Credit Card Issuers try to Scam Customers

A new trend has emerged in the world of credit cards and it is catching many people off guard and more importantly, costing them money. The new trend seems to be pickup up speed and has spread from a couple credit card issuers to some of the biggest names in the credit card industry.

It seems many credit card issuers are now trying to charge their customers for programs and other opt-in services even when they have not opted-in or signed any agreement – to their knowledge. There are a few different spins on this new game and none of them are to be taken lightly.

Orchard Bank, a credit card issuer that is most notably known for their credit cards for poor credit has been identified as performing this scheme on many customers. Orchard Bank, out of no-where will charge your credit card for services that you have never received, but more importantly, never signed up for. These charges come from companies that are affiliated with Orchard Bank, they range from coupon books to DVD clubs, the amount they charge can vary but go all the way up to $99 per transaction. These companies continue to charge your credit card until you call to dispute the charges. Since these companies are affiliated with Orchard Bank it takes them much longer than it normally should to dispute and reverse the charges; Orchard Bank representatives have been quoted saying “it takes 1 – 2 months to reverse charges”, all the while you get stuck paying interest on fraudulent charges.

People have found these charges from the Orchard Bank affiliated companies on credit cards they had yet to even activate. Others have reported that they were told by Orchard Bank reps, “If you sign and deposit a $8 or $10 check you receive in the mail you are automatically signed up for this program and giving authorization to charge your credit card”.

It is not only Orchard Bank that plays these games but also another big player in the credit card industry, Bank of America. Bank of America has recently found a scheme that has been working quiet well for them. Some consumers are now reporting that Bank of America is charging their credit cards for a credit monitoring service that they never applied for, signed up for or agreed to. The charges are usually in the $129.00 range and renew annually unless you call in to dispute charges and request that you not be charged again.

There have also been reports alleging that other credit card issuers are now trying to scam their customers with similar schemes.

It is unfortunate that some credit card issuers have gone to such extreme measures to ensure big profit margins. It seems bad enough that annual fees continue to grow and interest rates continue to increase.

If you have been the victim of one of these scams you can create a Rip Off Report here to get advice and let other people know about it.