dug in surrounding earth (a temporary solution at best, with the oil flowing out of the hole during the Niger Delta's frequent bouts of rain) 6.

much more info at link: http://www.essentialaction.org/shell/issues.html

Not saying only Shell participates in this kind of stuff, but there you have it.

Markel · 05-31-2006, 09:46 AM

Quote:

Originally Posted by DarkFury

Just use a credit card sponsored by the gas station of your choice...

Better yet, a credit card that lets you choose the station of your choice (and still gives a 5% rebate).

DarkFury · 05-31-2006, 09:57 AM

Quote:

Originally Posted by Markel

Better yet, a credit card that lets you choose the station of your choice (and still gives a 5% rebate).

True... however you gotta be careful if those cards impose limits on how much you can get back... or other associated "hidden fees"

DarkFury · 05-31-2006, 10:06 AM

Quote:

Originally Posted by Houdini

Heh....I'm still scared of Shell ever since they had that contamination problem a couple of years ago, screwing up people's gas level sensors, among other things.

Quote:

From Nickel's quoted post...

Problem fuel turned up in shipments to Miami, Fort Lauderdale, Tampa, Sarasota and New Orleans.

Guess that is why I never heard about it.. But, a question... is this saying that an accident like this couldn't happen with any of the other refiners of gasoline? Just asking...

The main reason I use Shell now versus BP/Amoco is... back when I had my 1989 Furd Probe, I used to get slight pinging when I put in Amoco gas and that pinging went away when I switched to Shell. Since then, I've been a pretty faithful Shell customer (the 'Bird has had nothing but Shell since 1996... and 10 years later, she still runs very good.) and I've not had any major problems with it. Then they gave me the "Shell card" and saving that additional 5% per gallon just made the deal even sweeter.

Maybe one day I'll switch to a different company... but so far... I've liked the performance that I've gotten from it (even though it generally costs a few cents more than BP/Amoco here.)

nhbilly · 05-31-2006, 12:42 PM

no wonder

Cheesypuff · 05-31-2006, 01:11 PM

Quote:

Originally Posted by DarkFury

Huh? I never had any problems with them... and I've been buying Shell gas exclusively since about 1990.

I've noticed that shell gas cost about 7-10 cents more then other gas places like USA, flying J, etc etc

and I still save 5% at the pump with my card

DarkFury · 05-31-2006, 05:48 PM

Quote:

Originally Posted by Cheesypuff

I've noticed that shell gas cost about 7-10 cents more then other gas places like USA, flying J, etc etc

and I still save 5% at the pump with my card

True... but I just don't trust those places.

If I had to switch... it would probably be back to BP for me. We don't have Chevrons here... so that's out.

Houdini · 05-31-2006, 05:58 PM

Quote:

Originally Posted by DarkFury

Guess that is why I never heard about it.. But, a question... is this saying that an accident like this couldn't happen with any of the other refiners of gasoline? Just asking...

No, but I was worried about residual contaminated tanks and avoided them for a LONG time. I mainly use EXXON or Chevron 93 octane. I still go to Shell stations if there's no other station around, or if there is one north of the problem area, or if it is significantly cheaper than the other two, but that's just my paranoia. Companies sell their stuff to other companies all the time, especially to the smaller no-name gas stations. I have nothing against the Shell, except that for a while the queen of Holland was the majority shareholder.

I do know some people who STILL won't buy EXXON since the Valdez ripped open, but that's something that I really can't blame on the company, especially as they went to great expense and effort to fix the problem. Shell's quality assurance is what bothers me. I've gotten bad tanks of gas, though, at other stations., but nothing that has Effed up any of my past cars permanently or expensively. But fuel filters are a PITA to change, and you get very nervous doing so, as you're usually covered in gasoline (even worse in the winter - then you're covered in something that's evaporating and you're cold to begin with....brrrr...), and they're even harder to access in some cars due to the electric pumps.

But I ramble.

