Swiss Colony deceptive credit practices?

[kade6767]

I opened an account with Swiss Colony back in December of 2012. I have a fraud alert on my credit file so they contacted me, no problem. Account was then opened, I was given a credit limit, and have placed and received orders for the last 6 months. Last order I placed was in May and, received it without a problem. A few days before Father's Day I wanted some items so I placed another order. I only have like a $30 balance left and plenty of available credit. I was placing an order close to $50. I ordered it express since it was within their cutoff time to receive by the Saturday before Father's Day. By Saturday night the order had still not shipped and come Monday, I finally remembered again so I just went on to my account and cancelled the order.

Fast forward to today, Thursday, June 20, 2013 and I get this letter in the mail (I have posted a copy) telling me since I have a fraud alert on my credit file and they can't reach me they have not processed my order and please contact them, etc. Of course I am puzzled because one, why can't they reach me? No one has called me from their company and two, why are they pulling my credit again? I call their credit department and get this woman telling me that they pull credit reports every thirty days. What? Why would you do that? Let alone, why would you do that when someone already has a credit account and credit limit with your company? That is insane. Who does that? I got nowhere with the woman and finally hung up. I decided I would just pay my balance and make sure the account is closed. Well, I was really fuming over this so of course posted and angry response on their FB page to which someone answered and told me to contact them to look into the matter. I talk to this guy named Aaron and he is trying to tell me they keep credit info on file for 6 months and since my account has been opened over 6 months they pull the file which is why he saw the fraud alert. After again trying to ask them why they would hit my credit report again after I have credit already he did nothing but give me the run around answer. He then says, when I use my Choose N' Charge account, I agree to the terms which is for them to pull my credit. I again dispute this practice and get nowhere with him as I try to explain why this can't be done. Now, I went back to their site just for my own satisfaction, put an item in my cart, went to check out and then checked and read the terms first to see what it says. It discusses pulling your credit and you authorizing this but, only, ONLY if you are applying for new credit. Nowhere does it say every time you make a purchase this is what they will do. Of course, the rep I spoke to still does not understand credit.

So, now that I have given you this long story, lol, what do you think? I think they are conducting shady credit practices because I did not authorize them to pull my credit again, nor does it state in their terms. I have read their terms fully. Of course, I want these hits removed from my report. I am going to pay off the $30 I owe and make sure this account is closed.

This is the link to picture of the letter since I can't seem to get the pic inserted here for some reason.

http://s22.postimg.org/u0p9t9q2p/Swiss2.jpg

[KimberH]

Actually, the same thing happened to me - except at one of their sister companies. Country Door.

Had an account there for several years - I make about 2-3 orders a year. Not much - no more than 200/300 usually. Last order before this one was in Nov. CL - about $2300 or whatever. They soft me on Equifax every 3-4 months.

I place a $100 order in May - and get a hard inquiry on TU. I said, what the heck? Called them and a real snotty person in credit told me they can do it at any time - even if you had an account with them for years and perfect payment history. I asked her - why would you pull a hard when you soft me every 3 months. Her answer - and I kid you not - was "because we can." I told her they would be losing a lot of customers as I would never order from them if my orders could result in a hard pull of my credit every/any time they felt like it. She was like "so???"

I cancelled my account on the spot.

I did write a letter on Planet Feedback and basically said - you lost me as a customer and your customer service - frankly, blows. You did not try to retain me as a customer and your new policy of pulling credit (hps) for an order that was not even over $100 is ridiculous. To their credit, someone did try to call me and I simply did not take their call. I have already made up my mind not to patronize them again and that's that.

So be warned - if your order from Country Door, any order may be subjected to a HP. In this day and age where inquiries count against you, it's simply not worth it for me to buy from some gifty company and have to worry all the time. I can buy elsewhere.

[enharu]

There's usually some clause in T&C that's allows a lender to pull your credit whenever they deem necessary. Chase, American Express, and many other lenders have such clauses if I am not wrong. That being said, they rarely ever do a hard inquiry unless a customer is seeking new credit. Most of the time customers are just SP'ed.

Kinda sucks this company is doing hard inquiries at their whim. They can, but its not a good business practice because it screws the customer over to a certain extent. Anyhow best to close the account and shop elsewhere.

[Boonie]

Yes, Swiss Colony will pull a credit report on every order when using their credit plan.  Their site says "Please note all credit orders will be subject to final credit approval."

This is the same for their sister companies:  

Country Door, Severnth Avenue, Ginny's, Monroe and Main, Midnight Velvet, Tender Filet

Also, they do not report your account to the credit bureaus unless you default. 

[fishbjc]

okkkkkkayyyyyy, that's just insane, ridiculous, nuts, and all kinds of B.S.

Thanks for posting, no more orders from S. colonly.

[fedxboy]

"This is the same for their sister companies:  

Country Door, Severnth Avenue, Ginny's, Monroe and Main, Midnight Velvet, Tender Filet

Also, they do not report your account to the credit bureaus unless you default."

Yeah, I wish these companies would stop sending me their junk catalogs, with my credit limit plastered all over the cover, back page, and middle insert.  I had about 60 lbs of these catalogs over the course of the last 4 years and had to pull out all the inserts and front/back covers for the shredder.

[MsLadyRover]

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@fedxboy wrote:

"This is the same for their sister companies:  

Country Door, Severnth Avenue, Ginny's, Monroe and Main, Midnight Velvet, Tender Filet

Also, they do not report your account to the credit bureaus unless you default."

Yeah, I wish these companies would stop sending me their junk catalogs, with my credit limit plastered all over the cover, back page, and middle insert.  I had about 60 lbs of these catalogs over the course of the last 4 years and had to pull out all the inserts and front/back covers for the shredder.

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I totally know what you mean!!  I tend to get all of those same catalogs around Christmas time.

[kade6767]

While there is that clause that says subject to final credit approval, that would indicate to the average person that unless you are applying for new credit, or let's say don't have enough credit to cover your current order that would simply mean your order would not be approved for this reason. The only time it shows you should have a credit inquiry is if applying for new credit. Personally, I'd like to sue them for deceptive credit practices and have this go class-action. I know I am not the only one who feels deceived by this practice. Choose N' Charge is the credit offered not only by Swiss Colony but 8-10 other sister companies.

[justrock]

Tnanks for this.  I have an account with them from a single order at Christmas time.  I am autopaying the $16 balance this month.  I wil never use them again.

[kroberts67]

Catalogs are showing up again (happy holidays!) with preapproved credit limits and this is my reason for this bumped thread....   BEWARE.  I received a catalog yesterday and only thought it was a little bit funny, but then I read this thread and realize it's seriously disgusting what this company is doing.  I can choose to order $400 worth of chocolate and other crap (gross!) on credit, or I can shred it & throw it in the round file.