Updated 10/25/2010-Substantial evidence that the Anacott Financial credit card may be some form of scam exists. As I wrote yesterday, Tim Chen at NerdWallet and Felix Salmon at Reuters have put forth a compelling picture of a company that, at the very least, may be lying about its product and operations. At worst it could be a scam that collects social security numbers and $99 application fees by luring in consumers with a too good to be true credit card for people with bad credit.
Unfortunately, if you are looking for information about Anacott Financial, chances are you have already applied for their credit card or used their phony free credit score service. If this is the case, here are steps you should take to protect yourself:
1.) Contact Anacott Financial at 215-268-7663 and request a refund. If your request is denied, threaten to contact your attorney general and inform them you will be disputing the $99 application fee with your bank or credit card company. If they refuse to refund the application fee, proceed to step 2. (In fact, I suggest doing step 2 anyway, just in case you are lied to on the phone.)
Update: Some visitors have reported that Anacott Financial’s phone number is no longer operational. If that is the case, you should try to contact Allied Wallet at 1 (888) 255-1137. This is the company that processed your payment. Many people have reported success with this route. Nevertheless, I still advise doing step 2 as well.
2.) Contact your bank or credit card company and dispute the $99 fee. When you applied and paid this fee, you were likely under the impression that you had a 100% chance of getting approved for an unsecured credit card with a 6.99% Intro APR. Today, visitors of Smart Balance Transfers wrote in informing me that they had received “credit cards,” but that they looked fake and had no Visa or MasterCard logo. In other words, there may be a bait and switch marketing trick going on.
Hopefully, your credit card company or bank will quickly refund the $99. If they hesitate, refer them to Felix Salmon’s article at http://blogs.reuters.com/felix-salmon/2010/09/29/dodgy-credit-card-of-the-day/. This should get the point across.
Important Update: In addition to requesting a refund, I also strongly recommend cancelling the credit or debit card you used to make the $99 payment and asking for a new one to be mailed. This will protect you if the company attempts to bill you or use your credit card without your permission.
3.) Put a fraud alert on your credit reports. Anacott Financial is collecting social security numbers from card applicants and from people who use its phony free credit score function. What they do with this information has yet to be determined. However, due to the questionable nature of this operation, I highly advise anyone who provided them with their social security number to contact the three major credit bureaus and put a fraud alert on their credit reports.
You can file fraud alerts online at Experian (https://www.experian.com/fraud/center.html) and Equifax (https://www.alerts.equifax.com/AutoFraud_Online/jsp/fraudAlert.jsp), but you must call Transunion at 1-800-680-7289 to file an alert.
Hopefully, following these steps will get your money refunded and prevent any unauthorized use of your personal information. If you have success in securing a refund, please leave a comment so others can utilize the same strategy that worked for you.
Update: October 21st, 2010
A reader sent in scans of the credit card he received from Anacott Financial. Here, you can see this “credit card” lacks a Visa or MasterCard logo. That would make it rather difficult, if not impossible to use. The back of the card (not pictured) had a black stripe, but lacked identifying information, a signature panel, a customer service number, or any sign that it was related to a payment processing network.
Jeffrey Weber
Smart Balance Transfers
October 15th, 2010 at 7:31 pm
They scammed me and my husband too I want this fraud company to be shut down.
October 18th, 2010 at 3:20 am
thanks for the post
October 18th, 2010 at 10:48 am
I got hooked too, I can’t believe I fell for anacott, Thank
You for this info. & all your help. Now I’m just worried
What they are going to do with all my info.
October 18th, 2010 at 10:54 am
Robb,
Its too early to tell if this is a total scam or just a total rip-off. If, as I hope, it is a rip-off, then you can fight to get your money back and the issue is over. If it turns out to be a scam, they might attempt to use your personal information to apply for credit cards or other loans, which is why I suggest putting fraud alerts on your credt reports.
