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Daily Record
4 days ago
- Business
- Daily Record
Check if you are due £70 Mastercard payout as millions set to receive compensation
Some 2.5 million people, including those who have never had a Mastercard are due compensation. An estimated 2.5 million people are set to receive up to £70 each following an out-of-court settlement by MasterCard for £200 million in a landmark legal case which started in 2016. It's important to be aware you cannot make a claim just yet - that will be in place soon - and you don't need to have owned a Mastercard to make a claim. What you can do now is check if you are eligible and should make a claim before the deadline at the end of the year. Consumers are eligible if they lived in England, Wales or Northern Ireland for at least three months between June 1997 and June 2008, and who bought goods or services from UK businesses that accepted Mastercard credit cards. For people in Scotland, the starting point is May 1992. Who is eligible to make a claim? has produced a full guide to the claims process which you can view here. You will be able to make a claim if you meet all of the criteria listed below. You lived in the UK for at least three months in a row between 1997 and 2008: England, Northern Ireland and Wales - June 20, 1997 and June 21, 2008 Scotland - May 22, 1992 to June 21, 2008 You were aged 16 or over during those three months added: 'This means that anyone born on or after 22 March 1992 isn't eligible and can't claim.' During the same period, you bought goods or services from a firm selling in the UK - regardless of how you paid. This means you can claim even if you've never had a Mastercard. You lived in the UK on September 6, 2016 - this is the date the class action was filed in the courts. You haven't previously opted out of the legal case - explained: 'If this is the first you're hearing of the case, you don't need to worry about this point - everyone who met the other criteria was opted in automatically and you would've had to fill in a form or contact the law firm to opt out.' Walter Merricks, the former financial ombudsman, launched his claim after the European Commission ruled in 2007 that Mastercard's 'multilateral interchange fees' charged to businesses had since 1992 infringed competition law. He alleged that 46 million shoppers in Britain were 'ripped off' after fees were wrongly levied on transactions made over a 15-year period between 1992 and 2008. The fees were paid by retailers accepting Mastercard payments, rather than by consumers themselves. But Mr Merricks claimed shoppers had lost out as retailers passed on these fees in the form of higher prices. It followed the arrival of the Consumer Rights Act 2015, which allowed for US-style class actions in UK competition claims. A statement from Mr Merricks said millions of UK consumers who are part of the class action could now come forward and claim their share of the £200 million, with individuals potentially getting between £45 and £70 each. He said UK consumers would shortly be able to register to receive a payment by completing a simple online form, regardless of whether they ever held a Mastercard card. It was expected that payments would be made to consumers who register before the end of the year, he added. Commenting on the outcome, Mr Merricks said: 'I started this case because I believed that Mastercard's fees paid by retailers for processing card transactions had been unlawfully high and virtually all UK consumers had lost out for long periods by paying higher prices than they should have done as retailers passed on those costs. 'As the evidence came to be known through the litigation process, this was the position only in a relatively small proportion of transactions and the settlement reflects that. 'The settlement that has today been finally approved represents a fair and just outcome for UK consumers. 'On any view, recovering £200 million by way of a settlement for UK consumers is a huge sum, and that will translate into a meaningful impact in the pockets of UK consumers.'
Daily Mirror
23-05-2025
- Business
- Daily Mirror
Martin Lewis issues warning to households after Ofgem energy price cap update
Martin Lewis has explained what happens next after it was confirmed the Ofgem energy price cap will fall by 7% from this July, taking the typical household bill from £1,849 to £1,720 a year Martin Lewis has reacted to the latest Ofgem price cap announcement - and while energy bills are falling, the money-saving expert urged households to still shop around for a better deal. The Ofgem energy price cap will fall by 7% from this July, taking the typical household bill from £1,849 to £1,720 a year. The price cap sets the maximum unit rates and standing charges - so your bill is still depending on how much energy you use. In a post published today on social media, Martin Lewis explained that for every £100 a month you pay for energy now, this will reduce to around £93 from July. However, the founder said the price cap is still a "pants cap" as there are cheaper fixed deals available. He said: "Today's announcement that the price cap is to fall by 7%, is welcome, but nothing to shout home about. "All this really does is reverse April's rise so it's back to roughly the cost at the start of the year. Crucially energy bills this July will still be 10% higher than at the same time last year." He continued: "Compare these falls to the cheapest fixes on the market today, which are 18% below the current cap, showing the price cap is a pants cap. "It was only ever meant to be a back-stop tariff for those unable to switch, yet during the energy crisis it effectively became a regulated price, and still today, 65% of homes are on tariffs dictated by the cap." However, he also issued a word of warning for those who want to compare deals elsewhere. He said: "Comparison sites will currently show your savings compared to the current price cap (as firms new tariffs aren't published yet), not the one it'll drop to in July. "That means savings will be exaggerated by 7%, and you need to factor that into your calculations." Tim Jarvis, Director General of Markets at Ofgem, said: 'A fall in the price cap will be welcome news for consumers, and reflects a reduction in the international price of wholesale gas. 'However, we're acutely aware that prices remain high, and some continue to struggle with the cost of energy. The first thing I want to remind people is that you don't have to pay the price cap. "There are better deals out there so it's important to shop around, and talk to your existing supplier about the best deal they can offer you. And changing your payment method to direct debit or smart pay as you go can save you up to £136.'
