I recently had a very disappointing experience with my Neo Mastercard. I usually keep a negative balance in my account so i never go over due, in this case I hadn’t used it for the past year due to personal reasons. When I contacted customer service, they explained that if the funds in my account remain unused, they deduct them as an administrative fee. After reviewing all my statements and invoices, I found no mention of any such requirement to use the balance. This is the first time I’ve encountered such a policy with any Mastercard. In fact, other issuers usually send a cheque for any unused balance, but surprisingly, Neo just deducts the money. I find this practice completely unfair and unacceptable. I have since closed my account and will never recommend this card to anyone. To share my experience i created this account so everybody is aware of there policy
Hi @Ravinder , thanks for reaching out! I can understand how unexpected and frustrating that fee must have felt.
To clarify, many financial institutions (including Neo) charge a Credit Balance Administration Fee when an account holds a credit balance for a long period, usually 12 months, without activity. This helps cover the cost of maintaining inactive accounts. In your case, the account had a credit balance for a year, so the fee was applied.
This policy is outlined on page three of our Neo Financial Mastercard Disclosure Statement and Fee Schedule (link here), but I completely understand how it could be missed. Your feedback is helpful and shows where we need to communicate more clearly.
Thank you again for sharing your experience.
There should be a reminder on the invoice to use any remaining balance. When someone opens an account and signs up, they might not remember they have a card after a long period of time. In such cases, the company should send at least an email, letter, or some kind of notice. For example, if someone doesn’t pay a bill, the sender sends multiple reminders. In the same way, customers should be reminded about unused balances.
Thanks so much for sharing this feedback, it’s really helpful. You’re right that a reminder about any remaining balance could make a big difference. Adding an email or notice about unused credit after closure would definitely help keep things clear for customers. I know that we do send a final statement by email after closure, which shows the remaining balance, but I completely understand how an additional reminder could make it even easier to catch.
I’ve noted this and will bring it back to the team on how we can improve the experience. I really appreciate you taking the time to share your thoughts!