Philadelphia Woman Fights Capital One Over $286 Million Bill

Most Americans have credit card debt, but most have never received a bill like the one Patrice Perry received from Capital One.

In August, Perry opened her mail and found a $286 million bill from Capital One. You did not read that incorrectly. To be exact, her bill was for $286,651,237. Now, how could Patrice Perry, a hotel clerk, possibly rack up that much in debt? She had gone into some debt when her hours were cut back at work, but how did Capital One determine that she owed this much?

A little over a year ago, Perry’s credit card bill was $4,807, but after she received another bill two months later, she decided to wait to pay it. Her confusion was due to the amount Capital One said that she owed. Her second bill was $100 less than her first bill, even though she did not make any payments to it. She followed the bill amounts for the next few months, and they would shoot up and drop down again and again. When she received the now infamous $286 million bill, there was a letter saying that if she did not send the full amount for the bill, they would sue her.

Rather than be intimidated, Perry got a lawyer and sued Capital One for “terroristic debt collection methods,” saying that Capital One was essentially “knocking on the door and punching [her] in the face” when she answers.

Capital One is blaming the situation on a computer error followed by human error, but Perry thinks that Capital One was trying to intimidate her into paying. The question is what amount did Capital One want her to pay? Was it the first bill or the lower second bill? Is she supposed to pay the $6,000 that Capital One now claims that she owes them? Even scarier, how many other people have received credit card bills that have similar errors on them?

I hope that more people are willing to stand up to the credit card companies the way Perry has done. A credit card company should not be charging one of their customers for $286,645,237 more than they actually owe and intimidating them with threats of legal action. Pay what you owe and keep your credit score in good standing, but when you know that you are being overcharged, stand up for yourself.

To learn more about responsible credit card use, go to http://blog.mycreditspecialist.com, and go to http://www.mycreditspecialist.com to sign up for a free credit evaluation.

Credit Card Fraudster Gets $9,000 Liposuction, Breast Implants

Sometimes it can be tough writing about credit card debt, deceptive practices by credit card companies, and the bad economy. To be honest, it gets me down. Many Americans are having a tough year financially, and I have a hard time finding something worth a smile, much less a chuckle.

For those of you out there having a bad week and in need of a laugh, I ask you to direct your attention to Miss Shatarka Nuby, the latest winner of the prestigious Navin R. Johnson award.

Nuby is a repeat offender who has been busted before for using a fake driver’s license to cash a check, and she has been caught with fake IDs and credit cards opened under other peoples’ names. This time, she stole a college application and used the information from the form to open a new credit card. Why would she steal a stranger’s identity and potentially mess up a young college-bound student’s credit? She wanted $9,000 worth of plastic surgery. Nuby already had breast implants, but the surgery would give her bigger implants and liposuction to boot.

Now, this might seems selfish, superficial, and downright stupid of Shatarka Nuby. Did she really think that she could get surgery and pay for it using a credit card in someone else’s name? If you will allow me, however, I think I can get inside the head of Miss Nuby and explain her thought process.

Women rarely get breast implants and liposuction for themselves. They get breast implants and liposuction because they are concerned what other people are thinking about them. I think Nuby did it because she wanted to meet a man, specifically a rich man who would appreciate her lack of character and newly inflated assets. Her dilemma was that she needed the surgery to get a rich boyfriend, but she needed the rich boyfriend to get the surgery she couldn’t afford, the Catch-22 of gold-diggers. Maybe she thought that if she got the surgery through illegal means, she could buy her way out of it later once she had the aforementioned rich boyfriend, but that was a calculated risk which resulted in a two-and-a-half-year prison sentence instead of a life of luxury.

For this reason, we are giving the Navin R. Johnson Award to Shatarka Nuby. We hope that your liposuction and new implants were worth the prison sentence.

To learn more about responsible credit card use and protecting yourself from credit card theft, go to http://blog.mycreditspecialist.com, and go to http://www.mycreditspecialist.com to sign up for a free credit evaluation.

