Survey Results: Chase Bank Tries to Pull a Fast One
by
Scott Bilker |
|
 his survey originally ran in the 2/13/02 DebtSmart
Email Newsletter.
Do you believe that Chase Bank's letter
was deceptive and why?
 |
70.8% of
respondents said Yes |
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19.5% of
respondents said Somewhat |
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9.8% of respondents
said No |
Comments about the letter:
Deceptive Letter: Yes
"As a banker, I ALWAYS read the fine print. It should be clearly
stated that the check can be written up to the credit limit but to
remember that the transaction fees count towards that credit
limit."
--Anonymous
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Deceptive Letter: Yes
"I believe the letter is deceptive because it says that you may
write one of those convenience checks for any amount 'up to your
credit limit'. That means whatever my credit limit is, is the
amount I can write the check for. The Citibank letter at least
left you some kind of idea saying "hey, remember there are
fees involved" when writing a convenience check. Chase should
state that you may write the check for the amount up to your
credit limit, but don't forget that there is a 4% charge (maximum
of $50) for this "transfer". The wording is confusing.
Common sense does not tell you to add other fees or charges into
the amount you write a check for because it is not clearly stated
in the letter. You were right when you called them, and they just
have a hard time dealing with the fact that they are wrong
("the customer is always right"...) and tried to solve
your problem by not answering the question and then waiving a fee
for you."
--Danielle
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Deceptive Letter: No
"This article is a result of your continuing to speak with the
chase rep(s). If you would have simply taken the refund and
continued to enjoy the 0% offer you could have saved yourself the
headache. You knew about the 4% transaction fee, the equation
should have come to mind: x + x * (0.04;max $50) = limit Let me
see, my limit is 12500, 4% of 12500 is $500, ok, the max rule
applies, therefore x + 50 = 12500 x = 12500 - 50 x = 12450 This,
however, is far beyond what the average, even above average,
customer would have, or should have had to do. You are correct in
that there should have at least been fine print or at least an
example of how to figure the maximum amount one could write the
check for."
--Anonymous
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Deceptive Letter: Yes
"There is no such thing as 'common knowledge'; to an extent, yes;
but, you always run into tons of people who don't have knowledge
of that particular subject. Chase should not have argued with you.
If they were correct; they would not have dropped the overlimit fee.
Let's stay up front and honest and there wouldn't be so much need
for so much fine print where they try to deceive us, the
consumers."
--Gary
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Deceptive Letter: Somewhat
"It is just common knowledge that you have to stay under your limit
and that includes fees. I always make sure that I have a cushion
to prevent fees, and never use it all the way to the limit."
--Anonymous
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Deceptive Letter: Yes
"The words "up to your limit" IMPLIES you can use the
ENTIRE amount of your credit line. There is not one line in there
clearly stating that the one time fee of $50 will automatically
make you OVER THE LIMIT! We are not stupid people, just more
honest than CITIBANK. As a matter of fact - I stopped using them
as soon as I found out they had anything to do with me! Like when
they took over accounts for FINGERHUT payments, disallowed any
prepaying of payments and CHARGED ME A LATE FEE of $25! and DID
NOT remove it. They treated me much the same as you, and made me
extremely upset (like you)! Go get'em debtsmart!"
--Anonymous
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Deceptive Letter: No
"Because all credit cards charge such fees, it is always prudent to
understand fully what the policy is."
--Bob
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Deceptive Letter: Yes
"I had the same offer and I read and re-read the letter to see, like
you, if there were any loopholes. Nothing found, so I Transferred a High Rate
Balance from another Card I had and Darn if they didn't charge me
what they called an over the limit fee. I contacted them about it
and that was their response. I felt like the letter was deceiving
but I didn't fight it, I figured I'd Lose anyway."
--Terri
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Deceptive Letter: Yes
"Of course the letter from Chase was deceptive--that's what banks
& money lenders do best! The letter was written in a manner
that inferred you should know there would be a over the limit fee.
The offer was presented in a way that would make the most $$ for
the banks and take advantage of people who don't have 'common
knowledge.'"
