CCA Gives Interest-Free Credit, Steals $400

There’s just nothing better than ripping open that fat envelope that slid through your mail slot and finding a shiny interest free credit card with a $10,000 limit on it waiting for you. How’d it get there? Such questions are for the gods. Better get spending before the bank realizes the mistake.

Yes, that’s the thought process of an idiot. But Las Vegas Capital Credit Alliance makes its bread and butter off the overly credulous thought processes of idiots. They send out ‘free’, no interested credit cards to random people. But the cards are only good to purchase items on CCA’s website.

Worse yet, merely activating the card will cost you over $400 in fees. Where are these fees disclosed? Imprinted upon a single micron somewhere within 7 pages of legalese.

Vegas business makes fat money from fine print [SFGate] (Thanks, Andre!)

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  1. I’m glad that you guys posted about this company because I can tell you from personal experience that this is an evil company. What surprised me though was Bill Lockyer’s statement that “no complaints have been received to date about CCA.”

    “It sounds like these guys skate on a thin line of legality,” he said. “If anyone has a problem, they should contact us, and we’ll take a look.”

    I can tell you that this isn’t accurate because I personally contacted Bill Lockyer’s office about a year ago to complain about CCA. At the time CCA had managed to get ahold of a telemarketing list that said that I had bad credit (really bad) they then called me up and tried to sell me a $1,000 credit limit. The problem was they were asking for a payment for me to receive the credit. Most people don’t realize this but it’s a Federal crime to sell a credit card to a consumer. You can charge annual fees, but it’s illegal to charge someone in order to be granted the credit.

    I probably would have ignored these guys, but they kept calling and mailing out offers no matter how many times I said no. Eventually, they did stop calling, but not after I received at least 20 phone calls pitching this lousy deal. A couple of times the phone reps threatened to continue to call unless I bought the card, but this tactic will never work on me. After calling the cops, I was instructed to contact the FBI, but they told me that since it was dealing with credit cards that it was really the secret service that I needed to contact. When I called the secret service they laughed at me and refused to even take a report. Eventually I turned to Bill Lockyer for help, but never received more then an email acknowledging receipt of my complaint.

    What made this experience so frustrating was that as a consumer, I had no way to contact the authorities to put a stop to a financial crime in process. At one point, I even found a whistle blower inside of the company who gave me great information on tactics that they use, but the Feds still had no interest in talking with her despite that she could back up claims that the company consistently would make illegal ACH transfers when signing consumers up for the card (they won’t give you the card without your checking account ACH information)

    Identity theft is a big problem in this country, but preying on the poor with these credit offers is even worse. By specifically target the poor the company knows that they can ripoff consumers who don’t know who to report this crime to or who aren’t smart enough to look at the fine print. On one level I put 100% of this blame on CCA for their predatory practices, but undoubtably the Government shares some of the blame for refusing to deal with this issue until it becomes a public event.

  2. ModerateSnark says:

    I don’t know if it was this company, but back before I put my work number on the “Do Not Call” list, I received phone messages saying I was “pre-approved” for a “gold card” or a “platinum card.” You had to pay very close attention to realize that there was some sort of catalog involved, which was presumably the only place the card could be used. I never responded; the main tip-off was that you never hear the words “Visa” or “MasterCard.”

    I also remember mail offers from several years ago that had a similar tip-off; the cardboard credit card inside had no Visa or MasterCard logo.

  3. RatedDAL says:

    Whoever keeps moaning about them calling and calling you is full of crap. I know for a fact that it is an inbound call center and the reps aren’t allowed to contact you, the consumers contact them about activating the card. They send you a card and then people call in if they want to activate. Now it is tip toeing on some legal grounds, but let’s not say that they keep bothering you because they don’t call you. People call them. It’s not a great company but let’s just get our facts straight