I was approached by this company in 2008 with what seemed to be an innovative business plan. You would prepay for a credit card that had a $50 credit line. Not much, but all future payments would be added to the credit line (less your purchases and monthly fee) so that, for example, after a year of on-time $25 payments your credit line could be $300.00. Sounded good to me.
As a matter of fact, after only about 8 months my credit line had been increased to $400.00. I was very pleased with the company.
Then, abruptly in the ninth month (January), I was suddenly informed that Salute was "cancelling the credit program" I had signed up for and the card was no longer valid. But I was still liable to paying off my old balance. I was okay with that.
But check it out: even though they had CANCELLED the card and I had no available credit, they continued to bill my account for a $19.00 monthly "service charge"! This was ridiculous as I was paying $30.00 a month on an ACH payment and between the $19 fee and the interest charges, this would ensure I would virtually never get out of debt.
I called the company and of course got nowhere. I complained to the Attorney general and the Governor of Georgia and they forwarded my complaint to the Federal Trade Commission, which did nothing. I continued to write letters to the company, to various agencies and to complain.
FInally, they gave my account a $50.00 "courtesy credit" and another $57.00 in credits and the balance is now half of what it was. But they are continuing to charge the $19.00 monthly "service charge."
Next month I will cut them a check for the entire balance and be rid of them. But this is definitely a SCAM outfit&If you haven't signed up with them yet, don't!
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