D.C. Mayor-Elect Credit Card Stolen, Used for Alcohol and Cigarettes

Being elected to public office, especially the mayor of Washington D.C., is usually a good guard against credit card fraud.

For Vince Gray, however, name recognition was not enough when Gray left his wallet on the counter at a CVS store. 22-year-old clerk Tamika Garris used Gray’s card to buy cigarettes at the CVS store and alcohol at another liquor store, racking up almost $40 in fraudulent charges.

$40 is not a whole lot of money in the scheme of things. Gray is a politician, and $40 isn’t a big loss. I have to wonder, though, if the clerk at the liquor store didn’t bother to look at the name on the card or didn’t recognize the name on the card. Considering that Gray was elected to office just a short time ago and the clerk is definitely old enough to vote, I am pretty worried about elections in Washington D.C. Was the clerk not paying attention to the mayoral election? Did the clerk vote? How poor is credit card security in Washington D.C. that Tamika Garris, a young woman in her twenties, can walk into a liquor store and use mayor-elect Vince Gray’s credit card?

For this incompetence, I am awarding the Navin R. Johnson Award to Tamika Garris and the liquor store clerk who thought she was Vince Gray. When The Jerk can spot credit card fraud better than you, then you know you’re in trouble.

To read more about responsible credit card usage, go to http://blog.mycreditspecialist.com, and sign up for a free credit evaluation at http://www.mycreditspecialist.com.

Are You a Shopaholic? Use the "Buddy System!"

Last week on Black Friday, the Vancouver Sun did a profile of Smart Cookies co-founder and self-proclaimed shopaholic Katie Dunsworth. In the interview, she spoke about her previously terrible spending habits and obsession with “trying to keep up appearances.” Nowadays, she sets up safeguards to prevent overspending including determining ahead of time with her husband how much they are going to spend and what they are going to buy. She even takes a friend or her husband to the store with her to ensure that she does not go off of the pre-determined budget and shopping list.

I thought that this was a wonderful idea for people having trouble curbing their spending. When you go out to the mall this year, we recommend taking a friend or significant other along with you. Make sure that they are the type of person who will keep you accountable instead of giving into impulse buys themselves. The best part about this idea is that it will give you time to chat with the person you brought along with you and catch up in the midst of the busy holiday season.

Do you usually go shopping with friends or a spouse, or do you shop alone? Do you spend more or less money while shopping with another person? Comment below and tell us what you think!

To learn more about responsible spending habits, go to http://blog.mycreditspecialist.com, and sign up for a free credit evaluation at http://www.mycreditspecialist.com.

Can This "Jerk" Spot Credit Card Thieves Better Than Atlanta Retail Stores?

In recent years, many consumers have gotten smarter about protecting themselves from credit card theft, but it seems that retailers have gone backwards in the most common sense safeguards.

A CBS News affiliate in Atlanta decided to find out just how easy it would be to borrow a co-worker’s credit card and use it to buy fast food, a saw kit, and groceries at stores around the city. They made it more difficult by taking a Bank of America credit card which includes a picture ID on the front of the card, thinking that the picture ID on the card would make it harder for them to use the card.

Unfortunately, they were wrong. They bought groceries at Target, a saw kit at Home Depot, lunch at La Parrilla restaurant, and fast food at Wendy’s without even so much as a question. The card owner is a Caucasian male, and throughout the day, it was used by a Caucasian woman and an African-American man, despite the picture ID directly on the card.

I for one cannot believe the incompetence of these folks. The moronic Navin R. Johnson from Steve Martin’s classic comedy The Jerk was better at spotting credit card phonies than any of the folks working retail that day. At least he looked at the name on the credit card and thought, “Well, none of the thugs in this car look like Mrs. Nussbaum. Maybe they are credit card thieves.” My favorite moment of the news story was when reporter Renee Starzyk asked the Wendy’s manager if they check ID for credit cards, and when he said no, she replied, “Not even one with a picture on it?”

Credit card theft can happen to anyone, and it is scary how easy it is to use someone else’s credit card to rack up all kinds of purchases. Be diligent, and keep a handle on your credit cards and your accounts.