H <----real initials are actually BP

05-30-2006, 03:10 PM	#1
Itsme Vice Admiral Join Date: Aug 2004 Location: Southern California Posts: 4,813	One swipe at gas pump may not cut it One swipe at gas pump may not cut it Some stations have $50 credit card limit By Michael Stetz STAFF WRITER - San Diego Union Tribune May 30, 2006 Need a fill-up? Like many, you might just swipe your credit or debit card at the pump. After all, with gas prices going through the roof, who carries around that kind of cash besides, maybe, Tony Soprano? But even plastic has its problems. Now, if you use a debit or credit card, you might get cut off when you reach a certain amount – in some cases as little as $50 – regardless of how flush you are. If you want more gas, you have to swipe the card again. If you're filling up a motor home, it could take a few transactions. If you don't realize this little quirk, you could pull away from the pumps with your car – or more likely an SUV or truck – not completely filled. This wasn't an issue a few years ago, when gas was more affordable. But prices are now at a record high. And $50 just won't cut it in some cases. “People get angry,” said Dave Whitlow, who owns Spirit Auto Center in Lakeside, where there is a $50 limit on debit transactions. “Fifty dollars – that barely fills up an economy car.” It's a bank, credit card and a gasoline industry thing. And it's more than a little confusing. Buying gas with a credit or debit card is not like buying groceries with your plastic. When it comes to gas, you're swiping the card before the actual purchase. So it's an unknown how much you're going to spend. A limit is placed on the purchase, to protect the merchant and credit card company from being hosed. In the not-so-recent past, $50 seemed like a reasonable limit because that could fill up most tanks. The figure is important for two reasons. First of all, you can't use your card if you don't have at least that much money in your account. Even if you only want $20 worth of gas, you got to have at least $50 in the bank or available in credit. So the limit can't be too high – or else consumers will be disapproved. And, of course, put off. Second, the bank puts what is called a “hold” on the full amount until the transaction is actually completed. The banks don't want you to drain your account before it gets the money for the gas. And that takes about a day or so. It doesn't matter if you got only $10 worth of gas. You're hold is for the full $50. That means you can't touch the other $40 until the transaction clears. Because of the increase in gas prices, the pre-authorized amount may now be too low in some cases, said Tracey Mills, a spokeswoman for the American Banking Association, which represents, in addition to banks, credit card companies. But it's a tricky thing. As said, if the figure goes up dramatically, people could be priced out of using their cards. And the resulting larger holds could tie up people's accounts more dramatically. People used to complain that the $50 hold was too high, Mills said. “They tried to make a system so that both merchants and consumers are happy, and now everybody's complaining,” she said. Gas station operators are upset because they get grief. Some consumers can't get a tankful of gas without hassle. “It's kind of a pain,” said Rob Brownlow, who manages Bundy Trucking, which has a fleet of 17 trucks. Each one holds about 200 gallons. When his truckers started getting cut off, they found a solution at one particular station. They could fill up without worry as long as they first took the credit card inside to the station attendant. The debit and credit card system is hardly consistent. Some credit card companies and gas providers are upping their limits; others are not. All apparently have at least some limit. At OB Gas, for instance, the pre-authorized amount for most purchases is $75, said owner Paul Garby. His station, which is independently owned, sets it, he said. It used to be $50, but that was too low. He hasn't received complaints since it was increased. Exxon Mobil sets its own limits by working with credit card companies, said Rebecca Chen, a spokeswoman. The limits were increased last November, she said. On debit cards, it went from $50 to $75. On credit cards, the limit was $75. Now it's $100. Valero still has a limit of $50 for debit card transactions and $75 for credit card swipes at its company-operated gas stations. It also encourages its independent dealers to follow suit. But the company is now looking at a possible increase in California. It could be bumped up to $60. Because . . . Big surprise: Gas doesn't seem to be getting any cheaper.

05-30-2006, 07:09 PM	#2
DarkFury Secretary of the Navy Join Date: Feb 2001 Location: Chillin' N Da 'Hood Posts: 34,997	Just use a credit card sponsored by the gas station of your choice... I'm sure that they won't have a $50 limit on those. /me still uses the Shell Mastercard with 5% back on all gas purchases. __________________ DarkFury's Pimptopia - Don't Hate the Playa, Hate the Game! Home of the Original OG Pimp (accept NO imitations)

05-31-2006, 12:42 PM	#10
nhbilly Commander Join Date: May 2000 Location: santa ana ca usa Posts: 1,156	no wonder __________________ PAIN IS WEAKNESS LEAVING YOUR BODY.....

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05-31-2006, 06:03 AM	#4
Jeffbx Fleet Admiral Join Date: Mar 2000 Location: Michigan Posts: 9,390	Sheesh - I hit this last year. When I go to buy gas for my jetski, I have a 28 gallon gas dock that I fill up, along with a handful of 5 gallon cans. The station I go to has a $75 limit, then I have to turn off the pump & start again. Sucks.

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