--Michelle
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Deceptive Letter: Somewhat
"Even though it doesn't say exactly the amount plus fees, I
personally watch for these kind of offers & do realize what
they intend. I won't be bothered. Too much energy."
--Anonymous
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Deceptive Letter: Yes
"I read all the letters you provided, and they were exactly as you
stated. Nowhere did Chase say the $50.00 fee was to be added
directly to one's available credit limit - obviously sending it
over the top! Your check was not written for $12,550! It's as
though they re-wrote your check! I read and understood it to be a
separate fee. VERY misleading!"
--Carla
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Deceptive Letter: Yes
"It did not include full disclosure which is illegal. They should
have included all the terms and conditions in plain simple english
that even a 5 year old could understand. Because, evidently, today's
education system is failing when it comes to learning about
personal finance and money. Therefore, banks and creditors are
taking advantage of this."
--Anonymous
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Deceptive Letter: Yes
"I feel that all applicable fees & charges should be spelled
out in the letter. Trust is something that is earned. If you've
been a good, loyal customer to Chase Bank, then they should also
reciprocate by presenting their offers in an honest fashion."
--Anonymous
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Deceptive Letter: Yes
"It is deceptive, but that's their business. The over-the-limit fee
and the ability to write a check up to your credit limit are
mutually exclusive. The check you wrote wasn't returned, was it?
As long as they cashed that check, they weren't lying about
letting you write a check up to your credit limit. And the $50 fee
was spelled out. Together this put you over the limit. I'm sure
the terms of their offer state that if you go over the limit you
get a $29 fee. No big surprise. Sure it's deceptive, that's the
whole point. You should put that money into an ING account, you'll
get a 3.25% and it's FDIC insured."
--Keith
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Deceptive Letter: Yes
"You're right, but they all do it. I like Chase. I would have hit
that offer myself, but I only had 700 credit left under the limit."
--Frank
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Deceptive Letter: Somewhat
"Instead of stating, they imply that the trans. fees will be
included in the limit of the account."
--Angela
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Deceptive Letter: Yes
"Because the wording was deceptive. They wanted you to write the
entire amount. Gambling that most individuals would not argue with
them and they would be able to keep the $29.00 overlimit charge.
It's a calculated trick on their part to cheat the consumer."
--Debbie
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Deceptive Letter: Somewhat
"While I can see both sides of the story, I don't know many people
that would try to use their entire credit line. That said, I did
learn something from the article. Thanks for posting it."
--Anonymous
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Deceptive Letter: Yes
"I receive too many offers in the mail that are 'too good to be
true'.... if they are going to charge a transfer fee that will put
me over my limit as stated in such letters, it should be CLEAR to
that effect. i.e., you should have been offered 11,950 or
whatever, so that the transfer fee would not affect your credit.
Cash only is my motto for a REASON! :)"
--Gayle
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Deceptive Letter: Somewhat
"I agree with you that the fee isn't described in the letter as
part of the check, but I don't think I would have been so gutsy to
take it all because I would figure they would do just what they
did and I wouldn't have a leg to stand on."
--Aimee
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Has the same situation happened to you?
Specifically, that you took advantage of your full credit line as described
in an offer letter and were charged an overlimit fee? (Check your statements)
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17.24%
of respondents said Yes |
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75.86%
of respondents said No |
Have you ever had any experience with any
bank where you felt deceived?
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62.07%
of respondents said Yes |
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27.59%
of respondents said No |
What do you Think?
Read
the Article
Take the
Survey
Reader Comments
"DebtSmart has helped one of my
friends just recently with deciding to consolidate his bills or get
a loan. Thanks for the great ideas and warnings of deceptive banks
out there!"
--Danielle
"This is my first Newsletter and
I really enjoyed it. I have had similar experiences with cell phone
reps discussing charges with them! So frustrating! I would like to
know if others have problems with cell phone bills and reps."
--Carla
"I'm really Glad I found
DebtSmart on the Net, wish I had found you sooner but I've gotten a
lot of Great Tips on getting rid of Debt also received my first
Issue Of DebtSmart Magazine a few days ago. I think anyone and
everyone who has credit cards or even thinking about getting them
should check out DebtSmart, there's so much to learn."
--Terri
--End--
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