Definitely keep an eye on your credit reports in case something sinister is up, but hopefully they are just out to collect $99 application fees.
October 21st, 2010 at 8:23 am
I fell for the Anacott Financial rip-off, but I got my $99 refunded from AlliedWallet, the third party biller that Anacott Financial is using.
This is the information to contact AlliedWallet:
http://www.alliedwallet.com/contact-us/
October 21st, 2010 at 8:47 am
After I cancelled my Anacott Financial credit card and obtained my refund, I received their “credit card” in the mail. The card looks so fake and they probably sent it to say they “did” issue a credit card.
This is what’s wrong with their card:
- The card does not have a Visa or MasterCard logo. Usually, when you make purchases online, you have to enter the type of card you are using.
- With the exception of the magnetic strip, the back of the card is totally blank. There is no signature box, no security code and no contact information for the issuer.
This card looks so fake that my 10-year old grandson could have done a better job with its design.
I am not going to use this phony credit card, because I don’t want to be accused of attempt of fraud.
October 21st, 2010 at 8:51 am
This is the first report I’ve heard from someone who actually got the card. Was it made of paper. How were you supposed to use it? This is absurd. If possible, can you black out the cardnumber and personal details and email me a picture?
October 21st, 2010 at 10:11 am
Thanks for sending in the images Eduardo. I can’t believe anyone would try to pass this off as a real credit card.
October 21st, 2010 at 10:42 am
Eduardo emailed me this. Apparently, law enforcement isn’t interested:
“I am going to put the fraud alerts on my credit reports. I guess I was one of the first ones that applied for their credit card, because I did not find any negative information about them on the internet. Thanks to people like you, Felix Salmon, Tim Chen and others that are helping to put this company out of business. I placed an IC3 complaint and contacted the FBI, but they told me to contact my local police. I guess there are so many scams that law enforcement doesn’t know where to begin investigating.”
October 21st, 2010 at 11:36 am
Anacott Financial credit card fraud victims need to file an IC3 (Internet Crime Complaint Center) complaint. If we submit enough complaints, we may be able to get law enforcement involved in the investigation of Anacott Financial. Here is the link to file your complaint:
http://www.ic3.gov/default.aspx
October 21st, 2010 at 2:29 pm
MY HUSBAND APPLIED AND PAID FOR THIS CARD, HE FINALLY RECEIVED A FAKE CARD WITH NO MASTERCARD OR VISA LOGO. I ALSO CALLED MASTERCARD DIRECTLY AND THEY HAVE NEVER HEARD OF THEM. SO PLEASE DO NOT FALL FOR THIS SCAM.
October 21st, 2010 at 2:29 pm
The same thing just happened to us. We received the fake credit card. I immediately called Annacott Financial to find out what was going on but couldn’t reach a representative. Then I decided to search the Internet for Annacott info when I stumbled across this article (which was very helpful). I finally spoke to a rep who said that the card can be used to bring up our credit score, etc. I politely told him to provide us with a refund and after a short debate he said he would. I feel like an idiot but when I called them before sending the money, the rep told me that we were pre-approved for $2400 and that it was a Mastercard. She never mentioned the “Anacott Card” (whatever that is). Before applying we searched the web to find out more information and didn’t find any negative content about them…my have things changed. We also had to send a copy of our drivers license and that makes me nervous! I will take your advice to protect myself and file a complaint. Thanks for the info!
Sincerely,
Disgruntle lady
October 21st, 2010 at 2:32 pm
I’m glad if I am able to help.
October 21st, 2010 at 2:43 pm
I too fell for the credit card scam lol, i just got the card today and laughed when i saw it, the card looks like someone just copy a print over some plastic card, anyway i called them up and cancelled that phoney account and demanded my refund back which they stated will be refunded in 3-5 days, i also called my bank and informed them that if i dont get my money back in 5 days then it will be disputed, i also canncelled my debit card since they have a copy of it,to all of you people out there lets remember if it sounds to good to be true then it isnt ..lol.. in other words WE WERE ALL SUCKERS….
