HSBC Watch News Release Forum Index
Forum Name: - Opinions
Topic Title: Live Checks Banned - Household's New Scam
Mon Nov 15, 2004 11:58 am
We received a letter from the local office saying "We are sorry we cannot approve you for the loan you requested. However, if you call our office we may be able to help in other ways".
My husband called them, thinking it was a trick of theirs trying to get our current address or something like that. Of course, it goes without saying we never applied for a recent loan.
The first thing the guy on the phone wanted was my hubby's SS#. Of course, he refused to give it to him and hung up. We later found out from our lawyer that this sort of form letter is Household's latest attempt to reel in the vict..--um, I mean customers--since sending live checks has now been banned.
Tue Jan 11, 2005 12:46 am
Is sending live checks really banned or does it just mean HSBC. I get checks from citi all the time and they are not much better than hsbc
Tue Jan 11, 2005 8:59 pm
moreceiver wrote:
Is sending live checks really banned or does it just mean HSBC. I get checks from citi all the time and they are not much better than hsbc
As part of the $484 million settlement Household agreed to the following under section , item 19 of the settlement, entitled “Live Checks”:
Household shall not, directly or indirectly mail or send Live Checks to any Potential Borrower unless such checks contain the following disclosure in 12 point bold face type, on the front and back of the check, unless otherwise required by applicable law: “Signing this check will result in a loan that must be repaid with interest and fees.” (Household will include “and fees” language on the check only if fees are charged in connection with the loan.)
Household shall not create or issue any Live Check products that contain a prepayment penalty.
We monitor customer trends for possible violations of Regulation Z and other possible illegal actions.