MONZO REJECTS FRAUD CLAIM AFTER PARIS TAXI DRIVER ALTERED CARD PAYMENT

A customer's fraud report was rejected by Monzo after a taxi driver in Paris altered the amount on a card reader during a transaction. The passenger was charged €570 (approximately £493) for a 12-minute journey from Musée d'Orsay to a hotel near Notre Dame, when the meter had initially displayed €9.70. The driver requested the passenger pay via a card reader outside the vehicle, citing poor internet connection, then surreptitiously increased the amount on screen. The customer filed a fraud report with Monzo immediately upon discovering the discrepancy.

Monzo rejected the claim, stating the customer lacked evidence of the agreed price. The bank said it would not pursue a chargeback because supporting evidence would be required to succeed. The scam exploits the absence of a pre-agreed fare or receipt between passenger and driver. Face-to-face card transactions do not qualify for the same protections as authorised push payment fraud claims, which cover bank transfer scams. Voluntary chargeback schemes typically require an invoice or receipt to prove a price was inflated.

Mastercard, the card provider used in this transaction, recently updated its chargeback rules to allow a bank statement alone to suffice as evidence, unless the merchant provides proof the correct sum was charged. The customer raised Monzo's apparent misalignment with Mastercard's new rules. Monzo maintained its position, urging customers to verify amounts before payment. The customer disagreed with the bank's reasoning regarding the applicability of Mastercard's updated chargeback provisions.