Can my card ever have an outstanding balance?

Upon a payment with your prepaid card, provided the card is sufficiently funded:

  • The Bank authorises the transaction and the funds are retained on the card during a limited time period as defined by the Bank.
  • The Merchant then settles the transaction with the Bank either on the transaction date or any other next days.
  • Afterwards, the Bank processes the transaction.
2 main reasons may account for a negative card balance:
  • Where the transaction currency differs from the card currency, a cross currency transaction occurs. Given that the transaction is processed upon settlement as explained above, the Bank rate applicable will be on the processing date for such cross-currency transactions. The rate may differ from the rate used when transaction was authorised. If the rate is higher, it leads to a negative balance if your card does not have sufficient funds to cover the higher rate.
  • If a transaction is settled beyond the time period as defined by the bank, the amount of this transaction will be debited from the card account irrespective of the available balance.
    It is to be noted that the customer remains liable to the bank for the amount due.
    Where a negative balance is created following any transaction initiated or authorised by the cardholder, the cardholder agrees to refund MCB in respect of any outstanding debit balance on his/her card account within a maximum of 45 days. The amount funded should cover at least the negative balance and other associated fees, such as loading fee.

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