This all started about 3 weeks ago...
My girlfriend called me and said "Nick, I made a mistake... I said 'Yes' to a telemarketer."
I said, "Honey, that's fine, we'll just call and cancel... It's not like you gave them your credit card number."
"But I did"
"Oh..."
So, first the story...
She gets a call on her cell phone, and the caller tells her she's won a 2 day hotel stay and a a free 2 year magazine subscription. She was okay with this, but then they said they needed her credit card number to confirm the contest, which she gave. Then they said she just had to answer yes to a computerized recording asking her if she authorized the subscription and that then a supervisor would call her to verify the account.
Two minutes later the supervisor called. Having some of her wits about her, my girlfriend tried to review with the supervisor that she would not be charged. The supervisor said no, in fact she would be charged $49 a month for 2 years for 5 years of 3 magazines. She balked at this but they said that she had already authorized the charges and consented and entered a legally binding contract when she talked to the previous caller. They told her that she could not cancel, and would have to wait 3-5 days to recieve the first invoice at which point she could cancel.
That's when she called me.
So I got the information down from her, and deceided to give this company a call. Well, I called the first time and asked to cancel, they said that cancelling wasn't allowed over the phone, so I asked for the address - the person on the other end sounded surprised, she said "You want my address?" I said "No, the business address." Well, she said she would get it if I could hold for a second... She hung up the phone instead. I called back and again asked to cancel, she said I would have to talk to a survisor. I called one last time and demanded a supervisor or that I would go to the Attorney General. She said "Good luck."
I contacted the AG the next day, and they said to wait till we got the invoice and follow the cancellation instructions. So today, my girlfriend got the invoice, though no magazines yet. So, I called to cancel today and the person on the other end said that she would put down "Do not Renew" on the subscriptions, and asked what I would like to do about the balance due. I said, "I am cancelling them per your instructions, and I called two weeks ago to cancel when this started and you refused to do it." She said I would have received a cancellation number if I had cancelled.
So, mindless jargon of cancellation numbers and subscition renewals aside, the lady on the phone said we would be billed for the balance of $794, which the company, CRC, had prepaid to the magazine publishers. I told her she had three options, 1) Resolve this on the phone with me now (ie: grant the cancellation); 2) I could go to the Attorney General and file a complaint; or 3) Talk to my attorney about filing a lawsuit. She calmly told me to pick either option 2 or option 3, and hungup.
Now, if they were a reputable company, they would allow for a cancellation. They aren't, thus they don't. So far today, I have sent out letters to their addresses indicating that the magazines were cancelled numerous times over the phone and that if my girlfriend was charged, she would go to the AG, and also, have her attorney review the matter for a potential lawsuit.
I called to tell her the news and she was happy, but also told me the company had already charged her credit card $49. I wouldn't count on my letter working, but written notice is always nice. I told my girlfriend to contact VISA and tell them she is disputing the charges as they are not authorized. Also, I called the Attorney General's office and they are mailing us consumer complaint forms, which we will fill out and file once we receive them.
There isn't much else I can say now, but I will be sure to update this when we get some news on this.
If you're the victim of a similar crime, be sure to take action. Report it here, for one. Ask usacomplaints. Comers, the more reports against a company, the better chance we have to stick it to them. Also, contact your AG, or other law enforcement agency. If they receive enough complaints, especially against this CRC, they might actually prosecute.in the meantime, they certainly will contact the company for you to try to resolve the matter. An attorney is expensive, but may be a good last resort. When I get my law degree in three years I hope I can help people in these situations - for free.
If you're anything like my girlfriend, you're afraid to tell the company you want to cancel, and embarassed to tell anyone you gave out your credit card number to a telemarketer. It's okay. You didn't do anything wrong. There are laws in place to protect you.
In Massachusetts, you have 3 days to cancel any contract (CRC didn't honor this, but had to by law). It's called the Right to Reconsider Act... And it says in the law that people by nature make impulsive decisions and have a right to sleep on it, discuss it with someone, and potentially change their mind. The fact that this law exists means you shouldn't be embarassed by that impulsive decision you made. Use the 3 day period responsibly and get that order cancelled!
If you can't get it cancelled, then you're in the boat we are. We didn't see a written contract or have an address or any other information for this company.
About written contracts - in Massachusetts, like many states, you have to have a written contract for any sale of goods or services that spans more than a year in time or is over $500. Since in our case, we've met both criteria, the contract - if one really exists - may be void.
Also, to have a fair contract, either written or verbal, both parties to the contract must be clearly identified. You count as one, but who is that person on the other end of the phone? They really have to give you an address and a company name.
Furthermore, there are a number of laws on the books about Unfair and Deceptive Trade Practices. What happened in the above telemarketing scam is really illegal. The design of the scam deceives consumers. If it were legal to do, then yes, you might be right to be embarassed. But it's illegal!!! That means don't be sad, be glad, it happened to so many people that they have a law against it. It means you're not alone, and that there are people to help you out.
Now, do the right thing. Post here. Share your story. Call your AG, the FTC, and anyone else. With any luck there might be a CRC class. Sometimes the law sets up fines for companies that do this to people, which means, you could be entitled to get money from them (beyond what they stole from you) because they victimized you. Think about it. Share it. Let's take down CRC.
(Any advice contained herein is not that of an attorney and should not be considered legal advice. For the best answer to a legal problem, consult an attorney or contact your local bar association for a referal.)
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