Problem Solver: Credit Report Website Issues Refund

A good credit score is essential when you need to borrow money and there are plenty of websites willing to help you get it but at what cost? A North Carolina couple says one website did them more harm than good. News Channel 7's Dianne Derby investigated their complaint and gives you important warnings about signing up for services like these. It's a 7 On Your Side Problem Solver.

Like most people Verne Oscarson wants the most bang for his buck. So when he was trying to refinance his home he searched online for the best company to look into his credit report and he couldn't pass up the deal he saw on privacymatters.com...all he had to pay was $1.

"I just thought I found a good deal and just went with it," said Oscarson.

He says he had 7 days to cancel his membership before he was charged a nearly $30 monthly fee. A few days days later he says his wife canceled but for some reason $1 was still coming out of their bank account each month. Doesn't sound like a lot of money but these days every penny counts.

"It's been going on for 9 months and all of the sudden I realized there's an 800 number on there so I call it and you can't talk to anybody," said Verne's wife Lisa.

The Oscarson's say the charge was for a membership in "Your Savings Club"... they offer discounts on things like gift cards, movies and travel.

When 7 on your side began to look into the issue..Privacy Matters 1-2-3 copied us on an apology letter they sent to the Oscarson's. The company issued a refund saying "...customer satisfaction is important to us..." but said "the Privacy Matters 1-2-3 landing page also explained that Your Savings Club (which had no trial period) would charge $1.00 per month automatically, unless Mr. Oscarson called to cancel."

Verne says he never saw that statement on the website.

"I'm just not too used to going on a computer and reading the fine print like I'm supposed to and i just ended up with one that got me," he said.

Verne's not the only one with this kind of complaint. We checked the Better Business Bureau's website and found 88 complaints in the last 3 years for the company that does business under the name "Privacy Matters" and nearly 3 dozen other names. It says most of the complaints involve "claims of unauthorized charges by the company's affiliates. In such cases, customers reported no recollection of having agreed for the programs that were billed to their credit card, debit card or bank account. In some of the cases, consumers reported being charged for two or three years."

So how can you avoid getting unexpected charges? The BBB says it comes down to one thing...know what you're agreeing to.

"Terms and conditions are extremely long but they're going to give you vital information to make sure you know what you're getting into and what you're actually purchasing and how much it's going to cost you in the end," said Upstate BBB's Kathy Barrett.

Tough lessons the Oscarson's say they'll never forget and want everyone else to remember.

The nation's consumer protection agency, the Federal Trade Commission, says there is only one website authorized to give you your free annual credit report you are entitled to by law. To get yours call 1-877-322-8228 or click here.