Daily Record
22-05-2025
- Business
- Daily Record
Martin Lewis repeats call to pay Winter Fuel Payment to every pensioner on a low income
The consumer champion also suggested older people on Council Tax bands A to C should be eligible. Martin Lewis took to social media on Wednesday shortly after Sir Keir Starmer announced that he wants to see 'more pensioners' receive Winter Fuel Payments (WFP). The Prime Minister made the comments during the weekly questions session in Parliament, but neither he nor his Downing Street spokesperson could shed any more light on how more pensioners will receive up to £300 heating bill help - or when. The consumer champion said he was 'pleased' to hear the announcement but he pointed out two 'main problems' with the current format of means-testing the Winter Fuel Payment. The once universal, annual energy payment is only issued to those over State Pension age in receipt of Pension Credit or Universal Credit (as part of a mixed age couple). The founder of posted on X, formerly Twitter, explaining how the income threshold of £11,800 per year is "extremely low' and that historically, Pension Credit has been under-claimed for years. Martin said around '700,000 of the poorest and most vulnerable pensioners, people' are missing out on the annual income boost, worth around £4,300. He also reminded his 3.1 million followers that he previously suggested to Chancellor Rache Reeves that one option could be to means-test individuals, rather than total household income. Another option would be to give Winter Fuel Payment to 'all pensioners who are on Pension Credit or in homes that are Council Tax bands A to C'. The financial guru said: 'Very pleased to just hear the Prime Minister has just said he wants more state pensioners to get Winter Fuel Payments (WFP) and they will work out what they're doing in time for the budget. 'As I've said since day one, there are two main problems with the way the means testing of WFP was done' Martin explained: 'The threshold is too low. Most need to earn under £11,800/yr to get it. That's an extremely low income when typical energy bills are £1,800/yr. 'Using Pension Credit, a benefit that has been known to be critically underclaimed for years, as the mechanism to prove eligibility is flawed. It leads to, on Government's own figures, 700,000 of the poorest and most vulnerable pensioners, people who have total income below £11,800/yr missing out.' He added: 'The issue that complicates WFP means testing is it's a household not individual payment. I have suggested to the Chancellor in the past that an imperfect but speedily workable solution would be to give WFP to all pensioners who are on pension credit or in homes that are council tax bands A to C. 'Hopefully they now have time to fix this frankly unpopular mess, that came from a rush job, and come up with something that works effectively for more people for the coming winter.' All pensioners in Scotland will receive a minimum Pension Age Winter Heating Payment of £100 by St Andrew's Day on November 30 - you can read more about this here. The Department for Work and Pensions (DWP) recently confirmed that nearly 78 per cent of all new claims for Pension Credit are processed - from initial application to award decision letter - within the target timeframe of 50 working days (10 weeks). This means older people on a low income making a new claim this month, could receive their first payment and any arrears by the end of July. It's crucial for all older people - single, married or cohabiting - to make sure they are claiming all the additional financial support they are entitled to this year to help boost their income and offset the ongoing cost of living crisis. Below is everything you need to know about the benefit. Pension Credit in a nutshell When you apply for Pension Credit your income is calculated. If you have a partner, your income is calculated together. Pension Credit tops up: your weekly income to £227.10 if you're single your joint weekly income to £346.60 if you have a partner If your income is higher, you might still be eligible for Pension Credit if you have a disability, you care for someone, you have savings or you have housing costs. What counts as income Your income includes: State Pension other pensions earnings from employment and self-employment most social security benefits - for example, Carer's Allowance What does not count as income Not all benefits are counted as income. For example, the following are not counted: Adult Disability Payment Attendance Allowance DWP Christmas Bonus Child Benefit Disability Living Allowance Pension Age Disability Payment Personal Independence Payment social fund payments