Report: #284372

Complaint Review: MBF Leasing/Vericomm Electronics/Robert Jernigan

  • Submitted: Mon, November 12, 2007
  • Updated: Sat, March 29, 2008
  • Reported By: Reidsville North Carolina
  • MBF Leasing/Vericomm Electronics/Robert Jernigan
    132 W 31st Street 14th Floor
    New York, New York

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I am a 20 year old small business owner from NC. I was approached by a Vericomm sales rep last November. He told me he could save me money on my cc processing fees. I told him I was happy with what I had and he asked to see my cc processing statements and we reviewed them together. He showed me where I could save money.

He also told me that the cc machine that I purchased for about $400 was worthless and that his equipment was, quote, state of the art. He told me he would sell my credit card machine for $1200 to a guy he knew who bought credit card machines and leased them out to people. He also told me that he would cancel my previous cc processing account and pay any early termination fees. I was reluctant to sign the lease and told him that $129.95 was a lot to pay. He told me that the equipment was worth thousands and that he would re-negotiate the lease after I had the equipment for 6 months because he had the authority to do so and I wouldn't pay near what the equipment was worth.

He assured me that he had a lot of experience in this type of work because it is what he did before he got sick with cancer and that vericomm and MBF leasing were great companies. He said that he would fill out the paperwork and everything and get it back to me in a couple days.

The day he came back I was extremely busy. He told me that all I needed to do was sign my name in a few places and that it would only take two seconds and that the equipment would be here quickly and I could start saving money. I was only presented the first page of the Lease Agreement and received the rest in the mail at a different date from MBF leasing.

The equipment arrived and he came to help me install it. My credit card processing expense went from $26-$56 a month to over $295/ month. I was also receiving service charges from my other cc processing account that had not been cancelled. I though I would just hold off about six months and everything would get better b/c he would re-negotiate the lease at that time.

I contacted him again to reassure myself and he said I had nothing to worry about. I contacted him again regarding my old machine because I was wondering why he did not attempt to sell my old machine like he promised. He told me that no one wanted my machine because it was a piece of crap. Four months into the lease I became fed up with all the money I was being charged. I went to him again about all the charges and he claimed that he had cancelled my old cc processing account and did not know why they were still charging me. He also told me I still had to wait 6 months.

I later called my old processing company and they said that they had where a man called and told them that he worked for my business and they wouldn't let him cancel so he hung up on them. Later, he sent me a letter saying that he would buy out the lease he had gotten me into and take over whatever debt there may be as long as I paid him $60.95 for 24 months and I would own the equipment free and clear.

After he sent the letter he came to my business on April 6, 2007 and I told him I did not want the equipment anymore and he demandingly gave me 3 options: A. I could take the offer B. He would buy out the lease and put my old equipment in his wife's new shop that she would be opening and I would not have any financial ties to it. C. I could keep my lease and keep being overcharged. I was given till Monday April 9, 2007 to make up my mind. I was so on to his scam!

I told him I no longer wanted anything to do with him or the companies that he represents. He told me he would get the paperwork together and all I had to do was sign the lease transfer agreement and give the equipment over to him. I found the information stuck in my door after lunch on April 12th, it contained his business letterhead and a contract he had wrote up in his office. The next page showed an invoice where I owed him $250 cancellation fee. He deducted $100 for the bogus billboard advertisement that was suppose to be up in march so the invoice was for $150.

On the next page was a Lease Transfer Agreement with my current lease info filled in in his handwriting. I contacted MBF about it they said that I would have to request it personally and would be charged for $100 and that it would not be filled in by hand but would be typed.

Anyways when I signed the Lease Finance Agreement I believed my existing equipment would be sold and that my lease would be legally re-negotiated otherwise I would not have agreed to the terms set forth and entered the agreement under false pretenses. I believe that MBF leasing tells these sales reps what to do and who to prey on and they need to be stopped asap. I cancelled my bank account so they cannot get anymore money out.

They are now after me about the lease and have ruined my credit and are now trying to sue me for the money. It is hard enough running a small business without people trying to mess you up. I am getting married next year and I don't know how I'm going to buy a house with this on my credit report. What should I do?

Reidsville, North Carolina
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This report was posted on Ripoff Report on 11/12/2007 12:06 PM and is a permanent record located here: 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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#1 Consumer Comment

MBF Leasing and Vericomm are part of Organized Crime Syndicate

AUTHOR: Bruce - (U.S.A.)