October 21st, 2010 at 3:22 pm
I too must have fallen for this scam. As of today, October 21, 2010, I did receive my card in the mail and it is exactly what has been described so far–NO logo of any kind, NO signature space on the card. Overall, it looks incredibly FAKE! It was advertised as a credit card online, but once you activate the card, it is definitely all of this jargon that leads you to believe that this is definitely not a legitimate card. What’s even more bizarre is that I just tried calling Anacott Financial today to discuss this (during normal business hours and they are CLOSED! Very interesting. I wonder if they have finally gotten busted and everyone who gave them $99 like I did are just plain out of luck.
October 21st, 2010 at 3:45 pm
MY HUSBAND HAS BEEN FIGHTING WITH THEM ON THE PHONE ALSO, THEY SAID WE COULD USE THE CARD ANYWHERE MASTERCARD IS ACCEPTED, THIS WAS BEFORE WE RECEIVED THE CARD. THE CARD IS SO FAKE THAT IS LOOKS LIKE A TOY A KID WOULD PLAY WITH. THEY ALSO HAVE MY HUSBANDS COPIES AS WELL. WE HAVE NOTIFIED OUR BANK AND WE ARE FLAGGING HIS CREDIT REPORT DUE TO THE SSN BEING OUT THERE. MASTERCARD CLAIMS THEY ARE A SCAM AND THEY HAVE NEVER AUTHORIZED THEM TO USE THERE LOGO. THATS WHY ITS NOT ON THE CARD IN THE PICTURES. IF ANYONE KNOWS HOW TO GET THEM OUT OF BUSINESS PLEASE LET ME KNOW. THEY ARE GETTING MONEY FROM PEOPLE WHO DON’T HAVE MONEY AND ARE IN NEED OF CREDIT.
October 21st, 2010 at 7:13 pm
I was also told i would recieve me card on the 28th and Nov 2nd the lastest. How ever i call anacott everyday with a new question and the answer it professionally sound so real but when i applied using a fake name and ssn i was approve for 1600 so I know they are a scam. What gets under my skin the most is the represenative dare you be so fake when you call in. Im contact someone that can shut them down ASAP cause it ridiculas that ppl go into hope head first and get scammed blindly.
October 21st, 2010 at 7:17 pm
Kim,
I cant believe they approved you with fake information. This is yet another highly suspect act. I hope you are able to get your money back. I wouldnt wait for the card, as people who are getting it are even angrier than those who never got it.
October 21st, 2010 at 10:28 pm
kim, you need to go ahead and get your refund from your bank, they keep hanging up on my husband when he calls and says the card looks like my 6 years toy. they have taken from people who don’t have the money to begin with. they are unlocatable and will keep scamming unless we get the message out.
October 21st, 2010 at 10:54 pm
I was scammed by Anacott Financial as well. I applied back in September and was told that I would get my card in 10-14 days. I received the fake card today and after reading everyone else’s post, it looks like they timed when everybody would get their cards, and then they must have closed their offices today because I called and could not reach them. They were closed. I called my bank immediately and they were not surprised at my bank. I think that they have recieved numerous complaints about this company
October 21st, 2010 at 11:23 pm
I just received my Anacott Financial Credit Card today (10.21.10). When I opened the envelope it was the MOST EXPENSIVE piece of plastic I had ever bought. I’m lost for words… very upsetting.
and the ONLY real truth about this card was that I was told by Anacott Financial Representative that it was going to arrive in the mail today October 21st… which it did. Everything else was lies…i.e being able to use your card like any other credit cards. My husband can’t stop laughing at me because as fake as the card looked, I convinced him to take me to the store to prove him wrong and his remark was… I better not get arrested, this card looked so f@#*ing fake. The cashier swiped the card and said..”NOTHING… NOTHING” and looked at me as if I was scamming him. It was so embarassing. The bottom line is… Anacott Financial Credit Card is a SCAM and now I am out of $199 because I applied for me and my husband. Lesson learned.
