- Report: #1187564
Complaint Review: Advanceit -
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Advanceit
www.advanceit.com USA
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Advanceit Usury Rates Canada
I was contacted by Moneris for permission to disclose information to reveal details of my account To a partner of theirs in order to receive a loan.
I agreed and was immeditely contacted by Advanceit. At first, since they were partnered with Moneris I thought they were a legitimate organization, but red lights immediately began to surface when they continued avoiding my question as to the rate of their loan.
They advised that a percentage of my Visa, MC and Debit transactions would be deducted to pay back my loan. It was to be between 15 - 25% of each transaction until the loan was paid off, but kept avoiding to answer whatthe interest rate was on the loan. After not having my question answered I advised them that if they didn't tell me I wasn't interested. Finally they told me that there was no interest rate but a flat fee. I asked what the fee would be but was told they would have to research that and they would call me back,
I received an email and information as to how much loan I was eligible to receive, but still no details as to the amount the flat rate would be for the loan. Very evasive.
Finally the salesman called me with the details. He estimated, based on my sales that it would take eight months to pay the loan back and the amount it would cost me including the flat rate. I was stunned. The amount was just under 60% above the amount of the loan.
They wanted me to pay back the equivalent of 80% interest. I referred the salesman to Canada's usury laws, which makes it a criminal offence to charge over 60% interest. Of course, the salesman had his slick answer ready. They weren't charging interest. It was a flat rate So whether the loan took 6 months or 2 years to pay back, as long as they could get their greedy paws on money, they would take it and justify their usurious rates as a flat rate.
Not me. wasnt born yesterday. After scolding the salesman I hung up, outraged.
Beware. These "flat rates" could be ruinous to your business. I suspect Advanceit only manages to lure those desperate for a cash infusion to agree to these terms, but don't fall for their seedy tricks.
