Friedman's Jewelers levied excessive finance charges in addition to late charge assessment Richmond Virginia

I purchased a piece of jewelry from Friedman's Jewelers paying more than one-third down and leaving a monthly payment of $132.52. I am retired and wanted the lowest payment possible since I could not purchase the item for cash. I pay my bills through my bank over the internet and all my bills are paid the first of the month. Since September 2007, I have made 3 payments. The firm said they did not receive the December payment (4th payment) which was due on 20th of the month.

I notified my bank and they said they would investigate. They did and finding nothing to indicate receipt of their check, they issued another check. The bank tried to negotiate the late fee charge (I have this in writing), but the firm would not discuss it and said they did not know when my bill came due. The bank was willing to pay the charges, but the firm would not discuss them.

I received a statement from the firm reflecting a late charge assessment of $27.00 dated 12/25/07, a credit of $132.52 on 1/2/08, and billed finance charges of $199.14. I can understand the late charge assessment, but not the additional finance charges.

I have read numerous complaints against this firm over the internet stating that it is their practice to overbill for finance charges and to keep you owing them for a long time. I am willing to pay the remainder of the bill but don't know if they will continue to charge me interest. I am at my wit's end because of the many outrageous complaints against the firm. I did not do my homework and fell into the trap of "sweet talk" before signing a contract. Please offer some suggestions.

Dorothy B
Richmond, Virginia
U.S.A.