October 22nd, 2010 at 7:14 am
They have been hanging up on you? How many times has this happened?
October 22nd, 2010 at 7:16 am
Jen,
I’m sorry this happened but very much appreciate your sharing. You are the first person who has reported trying to use the card. As I suspected, it doesn’t work.
October 22nd, 2010 at 11:37 am
I reviewed the information from NerdWallet and cancelled the card immediately! I think it is a total disgrace to have been told you are approved for a Mastercard or Visa. I followed the information provided by the YouTube video of Tim Chen. I notified the investigation department and also flagged my credit report of being a possible victim of a scam. I am so glad I didn’t also apply for this card for my husband or that would have been another $99 I would have had to try to get refunded. I was told on 10/20 that my $99 processing fee would be reimbursed within 7-10 business days. I am totally AGITATED, AGGRAVATED and saddoned that scammers find humor in taking advantage of people that are just trying to re-establish their credit.
October 22nd, 2010 at 1:43 pm
In response to Jen’s comment of…
“…now I am out of $199…”
No, Jen…you are not.
As a former Chargeback Analyst and Fraud Prevention supervisor for a major US catalog corporation, I will tell you what you need to do.
Immediately – if not sooner – contact your bank. Get a customer service agent. A manager. ANYONE with some authority. Explain in detail as to what happened, and demand your money back. Almost EVERY bank out there will issue a full refund of both the $99 as well as the money transfer fee (anywhere between 2-3 bucks).
Much like yourself, I also fell for this scam (I’ve yet to go to my PO Box to see if my plastic toy has arrived). However, I acted quickly, and reversed the charges towards my bank account. The kicker here, is that my bank contacted ME, to tell me that my debit card (the one I’d used for this purchase) had been “compromised”, and that they were issuing me a new card. You may want to request your bank to do the same.
Don’t feel foolish. A lot of us…old, young, etcetera, have fallen for such scams. Just know that you CAN – and SHOULD – fight back.
October 22nd, 2010 at 2:29 pm
Editor’s Note: I am approving this comment only because I think it was placed by the company. The email address is fake and the email came from Belle Meade, NJ. Perhaps they are operating near there. But seriously, with everything I have heard, I don’t think this comment could possibly be true. This is the comment:I had a different experience from all of you guys. I receive my card promptly within the timeframe stated in the letter. I was really grateful for this since I had some overdue medical bills and was in need of car repairs. Thanks to Anacott for the wonderful customer service agent, Ajahemidhanji. He explained everything with such thoroughness and care. I have so much to thank them for, because without them I would not have been able to afford the much needed car repairs and pay my medical bills. THANKS ANACOTT!!!
October 22nd, 2010 at 2:42 pm
I was promised a $5200 credit limit. I promptly paid my $99 out of my light bill money. I had to come to the library since my lights been off for three days. I got my card but it will not accept payment on the light company’s automated billing system. I don’t know what to do.
October 22nd, 2010 at 3:28 pm
Steve,
Thanks for sharing these insights. I hope others will find this helpful.
October 22nd, 2010 at 3:33 pm
My husband has bad credit because of pretty wild things his first wife pulled off. He wants to rebuild his credit and thought about doing this over a credit card application (which I told him not to do. He did “research” and applied with Anacott Financial. I’m a research junkie due to my professional studies and researched Anacott. I warned him that it was not a legitimate company, he applied anyway.
Today (10/22/10) his “credit card” came in the mail. A cheap plastic card with no Visa/Mastercard log, no CVC/CVN (three digit security code) on the back of the card, the card number is printed on to the card, as is the name. A legitimate credit card has a cardholder number and name as well as expiration date on it that has been punched (indented) on to the card, as well as room for the cardholders signature on the back and a three digit security code. Information such as that the card is the property of the card holder and be returned upon demand, as well as that the card is not transferable should be on the back of the card.
