Knock It Off, FTC Tells Telemarketer
PHOENIX (CN) - National Card Monitor, a telemarketer, promises consumers low-interest credit cards but doesn't deliver, the Federal Trade Commission claims in court.
The FTC sued National Card Monitor aka Nationwide Card Monitor, of Mesa, and their CEO and sole member, James Eric Cox, in Federal Court.
Since early 2011, the defendants have "telemarketed credit card interest rate reduction services to consumers" and on several websites, the FTC says.
In its telemarketing calls, Card Monitor claims it can reduce "consumers' credit card interest rates by obtaining for the consumers one or more low interest rate credit cards onto which the consumers can transfer their credit card balances," according to the complaint.
The defendants claims they can get "very low interest rates, such as seven percent or even zero percent, for consumers," and that they have a money-back guarantee for their "service," which costs consumers $499 to $599.
But in most cases, the defendants fail to get any credit cards for consumers, and in the "few instances where consumers do receive a credit card, it is not the low interest rate credit card that was promised during the initial telephone calls," the FTC says.
The money-back guarantee also is bogus, the FTC says.
Also, the defendants "have made numerous calls to telephone numbers on the National Do Not Call Registry."
The FTC seeks rescission of contracts, restitution, refunds, disgorgement of ill-gotten gains, and an injunction.