like Winter Fuel Allowance Housing Benefit Council Tax Reduction Your savings If you have £10,000 or less in savings and investments this will not affect your Pension Credit. If you have more than £10,000, every £500 over £10,000 counts as £1 income a week. For example, if you have £11,000 in savings, this counts as £2 income a week. How to check eligibility for Pension Credit Older people, or friends and family, can quickly check their eligibility and get an estimate of what they may receive by using the online Pension Credit calculator on here. Alternatively, pensioners can contact the Pension Credit helpline directly to make a claim on 0800 99 1234 - lines are open 8am to 6pm, Monday to Friday. Phone lines will be closed on May 26 due to the bank holiday. Expert help and advice is also available from: Independent Age Income Max Citizens Advice Age UK Other help if you get Pension Credit If you qualify for Pension Credit you can also get other help, such as: Housing Benefit if you rent the property you live in Support for Mortgage Interest if you own the property you live in Council Tax discount Free TV licence if you are aged 75 or over Help with NHS dental treatment, glasses and transport costs for hospital appointments Help with your heating costs through the Warm Home Discount Scheme, Winter Fuel Payments or Pension Age Winter Heating Payment A discount on the Royal Mail redirection service if you are moving house Mixed aged older couples and Pension Credit In May 2019, the law changed so a 'mixed age couple' - a couple where one partner is of State Pension age and the other is under it - are considered to be a 'working age' couple when checking entitlement to means-tested benefits. This means they cannot claim Pension Credit or pension age Housing Benefit until they are both State Pension age. Before this DWP change, a mixed age couple could be eligible to claim the more generous State Pension age benefits when just one of them reached State Pension age. How to use the Pension Credit calculator To use the calculator on you will need details of: earnings, benefits and pensions savings and investments You'll need the same details for your partner if you have one. You will be presented by a series of questions with multiple choice answer options. This includes: Your date of birth Your residential status Where in the UK you live Whether you are registered blind Which benefits you currently receive How much you receive each week for any benefits you get Whether someone is paid Carer's Allowance to look after you How much you get each week from pensions - State Pension, private and work pensions Any employment earnings Any savings, investments or bonds you have Once you have answered these questions, a summary screen shows your responses, allowing you to go back and change any answers before submitting. The Pension Credit calculator then displays how much benefit you could receive each week. All you have to do then is follow the link to the application page to find out exactly what you will get from the DWP, including access to other financial support. There's also an option to print off the answers you give using the calculator tool to help you complete the application form quicker without having to look out the same details again. Try the Pension Credit Calculator for yourself or your family member to make sure you're receiving all the financial support you are entitled to claim. Who cannot use the Pension Credit calculator? You cannot use the calculator if you or your partner: are deferring your State Pension own more than one property are self employed have housing costs (such as service charges or Crown Tenant rent) which are neither mortgage repayments nor rent covered by Housing Benefit How to make a claim You can start your application up to four months before you reach State Pension age. You can claim any time after you reach State Pension age but your claim can only be backdated for three months. This means you can get up to three months of Pension Credit in your first payment if you were eligible during that time. You will need: your National Insurance number information about your income, savings and investments your bank account details, if you're applying by phone or by post If you're backdating your claim, you'll need details of your income, savings and investments on the date you want your claim to start. Apply online You can use the online service if: you have already claimed your State Pension there are no children or young people included in your claim To check your entitlement, phone the Pension Credit helpline on 0800 99 1234 or use the Pension Credit calculator here to find out how much you could get.