To learn more about responsible credit card use, go to http://blog.mycreditspecialist.com, and sign up for a free credit evaluation at http://www.mycreditspecialist.com.

Independent Credit Specialist-Affiliates Opportunity

From My Credit Specialist:

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To learn more, go to http://mycreditspecialist.com/affiliates.html and find out how you can become an independent credit specialist!

Retirees Don't Plan On Paying Off Credit Card Bills

Retirement is supposed to be a time when people kick up their feet, relax, and enjoy life, but for many retirees, the list of bills is growing longer than their bucket list.

According to a recent poll, 39 percent of retired Americans have credit card debts that they do not expect to pay off at all in their lifetimes. The most frequently made charges for retirees were medicine, gasoline, and travel expenses. They figure that if their debt cannot be inherited by their children, then it won’t hurt to rack up debts and never pay them.

While technically debts cannot be inherited by relatives, there are a few loopholes. First, if a person gives away their house, money, or other possessions shortly before their death, those possessions can be recalled by creditors and sold to pay off debts of the deceased. Secondly, if the deceased had a joint bank account or joint credit card, then the person sharing their joint account is liable for the debt left over. Thirdly, a relative can be held responsible for taking care of the debt if they paid bills for the deceased. For example, sometimes a relative will write checks out of their own account when the retiree is physically or mentally unable to manage their bills. This practice can actually put the relative at risk of getting hit with debts of the deceased.

One way a person can help an elderly relative without the worry of being held liable for debts is to write the checks to the person directly, deposit the money into their account, and then write checks out of that account. Other ways of protecting themselves include staying away from joint bank or credit card accounts so that creditors cannot collect from other people on the account.

To learn more about smart saving, budgeting, and maintaining good credit, go to http://blog.mycreditspecialist.com/, and sign up for a free credit evaluation at http://www.mycreditspecialist.com/.

Turning Frugality Into a Lifestyle

Many financial experts are saying that we are at the beginning of the end of the "Great Recession" as it has been dubbed in the news, and as the economy improves, there is already speculation about whether American spending habits will change at all in the long run. In the past year, we have gotten smarter with our money. We are more frugal. We keep a close eye on our credit card balances and pay them off right away. When we don't feel the pressure to watch our finances this closely, however, will frugality become last year's trend?

I'm going to share some of my goals for the New Year, and hopefully they can help you keep your credit card debt down in 2011.

1. No more recreational shopping: I will shop when I need to. When I shop just to shop, I end up feeling more discontent with what I don't have than content with what I do have. Besides, I don't view eliminating my recreational shopping as a sacrifice as much as a trade-off. I am the type of person who ultimately appreciates experiences more than possessions, so I would rather have a nice night out with dinner and a theater show than spend an afternoon buying more shoes.

2. No procrastination with payments: I will keep up with my credit card payments and pay off my holiday debt before my honeymoon in February. As a freelancer, I also owe the government more in taxes, but I will keep up with payments via the Electronic Federal Tax Payment System (EFTPS) website instead of putting off payments until the end of the year.

3. Give myself a savings goal: Gregory Karp on Philly.com recommends giving yourself a savings goal so that you are working towards a tangible goal. As I said before, I am going on my honeymoon in February, and it is the perfect first savings goal for the year.

4. Set savings amount for each month: Through online banking, I can set up an automatic transfer of a certain amount of money each month from my checking account to my savings account. This way, I end up saving at least some money each month without me having to do anything.

Comment below and tell us your financial goals for 2011, and if you want to read more about money management during the holidays, go to http://blog.mycreditspecialist.com/2010/11/24/money-management-my-holiday-challenge/ and read about holiday money management. Also, check out http://blog.mycreditspecialist.com/2010/11/24/store-credit-cards-avoid-the-impulsive-trap/ to read why store credit cards can sometimes do more harm than good.

To learn about responsible credit card use and improving your credit score, go to http://blog.mycreditspecialist.com/, and sign up for a free credit evaluation at http://www.mycreditspecialist.com/.