PEN or PIN is the brilliant, new initiative from 4 June 2008 to slowly move from authenticated signatures on credit card transactions to the use of a PIN, as with EFTPOS transactions.The official new credit card operating procedures for all staff include the following key requirements in the Staff Training Materials:
• If the customer says it’s a ‘credit’ transaction, ask them if they want to enter their PIN.
• If the customer elects to use their PIN, ask them to enter their PIN into the PIN pad.
• Q: How will my procedures change? A: Your procedures should not change too much. When you ask the customer which account they wish to use they will respond with ‘credit’, ‘cheque’ or ‘savings’. If they say ‘credit’ ask them if they want to use their PIN. If they say ‘yes’ then pass them the PIN pad (or turn it) and ask them to enter their PIN then press the ‘OK/ENTER’ button. If the transaction is approved, pass one receipt to the customer and retain the other for your records. There is no need to ask the customer to sign the signature slip if the PIN has been used and the transaction has been APPROVED.
But that's not how it works at Outlet Books.
Today a customer when in to purchase a book and told the staff member that it was a credit transaction with a PIN.
The staff member proceeded to finalise the transaction - contrary to the above operating procedures - without querying if the customer intended to use a PIN and did not offer the customer the machine to key in the PIN.Outlet Books at the Brisbane Airport DFO where
the slogan: "Pen OR PIN - Now you have a choice"
means absolutely nothing!
PIN or OK?
But the staff member chose to disregard this - overriding the customer's choice - and was therefore solely responsible for placing the customer in such a predicament.
After this was explained by the customer to the Manager, she fumed that every transaction cost her money to process but she would refund the amount.
She then proclaimed that she would NOT re-process the sale as a credit transaction with a PIN.
Outlet Books Pty Ltd uses the Commonwealth Bank as its Merchant Bank who really should crack down on this sort of commercial bastardry where a customer properly insists on an electronic refund and is then told that the bookstore will NOT re-process the order, and is therefore denied the right to purchase the book of their choice via the credit card and transaction type of their choice. This matter will be referred to the Commonwealth Bank who are invited to comment on their view of what happened today.In the end, the customer chose the latter offer of a refund and a total sale cancellation with a refusal to process the sale via the customer's credit card with a PIN.
In an endeavour to diffuse the situation, the customer said that he had often come to the store in the past to which the Manager retorted:
In fact, the customer not been there for almost 6 months - at a time when the possible use of PINs with credit cards was not even on the horizon - rendering the manager's idiotic statement false and meaningless.
But the Manager still would not let go - even when she was totally wrong, sarcastically stating: "Well, it must have been someone who looked like you!"
Why in heaven's name did she not simply refund the customer's money, process the order in accordance with the customer's request and get on with running the store in a customer-friendly manner.
The customer got his refund and walked out of the store to the DFO Centre Manager Mark Bayes' office.
Mr Bayes is on leave for a week so Queensland Consumer Watch anxiously awaits his response to this tawdry incident.
Do you have a contribution about a Queensland consumer issue involving
commercial exploitation, customer ripoffs or unacceptable business practices?
Email Queensland Consumer Watch with full details for the whole world to read.















