More than a year ago, I noticed a recurring $10 charge from WLI*ShoppersDiscount on my husband’s debit card. I asked him about it, but he didn’t know what WLI*ShoppersDiscount was. Months went by and I forgot about it. Then I noticed WLI*ShoppersDiscount on his statement again recently and asked again. This time, he called the bank and found out that he allegedly authorized WLI*ShoppersDiscount to charge him. Finally on a whim, I did a quick internet search to learn more about the WLI*ShoppersDiscount charge.
What did I discover?
It’s a scam. It appears that my husband was offered some sort of a rebate online after making a purchase at a retailer like Fandango.com or 1800flowers.com. That led to the company giving his credit card information to WebLoyalty. WebLoyalty, the parent company of WLI*ShoppersDiscount, then enrolled my husband in some sort of “rewards” program and began charging him for his “participation.”
Here’s the kicker: when you “sign up” for WLI*ShoppersDiscount, you don’t even have to enter your credit card information. So, if aren’t reading carefully, you will miss the part where WebLoyalty tells you about the WLI*ShoppersDiscount membership fee and that the company you originally bought from providing your credit card info. Can you say SCAM?!?
WebLoyalty is a company based in Connecticut with an impressive website. WebLoyalty says that their practices are intended to make it “easier” for the consumer to join. With multi-million dollar profits each year, WebLoyalty is making a killing off of unsuspecting online buyers through the WLI*ShoppersDiscount charge. In 2004, WebLoyalty CEO Rick Fernandez told the San Francisco Chronicle that WebLoyalty had no intention of changing their practices. “The great, great majority of people who join have no issue with what’s going on,” he told the Chronicle. Three years later, it’s still business as usual for the online company. In fact, Fernandez was recently named to the 2007 Silicon Alley 100, which is a list of the most influential people in the digital world. Fernandez contends that WebLoyalty provides a valuable resource for online shoppers and online retailers.
But the work WebLoyalty is doing is impacting many people. Because of the low dollar amount, many people don’t notice the WLI*ShoppersDiscount charge until it has added up over time. A quick web search reveals that hundreds of people have been hit with the WLI*ShoppersDiscount charge from WebLoyalty over the past several years. And the number continues to grow.
What to Do If You Are a Victim:
1. Check your bank records. Go back as far as you can and take note of for how many months you’ve been hit with the WLI*ShoppersDiscount charge. Note the date it is charged as well (that can make looking easier – for instance, I noticed that my husband was charged on the 10th of each month so I just scanned for that date in his bank records and was easily able to locate the WLI*ShoppersDiscount/WebLoyalty charges.).
2. Call the WebLoyalty Customer Service line at (800)732-7031. Tell WebLoyalty that you just noticed the WLI*ShoppersDiscount charge on your bank statement but you didn’t authorize it. Tell WebLoyalty to stop charging you and request a full refund of all WLI*ShoppersDiscount charges paid. Don’t let them tell you that you did authorize it. Tell WebLoyalty that you most certainly did not and you want your money back from all of their fraudulent WLI*ShoppersDiscount charges. Don’t be afraid to threaten a call to your state’s attorney general about their scam if necessary. Whatever you say, don’t stop until they refund every penny they owe you.
3. Call your bank. Tell them about the fraudulent charges and the steps you’ve taken to get your money back from the scam. Ask that they keep an eye out for future fraudulent charges from WebLoyalty or WLI*ShoppersDiscount.
How Not to Be a Victim
Anyone can fall victim to a scam like WebLoyalty and suddenly find charges like the $10 a month to WLI*ShoppersDiscount on their credit card statements. The key is to be prepared for scams and be a vigilant shopper – online and in brick and mortar stores. Here are a few tips to keep you safe from scams and fraud:
– Always read the fine print. Your mother probably told you never to sign anything without reading it first. The same goes for the internet. Never give out your email address, credit card information, or any other information without first reading the fine print (that would be the Terms and Conditions online). Read the whole thing and read it carefully.
– Never give out your credit card or bank information without knowing who it’s going to. Just like you shouldn’t give your social security number to people who call you, you shouldn’t ever fill in your bank information unless you are intentionally paying someone. Use trusted websites for shopping, and be sure that you aren’t signing up for more than you bargained for by, again, reading the fine print.
– Watch your statements. Take notice when your bank statement comes and check every charge. If you have a question about one, don’t hesitate to call the bank immediately. Better safe than sorry!
– If something seems too good to be true, it probably is. That’s pretty self-explanatory.
– Use your resources. If you have a question about a Web site, Google it and find out more before proceeding with transactions.
