Its one thing to nickel and dime your clients with excessive fees and service charges, but its quite another when a financial institution uses amoral policy to commandeer the funds of customers to maximize investment capital.
I was shopping for a T.V. on Amazon and shortly after making a purchase decided against this particular model.
I promptly informed amazon before the product was shipped that I wanted the order cancelled. Amazon immediately cancelled the order in question and no charge was made to my card. Netspend however felt it necessary to hold the preauthorize amount of $1250 for up to 15 days, refusing to release the hold on these funds unless the merchant sends a fax directly to them with a declaration of cancellation with the customer purchase and merchant cancellation data. Netspend is well aware of most merchant policies that restrict them from transferring sensitive credit and purchase data because of a faxes inherent vulnerability to third party interception.
Netspend uses this to their advantage by extending the amount of time they put a hold on preauthorize amounts by up to 15 days so if no purchase goes through, netspend increases its investment capital with customer's locked funds.
If anyone has experienced this please contact me with details on your situation to determine eligibility for class action suit being organized.
We would also appreciate any previous/current netspend employees with insight, willing to share information either confidentially or via affidavit about netspend's internal written and non-written policies. Contact me at email@example.com
Monetary Loss: $1250.