This card looks so fake that my twelve year old son could have done a better job. It is the size of a credit card, yet has NOTHING that bears any real resemblance of an authentic card on it. It actually looks like a terrible copy of something that was then laminated. The entire card looks worse than the membership cards one receives from Grocery outlets such as Sam’s Club and similar.
Anacott Financial cannot be contacted at all. They have shut down their services. My husband contacted his bank, reported the fraud and had his already existing card shut down. The funds will be returned to his account and a new card will be issued. All is well that ends well EXCEPT that people should always check up on something that seems to good to be true.
If you have bad credit and someone is offering you a credit card to such excellent terms as Anacott Financial did, ask yourself, “Is this too good to be true?” Chances are, it is all a scam. If it were that easy, no one would have problems receiving a credit card.
October 22nd, 2010 at 7:23 pm
I also fell for the scam, but, I went to Allied Wallet and requested a refund. They reponded very quickly and told me they would investigate and get back to me in 2 days. I waited for 4 days, contacted them again, they apologised and refunded my money immediately. I have kept all the documentation from beginning to end and will share if anyone needs it!
October 22nd, 2010 at 11:21 pm
I too was a victim of the scam ! I receive my card today and i notice the the envelope had a postal stamp that came from West Palm Beach Florida. I believe this is a sign that their operation is located there !!! Just wanted everybody to know if this would help.
October 23rd, 2010 at 7:06 pm
I am glad I did my research and did not fall for this. I thought it was too good to be true, and found a ton of bad reports for them online. To test it out for myself, I “applied” using a rediculous name and address, fake social security number, (123-45-6789) and fake payment information, and was immediately approved for a $1600 limit! I have been sent several emails of course saying they were unable to debit my fake account for the fee, giving me a link to submit different payment information. The most recent was yesterday, saying my application was about to expire…. there is no way any real person is reviewing these applications – just the fake name I gave alone would have been a tip off to any real company that it was a fake application. Just wanted to share this info for all out there to hopefully prevent anymore people from being scammed by this company!
October 24th, 2010 at 7:07 am
We’ll after I had to call them a few times to see where my card was. It finally got here. At least yours had your name on the card. My card came with someone elses name on it. The letter that was provide with it had my 2300 credit line and my info on it. It was the same card as everyone else. No visa or mastercard logo. When I tryed calling them a few days ago I got nothing but an answering machine. Definetly a scam. I called my credit card company that I payed the $99 application fee and got a refund. I also put a fraud alert on my credit report. Anocot had also but that $99 application fee as a cash advance which I never athorized. Thanks for all your advice. I too did not see any negitive info online berfore I applied mid month in September. Offer was too good to be true and I shouln’t went for such a ripooff scam.
October 27th, 2010 at 7:27 am
called allied (anacott’s payment processor) and they said they are no longer doing business with anacott because of all the complaints. i wish there was a way to track these down before they skip.
October 27th, 2010 at 8:35 am
I wish they had stopped a month ago, but at least they can’t take cash from new applicants for the time being.
October 27th, 2010 at 4:25 pm
in case anybody wants to know, allied (anacott’s processor) is loacted here in the states. Scotsdale, Arizona
October 28th, 2010 at 9:37 am
From what I have heard, Allied Wallet did an excellent job in getting people their money back, so I don’t blame them. They are simply a payment processor and I don’t think they had anything other than a third party relationship with Anacott.
November 4th, 2010 at 5:28 pm
I applied for Anacott credit card,put fake ss.# and the name I used was
Ahnadinejad!!! recieved an email from Anacott,stating that I was approved for $1600.00.Asked for $99.00 & copy of my drivers licence and copy of a credit card.they are sending me emails,requesting the same thing.I think FBI should get involve & put these scam artists out of business.
