Columbus Bank and Trust Company Article
Author: Board Monitor
Posted: Sun Jul 02, 2006 9:37 am
Post subject: Columbus Bank & Trust/CompuCredit To Pay $11 Million!
Good news for consumers below.
Credit card company to pay $11 million to settle probe
By MICHAEL GORMLEY
Associated Press Writer
July 2, 2006, 9:47 AM EDT
ALBANY, N.Y. -- A Georgia-based credit card company has agreed to pay $11 million in restitution to New Yorkers to settle Attorney General Eliot Spitzer's investigation into its practices.
Columbus Bank and Trust Co. and CompuCredit Corp., a marketing and collection company, agreed to reform practices for its sub-prime credit cards held by 60,000 New Yorkers, Spitzer said. The cards are marketed to consumers with lower incomes or credit problems who are willing to pay higher rates and fees to secure credit cards.
Spitzer had accused the company of failing to disclose activation charges of as much as $179 on Columbus Bank's Aspire Visa cards that were marketed to low-income people and consumers with poor credit. He also said the company exaggerated how much credit would be provided, enrolled customers in other programs without consent and then billed them with renewal fees. Spitzer also criticized the debt collection practices.
Full article here:
http://www.newsday.com/news/local/wire/newyork/ny-bc-ny-creditcardprobe0702jul02,0,95658.story?coll=ny-region-apnewyork
Thoughts?
_________________
Regards,
Curtis Arnold
Board Monitor
http://www.CardRatings.com
20K+ Credit Card Reviews
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: Brammy
Posted: Sun Jul 02, 2006 2:42 pm
Post subject:
LOL!!!! All I can say is that I know this bank and with the exception of that subprime card, their cards are the best. I was really surprised when I heard that they even offered this one. But even with the card issued as advertised, you'd have to be in pretty desperate straights to even consider it.
I read the article and everything in it is in the disclosure you get before applying. You basically get a card with no available credit to start.
Author: mouse
Posted: Sun Jul 02, 2006 9:45 pm
Post subject: Columbus Bank and Trust Company Article
OOOOO
Look for a $0.17 CHECK in your mailbox some time soon
Author: jlrdc909
Posted: Mon Jul 03, 2006 6:35 am
Post subject: Columbus Bank and Trust
This article should be a must read for high school students, the lesson being on how important your credit rating will be in the future.
This bank is had very unethical practices, BUT it markets to a subprime market, that being said, the people they are marketing the products to are not the most desired by the major banks.
Author: Brammy
Posted: Mon Jul 03, 2006 6:49 am
Post subject:
[quote="jlrdc909"]This article should be a must read for high school students, the lesson being on how important your credit rating will be in the future.
This bank is had very unethical practices, BUT it markets to a subprime market, that being said, the people they are marketing the products to are not the most desired by the major banks.
[/quote]
That may be true of Compucredit but a regular CB&T card is harder to get than AMEX. They basically have great rates. I was shocked at the compucredit partnership myself. I know from an insider's POV. I think they jumped on the subprime bandwagon to increase profits. I've been asking for three years how CB&T could be associated with such a card.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Posted: Sun Jul 02, 2006 9:37 am
Post subject: Columbus Bank & Trust/CompuCredit To Pay $11 Million!
Good news for consumers below.
Credit card company to pay $11 million to settle probe
By MICHAEL GORMLEY
Associated Press Writer
July 2, 2006, 9:47 AM EDT
ALBANY, N.Y. -- A Georgia-based credit card company has agreed to pay $11 million in restitution to New Yorkers to settle Attorney General Eliot Spitzer's investigation into its practices.
Columbus Bank and Trust Co. and CompuCredit Corp., a marketing and collection company, agreed to reform practices for its sub-prime credit cards held by 60,000 New Yorkers, Spitzer said. The cards are marketed to consumers with lower incomes or credit problems who are willing to pay higher rates and fees to secure credit cards.
Spitzer had accused the company of failing to disclose activation charges of as much as $179 on Columbus Bank's Aspire Visa cards that were marketed to low-income people and consumers with poor credit. He also said the company exaggerated how much credit would be provided, enrolled customers in other programs without consent and then billed them with renewal fees. Spitzer also criticized the debt collection practices.
Full article here:
http://www.newsday.com/news/local/wire/newyork/ny-bc-ny-creditcardprobe0702jul02,0,95658.story?coll=ny-region-apnewyork
Thoughts?
_________________
Regards,
Curtis Arnold
Board Monitor
http://www.CardRatings.com
20K+ Credit Card Reviews
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: Brammy
Posted: Sun Jul 02, 2006 2:42 pm
Post subject:
LOL!!!! All I can say is that I know this bank and with the exception of that subprime card, their cards are the best. I was really surprised when I heard that they even offered this one. But even with the card issued as advertised, you'd have to be in pretty desperate straights to even consider it.
I read the article and everything in it is in the disclosure you get before applying. You basically get a card with no available credit to start.
Author: mouse
Posted: Sun Jul 02, 2006 9:45 pm
Post subject: Columbus Bank and Trust Company Article
OOOOO
Look for a $0.17 CHECK in your mailbox some time soon
Author: jlrdc909
Posted: Mon Jul 03, 2006 6:35 am
Post subject: Columbus Bank and Trust
This article should be a must read for high school students, the lesson being on how important your credit rating will be in the future.
This bank is had very unethical practices, BUT it markets to a subprime market, that being said, the people they are marketing the products to are not the most desired by the major banks.
Author: Brammy
Posted: Mon Jul 03, 2006 6:49 am
Post subject:
[quote="jlrdc909"]This article should be a must read for high school students, the lesson being on how important your credit rating will be in the future.
This bank is had very unethical practices, BUT it markets to a subprime market, that being said, the people they are marketing the products to are not the most desired by the major banks.
[/quote]
That may be true of Compucredit but a regular CB&T card is harder to get than AMEX. They basically have great rates. I was shocked at the compucredit partnership myself. I know from an insider's POV. I think they jumped on the subprime bandwagon to increase profits. I've been asking for three years how CB&T could be associated with such a card.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
posted by CardRatings.com at 8:02 PM
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