In October of I made a huge decision. I decided to open my own photography business. I was a pretty good photographer and many friends urged me to go into business for myself. I was excited about making money doing something I love and eager to get started. Most businesses need a credit card machine. So, I looked for a good credit card processing company to take care of credit card transactions for customers that wanted to use there debit or credit cards. I started looking into companies and I was contacted by Retriever Payment Systems. I invited the Retriever representative to my home and discussed my proposed business and my aspirations. I explained to him that I had no start-up money. I also explained that I had no clients. He assured me that, If, I got a credit card machine, the business would start rolling in.in retrospect, it seem like I was putting the horse before the cart.
He explained the credit card processing process and how to use the machine. He left out the fact that I would be entering into a 4 year non-cancelable lease for the Lipman Nurit 8000 for $99.00/mo, which retails for around $650 - $800. I found this retail price just recently. Over the term of the lease, I will have paid more than $4500 for this unit. After discovering this little catch, I scoured the contract paperwork I signed when I agreed to the credit card processing service. I found nothing relating to a 4 year non-cancelable lease agreement. These tactics are unethical and reprehensible. How are small business owners, who are willing to take a chance to provide a decent service and make their lives better, supposed to make it in the business world, when companies like the Lease Financial Group take advantage of small businesses?
The Retriever representative did not mention that the machine was through a third party and made all attempts to portray themselves as one entity. I asked the Retriever Representative if I could purchase the credit card machine outright, but he told me that wasn't an option and that the machine was very expensive and that leasing it was the best alternative. I expressed the need to incorporate my business before getting the machine and He said that it would be no problem to transfer the lease when I incorporated. He conveniently left out the fact that there was a $100 transfer fee. Why couldn't he wait until I had incorporated?
Because this machine and the processing services cost so much, nearly $200/mo, I had very little money to advertise my services. The little advertising I did pay for was non-consequential and ineffective. The money ran out and I had to close shop and put my dream on the shelf. This is when I called to cancel the lease and processing services. I was told that I couldn't cancel the lease and that I had to transfer it if I couldn't use it. This credit card machine has sat in box on a shelf collecting dust for months. It seems like such a waste. These companies do very little to disclose all the information in order to make a buck. If I had known about the 4 year non-cancelable lease and the $100 transfer fee, I wouldn't have entered into the agreement. It's unfair and it takes advantage of all the small business owners. This was a bad experience and I'm committed to getting the word out on these unethical practices, so no one else falls prey their scams.
I have put a stop payment on the account and returned the credit card machine to LFG. At first they were hard to find. Conveniently concealed I thought.
Anything that can be done to have this company to cancel my lease and to stop harassing me would be greatly appreciated. I don't have the income to pay this ridiculous debt.
The Company in question is:
The Lease Financial Group
233 North Michigan Avenue Suite 1800
Chicago, IL 60681
U.S.A.
Phone Number: 312-980-5600
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