Wales Online
22-05-2025
- Business
- Wales Online
Martin Lewis says winter fuel payments now need to be fixed in two ways by Keir Starmer
Martin Lewis says winter fuel payments now need to be fixed in two ways by Keir Starmer It comes after the Labour leader announced in parliament that the Government will change the means testing system Martin Lewis (Image: 2018 Simon James ) Martin Lewis has told the Prime Minister that two key problems need to be fixed amidst his U-turn of the benefit means testing regarding Winter Fuel Payments. The 53-year-old, behind says Keir Starmer must re-examine the threshold levels, and a "flawed" system regarding pension credit. It comes after the Labour leader announced in parliament that the Government will change the means testing system to raise the threshold and give the Winter Fuel Payment to more pensioners, beyond the current £11,800 Pension Credit limit. Last year, Chancellor Rachel Reeves announced an unpopular change to the £200 to £300 payment for state pensioners, which changed eligibility for the payment from being universal to only being for those who claim Pension Credit. For money-saving tips, sign up to our Money newsletter here . Martin Lewis wrote on X: 'Very pleased to just hear the Prime Minister has just said he wants more state pensioners to get Winter Fuel Payments (WFP) and they will work out what they're doing in time for the budget. "As I've said since day one, there are two main problems with the way the means testing of WFP was done. "1. The threshold is too low. Most need earn under £11,800/year to get it. Article continues below "That's an extremely low income when typical energy bills are £1,800/year. "2. Using Pension Credit, a benefit that has been known to be critically underclaimed for years, as the mechanism to prove eligibility, is flawed. "It leads to, on government's own figures, 700,000 of the poorest and most vulnerable pensioners, people who have total income below £11,800/year missing out. "The issue that complicates WFP means testing is it's a household not individual payment. "I have suggested to the Chancellor in the past that an imperfect but speedily workable solution would be to give WFP to all pensioners who are on pension credit or in homes that are council tax bands A to C. "Hopefully they now have time to fix this frankly unpopular mess, that came from a rush job, and come up with something that works effectively for more people for the coming winter." Article continues below The Prime Minister's official spokesman said: "We obviously want to deliver this as quickly as possible, but the Prime Minister was very clear in the House that this has to be done in an affordable way, in a funded way. "That's why those decisions will be taken at a future fiscal event."
Daily Record
21-05-2025
- Automotive
- Daily Record
Martin Lewis urges people to put car finance claim in before ruling due in July
Any compensation payout will be made automatically, but the consumer champion urged people to 'get ahead of the queue'. The Martin Lewis Money Show Live returned to TV screens on Tuesday for an hour-long summer special where the consumer champion shared an update for millions of people waiting to hear if they are due a compensation payout of around £1,100 for hidden Discretionary Commission Arrangements (DCAs). The consumer champion told STV viewers how the Supreme Court is deliberating over an appeal it heard in April and an outcome is likely around July. He was asked if it was still worthwhile putting in a claim as the Financial Conduct Authority (FCA) has previously said any compensation would be automatic. But the financial guru advised it was a good idea to make a climax now so that all the administrative work is in place before any ruling is announced, though he also said it was fine to wait until the decision is made. He did, however, urge people to use a free online claims service - there's one on here. Lisa contacted the programme and asked: 'It would be great to get an update on car finance, I believe I could be eligible due to having cars on DCAs but never got round to putting my claim in. I have now read that if you are due any payout, you will be contacted and repaid automatically, without filling anything in. Is this right?' Martin responded: 'Yes, basically around 2.5 million people have put DCA claims in. Discretionary Commission Arrangements, that's effectively where car dealers charge higher interest than they needed to and they got more commission for doing so and the regulator (FCA) is investigating that. 'The most important thing to understand is car finance claims are currently on hold because the Supreme Court is looking at a case right now, it's already heard evidence on it and we're waiting for a decision, now no-one knows when that will come - we just don't know.' However, Martin added that the 'people in the know are telling me they're hoping it will be July, so I'm going to say July-ish is the probably rough time span'. But he also advised that until then 'nothing else happens'. Martin went on to explain how the FCA has said that if they are going to be payouts, nobody will need to claim them as they would be issued automatically. However, he added: 'I would still suggest if you want to get ahead of the queue and make sure all the admin is done right and they have all your details and they're all up-to-date. I would still probably just go and put your claim in now, but only use a free service. 'But you don't have to, if you just want to wait, if you are eligible you should be paid out - if the Supreme Court rules saying that car finance and the way it was done should be paid out.' Martin has previously estimated that compensation of around £1,100 could be due on around 40 per cent of all car finance deals made between April 2007 and January 28, 2021. That means anyone who took out finance with the 'hidden DCA charge' to purchase a van, campervan or motorcycle during that period, may be entitled to a refund.
