Lease Finance Group LLC, EMS (Electronic Merchant System), UMS (Ultimate Merchant Systems) and their sales representative, Mike Guyton, (Rep Code 6101) got our business name and telephone number from the America's Favorite Coupon Book, where we were advertising. We were a small business, operating and advertising under the name of Adam's Pressure Cleaning. UMS operates an office at 506 Westbrook Avenue, Brandon, Florida 33511. Their telephone number is 800-933-1101. Mike Guyton's telephone number is 407-590-3743. EMS has an office at 5005 Rockside Road PH100, Independence, Ohio 44131, or the same street address, Cleveland, Ohio. Their telephone number is 800-615-1330 or 800-726-2117. Lease Finance Group LLC corporate office is at 233 N. Michigan Avenue, Suite 1600, Chicago, Illinois 60601-5519. Their telephone number is 312-980-5600. Lease Finance Group LLC is owned by CIT Financial.
Mike Guyton was soliciting for our small business to use a credit card machine. I told him we were just getting started in business, and things were slow. I told him I didn't think we were ready or could afford to take on the cost of the credit card machine. He kept saying it would increase our business by at least 50%. He told me that if I found our business couldn't afford the credit card machine that he could help me find another business to take it over the lease. He said the 48 month non-cancelable lease would not be a problem. I asked if we could buy the machine outright, and Mike told me no, that I could only lease it. He said the payment would be $99 a month. He never explained about the Insurance Non-Compliance Fee or any of the other charges Lease Finance Group is charging. This was my son's business which was called Adam's Pressure Cleaning. I was the money investor, trying to help my son get on his feet financially. Mike suggested we needed another name for the business, so I had to come up with another name on the spot. I felt pressured and coerced into signing the contract, and kept saying the business couldn't afford it, but Mike kept saying it would increase our business by at least 50%.
Mike Guyton did not even give me his business card. He did not explain that even if we didn't use the credit card machine, we were still going to be charged for processing. This meeting was after 3:30 pm on January 24. After going home, and thinking about the whole high pressure under duress, meeting to sign this contract, I called Mike Guyton first thing in the morning and told him we didn't want the machine. At this time I had no equipment, it was less than 24 hours since signing the contract, and it was signed on the patio of Beef O'Brady's. The business was operated out of the home, and I was in the process of moving. When I called Mike Guyton, I told him to cancel shipping the credit card machine, because the business couldn't afford it and I had felt pressured into signing the contract. Mike informed me I couldn't cancel the contract, even though I had no equipment. I told him we didn't have enough business to support the credit card machine. He said he would pay the first month's payment of $99, but I could not cancel delivery of the machine. The credit card machine was not delivered by UPS, but by an employee/subcontractor of UMS. We made every effort to get the business on its feet financially. We continued to advertise in America's Favorite Coupon Book, adding the Visa, MasterCard logos. We bought magnetic signs for the car showing we accepted all major credit cards. We also had that statement added to our business cards and flyers.
Business did not pick up and Lease Finance Group debited my checking $109.92 on 2/28, $119.92 on 3/21/06 (a $10.00 late charge because someone at Lease Finance Group keyed in the wrong debit card number), $109.92 on 4/20/06, $109.92 on 5/22/06, and $109.92 on 6/20/06. The business had NEVER used the credit card processing machine. To this day I have not received one bill from Lease Finance Group at my address.instead one bill and a letter were sent to my former address. It had not increased business by at least 50% as the Mike Guyton had said. It had increased our business by 0%.
The only bill I have from Lease Finance Group shows the lease payment of $99, plus sales tax, (which was never mentioned), insurance non-compliance fee $2.50 (which was never discussed) and property tax mgmt fee $1.49 (whatever that is, and was never mentioned) for a grand total of $109.92.
In addition, EMS started debiting my checking account monthly. Mike had not explained that even if you don't use the credit card processing machine, the business still gets charged a minimum monthly fee of $62.50. EMS charged my checking account $. 13 on 2/15/06, $1.45 on 3/2/06, $62.50 on 4/3/06, $62.50 on 5/1/06, $62.50 on 6/2/06, and $62.50 on 7/3/06. To this day I have not received one bill from EMS at my mailing address.instead, I found out a couple of weeks ago EMS has been sending bills to my former address. I made it very clear to Mike Guyton when he insisted on a physical address, that my former address was NOT my mailing address.
If you compare the Merchant Agreement to the bills that EMS is billing that is another rip-off. The Merchant Agreement states $17.50 Monthly Access with Debit or Online Statements. The boxes for Cellular Transactions $10.00 Per Month and Platinum Service Club $10.00 were checked. That is a total of $37.50, but EMS is debiting my account $62.50 each month. That is $25.00 more than is on the contract. If you have No Cellular Transactions how can they charge you for it?
