Complaint Review: HSBC - Bank Of Nevada NA
HSBC - Bank Of Nevada NA HSBC :foreign-based telemarketer outright lies to get sales- Salinas, California
*Consumer Comment: HSBC is not the only one participating in this scam!
Household Bank telemarketing has been hitting me with calls since before I actually received the card - they always try to sign you up for credit monitoring services among other things with high-pressure outsourced telemarketing. Sometimes I go for the offers to receive free stuff and it has worked out in the past.
This time I went for an offer that I thought I would keep. The telemarketer (TM) announced upon finding I was the cardholder that I could receive - instead of interest - a charge of $1.35 per $100 balance on my card forever. I did the math and it sounded like that would be higher than my current interest rate.
Somewhere in the conversation I understood that this was actually also an insurance plan, that I would receive coverage of my balance at the same rate so that I may not have to make payments in the event I could not work, etc. The TM was very specific, even outspoken, about how I would never pay another finance charge.
Well, I just noticed after two months of having the Account Protection Elite plan that I am STILL paying finance charges at the usual rate. I called only to find out that the finance charges only get canceled once the benefits go into effect because of a successful claim. What? That's not the presentation I received from the TM.
If you look at the plan, say your usual rate is 13.99% and you have the plan, a claim goes into effect and suddenly you're paying $1.35 per $100 or 1.35% -- then what does that mean? That means suddenly you're paying 1.35% per month X 12 months = 16.2%. What? The plan entitles you to pay a higher interest rate when you are out of work (etc.).
Now remember I mentioned that you pay that 1.35% each month in addition to your usual 13.99%/12 (1.166% or $1.16 per $100) without benefits? That makes this plan into a scam, plain and simple. It's like protection money. And that is how Household Bank conducts business - I'm sorry I use their card.
So I tell the (again outsourced) CSR when I find this out that of course I want to cancel. Then I tell her that I want my two months payments back as well - a sum of slightly over $12 due to the fact that this plan had been misrepresented. She flatly denied me my payments and I told her I would take action if she didn't. She didn't refer me to a supervisor and would not credit me.
I'm fortunate enough to have a choice of credit cards these days. I have chosen to pay off my balances (as soon as possible) and cancel both these cards despite that losing cards hurts your credit. I feel like this company doesn't deserve my interest payments and creates charlatan "programs" to pillage more from unsuspecting customers.
Don't do business with these guys. I understand this is a Household Bank card and I'm not sure the extent to which HSBC supports their practices.
This report was posted on Ripoff Report on 08/12/2010 11:59 AM and is a permanent record located here: http://www.ripoffreport.com/reports/hsbc-bank-of-nevada-na/salinas-california-93912/hsbc-bank-of-nevada-na-hsbc-foreign-based-telemarketer-outright-lies-to-get-sales-sali-630980. The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year. Ripoff Report has an exclusive license to this report. It may not be copied without the written permission of Ripoff Report. READ: Foreign websites steal our content
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