November 5th, 2010 at 8:08 am
Alee,
Do be careful about using fake numbers. It could cause someone else a problem if you accidentally input theirs. I think these guys are on their way out of business and wouldn’t be surprised if an investigation is already taking place.
November 6th, 2010 at 9:48 am
They sent me that same card and now they are not answering their phone.
November 6th, 2010 at 11:52 am
Brenda,
I am sorry to hear this and think your best strategy is to request a refund through your credit card or debit card company and then monitor your credit score and reports to make sure that they don’t use your information.
November 6th, 2010 at 2:14 pm
my bank gave me credit for the 99.00 and they are investigating the company for fraud so they are going out of business anyways…. we have reported them
November 27th, 2010 at 7:26 pm
anacott gave me the runaround for about a month. I finally received the fake card in the mail. i called allied for a refund and i received it in about 10 days. i am now watching my credit report and complained to the fbi-internet division.I kept the card as a reminder to not be so stupid
December 1st, 2010 at 2:02 am
To add onto my comment from October 22nd…
For laughs and giggles, I decided to see what would happen if I tried to purchase one of Anacott’s “services”. I purchased both the Credit Building Guide, as well as the phone consultation with the “Credit Advisor”.
To my complete LACK of surprise, I’ve received nothing. No phone calls. No e-mails. No packages. The kicker? Anacott’s website still shows that I have all of my “available credit” to spend…further proving that this is a scam to the nth degree.
I’ll laugh if I ever get a bill from these clowns.
December 1st, 2010 at 10:56 am
Steve,
I would be careful. If they do charge you, they could send your account to collection. If you can cancel this, I would do so immediately.
December 2nd, 2010 at 2:22 am
They can be my guest and send it to collections. When they do, I can send the agency every last bit of proof that I have, showing that they are a scam. I know you’re looking out for me, and I appreciate that….but they are not legit. Not even a little.
December 2nd, 2010 at 7:52 am
Steve,
You are definitely right and have every reason to be pissed at the company. I just don’t want you to waste more time dealing with them, though do let me know if they try to charge you. I’m interested to see if they have completely folded or are still working to scam people that haven’t figured out what a crock they are.
December 5th, 2010 at 4:37 am
Yup it’s a scam big time! They sent me the fake looking credit card that looks like it is suppose to be used as a key. It took them about a month to finally send it to me to. After fraud was reported on my debit card and I had to get a new one the bank still had the fee on there so I was like what the hey and sent them the new debit card picture to just so I could see this card. Well it’s time to get my fee back now and a brand new card. So much for credit score like usual.
December 8th, 2010 at 11:56 pm
I’m glad I didn’t fall for this scam and feel sorry for those who did. IN AMERICA THE MOTTO IS: CAVEAT EMPTOR! If you’re mad don’t be. Get EVEN! CALL THE FEDS AND YOUR STATE ATTORNEY GENERAL. If enough people complain to their state and federal law enforcement agencies, a company such as ANACOTT FINANCIAL wouldn’t dare to perpetuate this SCAM!
December 9th, 2010 at 11:27 am
Here it is, a week or so later – and I still have the full $1600 “credit limit”. No bill. No anything.
December 9th, 2010 at 12:03 pm
Steve,
Did you just recently apply? If so, how did you find them? On a website or through direct mail?
December 14th, 2010 at 10:12 am
Actually, I had applied in September. My “card” came in October. Since then, I have heard nothing more from them. Not a letter, phone call, or e-mail.
And – I just checked again – I still have my $1600 “credit limit”.
January 22nd, 2011 at 6:33 pm
I filed a complaint with National White Collar Crime Center. I recieved an email from my local police department that they were notifiying the Attorney General (SD)that was in November. Just today I got a letter in the mail from the PA Attorney General. Even if you got your money back please file a report with the PA Attorney General or go to the National White Collar Crime webste.