Xm Radio
Aunauthorized credit card charges

18 months ago I bought my son a Hyundai as a graduation present - it came with xm radio. After the trial period he decided that it was too expensive and the xm radio was shut off. I then started receiving offers from xm radio (the car was registered to my address). Since Christmas was approaching I decided to go with one of the offers as a Christmas present to my son. It took several months to get the radio working because he lives 350 miles away and is not always available (they didn't tell us you only have a limited period to set up the radio). When I contacted xm they refused to credit me for the unused time.

Late in 2007 I asked my son if he would like a renewal subscription for Christmas. After all the trouble to get it working he decided against it as he now uses his ipod on long journeys.

Let me state categorically that this is my son's car and that he is responsible for paying any subscription fee for xm radio. When I purchased the subscription I explained to xm that I was the owner's father (something they confirmed from their records) and that this was a present to my son. Today I got my credit card bill and saw that they had charged me $142.45 for another year's subscription. When I called them to complain I was told that I was the account holder and that I had agreed to pay the charge.

When I pointed out that I didn't own the radio and that I had paid for the prior year as a present for my son they said that I had agreed to pay for subsequent years. I had not done anything of the sort and asked them to credit my account. They refused saying that their records showed that I had and that the details were in a welcome pack (that I had not received) and that it was on their website. This was a complete fabrication and since I was not the owner or the user of the radio they could not charge me repeatedly for a subsequent subscription.

To placate me I was offered a reduced rate for the year which I declined as I did not own or use the radio. Finally the gal offered me a refund but only pro-rated for the remaining time. I told them that this was unnacceptable because I was not responsible for the renewal and that simply charging my card without telling me meant that it could take some time before the charge appeared on my bill. The gal refused and I asked to be transferred to her supervisor. After a long wait another gal came on the line and started reading the same stuff off the screen. I got nowhere and told them that I would cancel the charge on my credit card bill and that they could argue with MasterCard. She told me that they had already canceled my account and credited me with the pro-rated amount and rang off. During our conversation I had said repeatedly that I would not accept a pro-rated refund but this was ignored.

What is with these guys? They have records showing dates and times of calls (down to the second) and say that if it is on their screen I am wrong and they are right. No appeal, no justification. The fact that I bought my son a subscription as a present apparently makes me the account holder and gives them the right to charge me in perpetuity. They can charge me without informing me, change (actally massively increase) the charge without informing me and I am responsible until such time as I discover it.

In addition to you guys I am writing to MasterCard, the Better Business Bureau, Hyundai, the State AG and telling all my friends. This is an unscrupulous company and you should be very, very wary about giving them a credit card number.

Company: Xm Radio
Country: USA
State: District of Columbia
City: Washington
Site: xmradio.com

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