HSBC Watch News Release Forum Index
Forum Name: - Best Buy
Topic Title: Inept Staff - I refuse to pay
Sat Apr 30, 2005 4:15 pm
I had one more payment of $298 to make and sent it in the Best Buy envelope as usual. Mysteriously it was returned to me. I called customer service to ask if I could charge this last payment to my Visa and was told I could. The customer service rep (who spoke very poor english) took all the pertinent info. When the credit card statement came the amount was not included. I sent the payment and called to tell customer service my experience. They took all the info and said they would check on the matter. Never did hear anything back. Then I received a bill for $650 for deferred interest. I have refused to pay this bill since, I believe whatever mistake was made was on the part of HSBC and their inept staff.
What is my recourse?
Sat Apr 30, 2005 5:11 pm
It has always been Household's (HSBC's) position that customers cannot charge payments to their credit card. The customer service rep should have told you to make a payment by phone. It might cost $15 but it could have saved you $650. Your report implies that lack of supervision in the new India call center is motivation for HSBC to make more money, which in itself is an example of Household International's predatory lending model. One question remains -- Why was your payment returned to you?
I reference a report from an HSBC employee which states "entire trays of mail were put back into the postal system, ensuring the payments would be late." In this case, however, the mail was returned to you. Was it marked in any way, such as undeliverable? Let's take this train of thought one step further. Shea v Household claimed Household and HSBC credited payments late, often one day after the due date. They were sued and paid $11 million. Nothing changed. If they put entire trays of mail back into the postal system and they made more money as a result, a new predatory variation of that scam is to return your mail to you. Why does it happen in the last month of the "no interest" period?
One of the reasons for starting Household - HSBC Watch over five years ago was the fact that we did not receive our Best Buy bill in month 12, thus all interest would be due. Nothing changed with these predators. They are infected with the predatory "pay for performance" cancer and cannot act in a non-malignant way. Regulators and courts don't stop them. So what can we do? Complain to regulators (top of this page for links)
In your case I would contact the CEO of Retail Services, Joseph Hoff. ( See more about Hoff) - his corporate switchboard is 847-564-5000, and should be able to direct your call. Tell them you spoke to investigators here at Household - HSBC Watch, and we told you the customer service rep misquoted a long standing policy, of which he and a supervisor should have been aware, and the rep should have told you to make a phone payment. Tell Hoff if he can't get it resolved you will have no alternative but to give us an update as you file a formal complaint with the OCC, FTC (against Best Buy) and the Illinois and Minnesota attorney's general. Add your state's attorney general to that list too.
We monitor customer trends for possible violations of Regulation Z and other possible illegal actions.