Many users of the Coinbase cryptocurrency exchange were unhappy last week as they found that their accounts had been wrongly debited due to duplicate transactions.
Coinbase is one of biggest and most popular cryptocurrency exchanges in the world and has a large customer base in the United States.
Users took to popular social media channels and cryptocurrency exchanges to complain about money going out of their accounts due to duplicate transactions. Their complaints reached the U.S. Commodity Futures Trading Commission (CFTC) who confirmed that they will be looking into these customer complaints.
The CFTC advised all consumers who discovered unauthorized amounts being debited from their accounts to immediately contact their credit card providers or banks to get the charges reversed.
CFTC also stated that it expected the companies involved to fully comply with the regulations governing consumer funds and do what is right. Coinbase claimed that the error that caused duplicate transaction fees to be charged was not at their end. Visa and Worldpay have confirmed that they will reverse duplicate transactions for Coinbase users.
This issue of being charged extra surfaced earlier this month when a JP Morgan Chase customer complained via Twitter that he had been charged an extra $5 which was put down as a ‘non chase atm fee’. JP Morgan’s customer support team responded to the complaint on Twitter.
Hello, the recent change to the way Coinbase transactions are processed is due to a reclassification between the merchant and Visa. Any cash-like transaction, such as this, will be assessed the cash advance fee. This is typically $5 or 5% of the charge. ^RL
— Chase Support (@ChaseSupport) February 5, 2018
Coinbase has announced that they will be working closely with Worldpay and Visa to verify all users who have been subjected to duplication transaction fees. They will then look to reverse those transactions and credit the due amount to the consumer’s card or bank account. The reversal of duplication transactions is expected to take place this week and consumers should be able to see proof of the reversal on their account statement.
As of now it appears that it is only a minor portion of Coinbase users who have been subjected to these duplication transaction charges. However, the Alabama Securities Commission has stated that it usually takes a few weeks for the Commission to be able to get a proper idea about how many users have been impacted because consumers usually contact their payment providers and wait for the issue to be resolved before reaching out to the Commission for help.