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  • Report:  #876602

Complaint Review: GE Capital

GE Capital GE Care Credit levied a 4688.56 finance charge on my onine account and I was never notified, Internet

  • Reported By:
    Handbuild — Brooklyn New York United States of America
  • Submitted:
    Tue, May 01, 2012
  • Updated:
    Sun, May 13, 2012
*Consumer Comment: accrued interest *Consumer Comment: Hmm... *Consumer Comment: Why do you let others control your payment? *UPDATE Employee: We'd like to help *Consumer Comment: Dont feel for you

I signed to for CareCredit of GE Capital to pay a dental bill. I was approved for  $10000. I was not informed that I had a two year limit on paying the bill and was also given the option by their online payment system to pay a minimal amount which I did.   I signed up for automatic debits from the beginning because they are notorious for your excessive late charges. They debited my account with varying amounts although they were aware that a promotional amount should be paid.  And I was never given notice in writing that a payout option in writing before the promotion ended? 

My account balance was 4207.00 as of July 3 2011 and I was charged an $4688.56 of finance charges in July 11, 2011.  I was not given any notice that this would happen. Had I know that they I never would have paid the minimal amount, I would have paid the full amount to eliminate the debt. I signed up for automatic debits from the beginning because GE Capital notorious for excessive late charges. I would like to know why GE Capital always debited my account with varying amounts although they were aware of a promotional amount.  I was not given a payout option in writing before the promotion ended?  Their online system does give a full account balance it only displays online transactions. 
   

  • GE Capital levied a 4688.56 finance charge and I was never notified. This more than doubled my balance.   
  • Also without notice, I am being charged a 26.99%  APR on my balance.    
  • The online payment system does not provide enough information to manage my account and is misleading.  It is another trap to snare a consumers.
When I spoke to their supervisor, I was told that there was nothing they could do, I requested some type of compromise.  I offered to pay off  my original basis but they told that the transaction (4688.56) was a valid transaction and would not be removed.  It is unfair that they billed this amount without and type of written notice.  If I had known that they would charge this I would have paid the original  balance immediately.  Of course GE Capital  refused to compromise and to add insult to injury the supervisor hung up the phone on me.

This company has unfair business practices, a misleading online payment system and terrible customer service.  I feel as if Im being extorted.  I really cant afford to throw $4688.56 dollars in the garbage. 

5 Updates & Rebuttals

Peedoff

Perry,
Oklahoma,
United States of America

Dont feel for you

#6Consumer Comment

Sun, May 13, 2012

your stuck with this, it clearly states on your statement when the charges of interest are gonna be charged. you need to read, and pay your bills.

GECapital

United States of America

We'd like to help

#6UPDATE Employee

Thu, May 03, 2012

**To expedite a response, please provide Reference code DM 050312_ror_handbuild**
 
Im sorry you are having problems regarding your account. Wed like to speak with you and assist. Please email me at gecapitalcares@ge.com with the following information:
 
- The full name associated with the account
- Mailing address associated with the account
- Your contact phone number
 
For your security, please do not include your account number in your email.
 
Regards,
Nicole
GE Capital

MovingForward

Palm Beach Gardens,
Florida,
USA

Why do you let others control your payment?

#6Consumer Comment

Wed, May 02, 2012

From your post it sounds like you read the agreement, or at least part of it, in the beginning. You sort of indicate that you read it by saying that you knew this was a "promotional" offer.

So you really had several errors: 1) Not reading the offer in full or not understanding the offer if you did read it and 2) setting up automatic payments and then not checking your account for two full years and finally 3) making minimum payments on an outstanding debt.

If you had done the simple calculations right from the beginning, you would have known that the program is designed to extract the maximum amount of interest from you by having the accrued interest amount post when the promotional period was finished. GE Capital discloses the terms in their Terms and Conditions when you get the loan. This is a very common tactic with lenders for all types of items throughout the country.

Am I defending GE? No. But I read the terms and conditions before I sign up for something. If it says "promotional" anything - I am looking for the hook. If it says "free", I am looking for the catch. And, I never use automated payments because it lulls you into inattention to your accounts. If you had taken the time to review your account monthly - like you should - you would not have been caught by this well known interest trap.

If you made your own payments, rather than letting your banks bill pay make them, you would have caught this issue well before the end of the promotion period because you would have been actively monitoring your account.

I'm sorry this happened to you. But you did it to yourself by not paying attention to both your initial agreement when you took the loan and then the payment balances during the course of the loan.

MochaG

Springfield,
Virginia,
United States of America

Hmm...

#6Consumer Comment

Wed, May 02, 2012

"I was not informed that I had a two year limit on paying the bill."

What does that mean? Is it the transfer debt from one source to the card? If so, I doubt that they never told you about 2 years limit. In any advertising, they might not mention, but in writing they do. There is no such a card that allows 0% interest for the balance transfer forever.

"was also given the option by their online payment system to pay a minimal amount which I did."

In your point of view, it is a good deal because you pay little. Pragmatically, it is likely to get you into a deeper hole because you (include many people who have similar problem) do not understand how it works. The minimum payment would help IF AND ONLY IF you never use the card again and keep paying off the balance. If you ever add any new charge to it, you are increasing the interest & the balance will never decrease because the new charge has an interest automatically.

"I was never given notice in writing that a payout option in writing before the promotion ended?"

There is no such a notification for that type of promotion. When the card holder sign the contract, the card holder is responsible for the payment time line. You have 2 years to completely get rid of your balance, you chose not to whether or not you know it. You should dig up the contract you signed and look for this part in the contract. Or you could post the whole contract on here, so someone could point out where you missed. Either way, it is your responsibility.

"Also without notice, I am being charged a 26.99%  APR on my balance."

That info should be in the contract (after 2 years of 0% interest).

Seriously, are there any credit companies that give 0% interest for balance transfer forever? They already gave quite a long times to you (2 years) to pay it off, but you didn't. Now they charged you with steep rate interest and you complaint? You have their goods for free for 2 years and say nothing. It is time for you to pay for what you have been ignored.

coast

USA

accrued interest

#6Consumer Comment

Tue, May 01, 2012

You agreed to pay the accrued interest when you signed the agreement.

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