Just to clarify. It was Android Pay, not Apple Pay, that I used to make this top up. In all my past transactions with Android Pay my bank has not charged any fee. It is only for Revolut that this has happened. Android Pay takes the charge from my Santander Mastercard. In making this top up I had been relying on the Revolut FAQ which says
“You can top-up your Revolut account with a debit or credit card. We currently support MasterCard or Visa Credit cards to top-up. Please note, credit card top-ups will be recognised as a normal card transaction, not a cash advance.”
The statement that “credit card top-ups will be recognised as a normal card transaction, not a cash advance” has turned out to be incorrect. The charges appeared on my credit card bill as cash advance with the lines:
23/12/2016 **6822 QUASI-CASH TRANSACTION London Revolut Ltd £10.00
23/12/2016 **6822 CREDIT QUASI-CASH FEE London Revolut Ltd £ 3.00
I have never before encountered the phrase “quasi-cash transaction”. So far as I can tell by googling the term “quasi-cash” this is the designation for charges that are made by gambling and betting web sites only.
I have sent messages about this problem to both my bank Santander and to Google Android Pay. I will report their responses here when I receive them.
HOWEVER, I would have expected Revolut not to produce a misleading FAQ about how Android Pay/MasterCard payments will be charged. This method should have been tested. A warning should have been given that banks may classify Revolut top ups as “quasi-cash transactions”.
When I encountered this unexpected problem I would have expected Revolut to instantly credit my account with £3 to make up the loss, at least as a goodwill gesture, and then thank me for identifying a bug in their charging model of which they were perhaps not yet aware, and then to correct and improve the information that is provided in their FAQ. I think Revolut needs to negotiate with MasterCard and Android Pay to find out why this has happened. Perhaps Android Pay has incorrectly labelled Revolut to be a gambling web site.
@julien Yes, I have topped up by other methods without a fee, not using Android Pay. Obviously, I will do that in the future. The amount of £3 is not going to kill me. It is more that I am trying to be helpful to @AndreasK by identifying a problem with the way Revolut works with Android Pay. I am rather disappointed that Revolut are not more interested in learning from my experience and adapting their systems and FAQ so that other customers do not encounter the same problem.
@bsalita No, Revolut should not be responsible for fees charged by third parties. But they should have tested various payment methods sufficiently well that they can write FAQs which are correct and which warn customers of possible fees. It is has fallen to me to discover that the FAQ is incorrect where it says “credit card top-ups will be recognised as a normal card transaction, not a cash advance” . That has turned out to be false. My top up was not charged as a normal card transaction, but as something strange, called a “quasi-cash transaction”, which incurred a fee of 30%.