Stop letting MBF Leasing and Vericomm and anyone else from accessing your bank account even if you have to close account and open new one. Then wait till you are served papers to go to court and then counter sue them for all you can get. Another way is to go after them in your home state-- you initiate lawsuit. I just returned from answering complaint against me by MBF Leasing. I was served a summons and went to New York Cityto answer summons. I have a court date set forJuly 8th--it is a nightmare driving around NYC and expensive but was worth the trip. The Civil Court clerk alerted me to this web site and told me that MBF Leasing is a scam. They hope people do not show up for court so that they can win a judgement. Also a contract that stipulates that you must go to court in New York instead of where you signed contract is illegal.

Hope this helps.

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#2 Consumer Comment

Robert you are nothing but a bait and switch artist

AUTHOR: Mike - (U.S.A.)

Robert, you really need to admit that you are nothing but a bait and switch artist who only gets paid when you sign those inflated leases for equipment that you can purchase new for cheap (Nurit 8320 terminal $350.00, RDM 6000I check imager $350.00, and Nurit 292 pin pad $100.00)! You will say and do anything to get a signature on a lease agreement. Why don't you tell Ms G that you received a check for $1800.00-$2500.00 (depending on the term you signed her for) via Fed Ex the next day for that junk you leased her? To all, this is how Robert is paid! He only gets paid for signing these leases and is taught that if he cannot make the sale in one meeting that he needs to move on to the next prospective victim. Robert how do you look at yourself in the morning knowing that you are nothing but a con artist?

G, You need to understand that MBF owns the equipment and will not let you out of the lease! They paid Vericomm around $4000.00 the day that you received and activated your equipment (assuming you signed a 48 month lease). Usually most leasing companies will make you verify that you understand and accept the terms and financial conditions of the lease on the phone so that they can record it. If you did not do this you probably signed your name and initialed the lease agreement and checklist that accepted these terms. You should have been provided with copies of these docs the at the time of signing. But from what you wrote Robert said he would bring you these copies which he did not because he knew you would be too busy and would not remember when he came back to install your equipment. Send MBF a certified letter requesting copies of the original lease (Robert had to Fed Ex this to Vericomm the same day you signed it to get your terminal, check imager, and pin pad shipped to you and to get paid) so you can verify that it is your writing on these areas. You already know that he completed most of this agreement after he left. If it is not your writing on any of the significant areas (check the areas where you were to initial) you may have a good argument showing forgery. When you stopped MBF's ability to ACH your account for the monthly lease payment they automatically sent you to collections which is why your credit has taken a beating. You have to realize that these leases are non cancelable (they are bullet proof in most states) and MBF will do anything to get there money. You also need to start writing letters to Wells Fargo in Walnut, CA and tell them what happened to you! Wells is the bank that handles all of the funding for Vericomm! Vericomm is a ISO (independent sales organization) for Wells and really is representing them. Send the letters to everyone at Wells! Send copies of these to Vericomm as well. This should get you some attention very quickly since Vericomm cannot afford to lose them. Finally, tell everyone you know (go to as many business functions you can in your area) and let them know how Robert helped you! Keep the faith and good luck!
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#3 REBUTTAL Individual responds

Robert Jernigan

AUTHOR: Jcms Field Services - (U.S.A.)

I am Robert Jernigan, I Sold That Equipment to The Young Lady in Question.
I did on several attempts try and work things out for her. She refused to
allow a lease transfer, which would have releaved her from the lease all together.
She is 20 Years old and is a sweet girl but she does not understand Business
and or Contracts she could have been out of the deal but now she is stuck
because of the choices she made.She Can Post all the negative adds she would
like it will never Change the Fact that in business and if life its about those Choives we Make.
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#4 Consumer Comment

Here is another approach

AUTHOR: Faron - (U.S.A.)

Please look at the following link. This owner had a similar situation with this same company and is taking action. I bet if you did some checking, the 1st lease was with the same company like this business owner.

Good luck!
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#5 Consumer Suggestion

G, Do some work and dont give in!!

AUTHOR: Mike - (U.S.A.)

G, Hit the Vericomm website and find out who they are an "ISO" for now. It used to be Chase but I think it is Wells Fargo now. Whomever it is start writing letters to the CEO and send them via registered mail. Make sure you give them a step by step accounting of what happened including the reps name! Vericomm will get some very very nasty phone calls as they (the bank) are the underwriting bank for all of their credit card transactions. Vericomm will be out of business if they lose their bank backing. Keep sending the letters until you get your issue resolved! Good luck!
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