I gave Mike Guyton my debit card number, so how did Lease Finance Group and EMS get my checking account number? There is not one place on the contract that has my checking account number or routing number or bank. That section on the contract is completely is blank. At the bottom of the Merchant Application which must be completed by the sales representative, the question is asked Does the inventory, merchandise and staff appear to be consistent with the type of business? Mike checked yes. How would he know? The only time he met me was on the patio of Beef O'Brady's. He also checked that he verified that he physically inspected the business premises of the merchant at this address and the information stated above is correct to the best of my knowledge. That is a total lie. He never inspected anything. I just noticed that in the very small print of the application.
By July, the business had become non-existent. I called Mike Guyton to request that he find another business to take over the lease. I had to make numerous phone calls and leave messages, before he called me back. Then he told me to call him back in two weeks. When I called back, once again I had to leave messages, with no return call. When I finally reached Mike, he told me he had to check with his corporate office and to call him back in two. I have never been able to reach him since that time.
At that point I decided to do some research on the internet on Lease Finance Group, Ultimate Merchant System, and Electronic Merchant Systems. I don't guess I should have been shocked. Lease Finance Group had over 120 complaints against them, along with Electronic Merchant Systems. These companies had been going in and out of the state of Florida, and changing names. I researched the price of the Lipman Nurit 8000 on the internet and I can purchase this credit card machine all day long for between $749 and $769. Lease Finance Group, LLC is charging a shocking $5,276.16. Plus at the end of the lease, Lease Finance Group generously offers to sell the business the credit card machine at the fair market value of $527.62 according to their formula. This is after collecting over seven times the normal cost of the machine over a four year period. This is in a letter dated February 14 to the Merchant, I might add in very small print. These companies are using unfair and deceptive business practices, targeting small businesses and price gouging.
I have accessed the state government sites of the division of corporations for Florida, Ohio, and Illinois. EMS is operating under a fictitious name and is actually the Francis David Corporation. Needless to say they operate in many states and they are difficult to track because of the fictitious name. Lease Finance Group is part of CIT Financial which I followed through New Jersey and New York. UMS is somehow connected with EMS.
I returned the NEVER USED credit card machine by UPS with tracking to Lease Finance Group received on July 21. That was followed up with letters to Lease Finance Group, EMS and UMS by certified mail. I am filing complaints with the Attorney General of Florida, Ohio, Illinois, Florida Department of Consumer Affairs, Federal Trade Commission, Better Business Bureau, investigative news media for Orlando, Tampa, Chicago and Cleveland. I am contacting my Congressman and letting them know how these companies are targeting small businesses. I am also contacting the three major credit bureaus and adding statements to my personal credit files. I am forwarding to each of these above mentioned entities the information concerning the over 120 complaints against these companies on Usa Consumer Complaints.com. I am looking for an attorney and any other business/individual who wishes to file a class action lawsuit against Lease Finance Group, EMS, and UMS.
Of course, let the calls begin! First Lease Finance Group called, informed me that a stop payment had been put on the payment and wanted to know when I was going to make the payment. I informed them that I wasn't and that I had shipped the Never Used machine back to them by UPS. I told the woman who didn't give her name; the company was using unfair and deceptive business practices and major price gouging. I explained the business had been shut down. She told me I was in a contract and I had a buy out price. Of course she didn't tell me what it was, but I already knew. I told her every entity I was filing complaints with and against. She said she would note the account but I still owed the payment and hung up.
Next Eric from EMS called. I explained the same to him as I had to the woman from Lease Finance Group. For 14 minutes he threatened me with black listing me from ever getting a car loan, mortgage or credit card. He said even if the contract was obtained using unfair and deceptive business practices, it was still a contract which I was responsible for. He told me I had at least seven times when I could cancel the contract and why hadn't I? He said I could have refused shipment from UPS. One problem with that, the machine was personally delivered to me. He didn't tell me the seven times I could have cancelled, but it is my understanding that you have three business days from the date of signing the contract. I tried to cancel the contract in less than 24 hours and was told I could not do that. These companies are sham and con artists ripping off individuals trying to start small businesses and work for the American dream.
Lease Finance Group started the daily multiple calls and hang-ups. EMS debited my account in August a day early and added an additional $45 to their normal debit. These people are a waking living nightmare ripping off, conning, shamming, price gouging the heart of America, the small business person.
Marsha
Kissimmee, Florida
U.S.A.
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