How does Afrihost do it? (Payments)

[NeonNinja]

Ok, So I've been with Afrihost from the inception, and I noticed something different from the beginning. I use a Capitec Global One Card (a.k.a PREPAID credit card), when I do not have funds in my account, I can't pay anything that requires a credit card, or use PayPal. But somehow Afrihost manages to charge me. Say I've got R100 in my account. And I need to pay R197 for data, Afrihost will take all R197, and leave me with a negative. Likewise, even if I've got R0.00, Afrihost will still find a way to charge me.

I'm confused, as I don't use a credit card and the payments should inherently bounce, as I can't use the card for anything else if I have insufficient funds or negative balance.

I use my FNB mostly, now on my Capitec account I have a minus ~R2k balance (have 3 data sim cards under my acc).

 

[hellfire]

Ok, So I've been with Afrihost from the inception, and I noticed something different from the beginning. I use a Capitec Global One Card (a.k.a PREPAID credit card), when I do not have funds in my account, I can't pay anything that requires a credit card, or use PayPal. But somehow Afrihost manages to charge me. Say I've got R100 in my account. And I need to pay R197 for data, Afrihost will take all R197, and leave me with a negative. Likewise, even if I've got R0.00, Afrihost will still find a way to charge me.

I'm confused, as I don't use a credit card and the payments should inherently bounce, as I can't use the card for anything else if I have insufficient funds or negative balance.

I use my FNB mostly, now on my Capitec account I have a minus ~R2k balance (have 3 data sim cards under my acc).

You have a large misconception here...
Firstly, the Global One account is not a prepaid credit card. It's a transactional account. As such, it allows debit orders. And Afrihost is obviously running debit orders against your account.
Capitec is very happy to let your account run into the negative (because it isn't a prepaid account) and they then charge you fees and interest for the 'overdraft' facility.

 

[The_Unbeliever]

Call it whatever you want, it still is a credit card. Especially when you can run an overdraft on it.

 

[hellfire]

Call it whatever you want, it still is a credit card. Especially when you can run an overdraft on it.

Semantics are important when it comes to banking!

 

[Purply]

More importantly, why are you not paying for services rendered

 

[NeonNinja]

Thanks eehellfire..