small-claims-court finance
Credit card dispute: burden, rights, and options
<p>I have a dispute with a credit card company.  I would like to know my rights and my options.  Here is the situation.  An Israel based group offered to sell me a language course. It was a year long course. I told the telemarketer that I was not sure I had enough free time to take such a course. The telmarketer told me that I could pay monthly and stop at any time.  After 3  months I tried to stop and was told that the agreement I "signed" on-line said I would pay for the whole course whether or not I finished it, and had no provision for stopping without paying. My credit card company, Amex, looked into the  matter and said I had to pay.  This is the first time in over 30 years with Amex that I tried to cancel a payment.  I am not happy with Amex.  Was Amex correct to decide for the Israeli company, accepting their electronic record over my statement about what the telemarketer said?  Why did my statement not satisfy whatever burden of proof that is needed? In any case, what are my rights and my options?  (For example, can I take either the Israeli company or Amex to small claims court in New York, where I live.) The amount involved is $666.00.</p>

<p>Update:
I called Amex and asked to speak to a supervisor.  He told me that the vendor has a cancellation policy. So, technically, they did not bill me for tuition after I told them to stop such billing. Rather the vendor billed me for a cancellation fee.  However, when I spoke w the telemarketer and gave him my credit card info I was not told about and did not authorize a cancellation fee.  The vendor sent me terms and conditions after the fact.  <strong>Amex also told me that the vendor said they have a recording of the sales call.</strong>  I have contacted the vendor and asked that they review that recording.</p>

<p>IANAL, but I see the following hidden issues within your statement -</p>

<p>First, if you only have a verbal statement and they have an electronic agreement, its more likely that AMEX will accept the electronic agreement as its stronger (not stronger != strong) evidence.</p>

<p>You may find it difficult to take the Israeli company to court, because its most likely outside the jurisdiction of the court - how can they "serve" notice on the company, and how can they enforce judgment ?  (The Israeli company is probably not bound by US law).    If you can surmout the obstacle of Jurisdiction, you may be able to get somewhere with AMEX.</p>

<p>Also, depending on your state laws, there will almost be a dispute resolution/escalation procedure you can follow with AMEX - you should follow up with this procedure, which could put Amex under pressure to change their view.</p>

<p>Alternatively, if AMEX refuse to honor your instruction to cancel an automatic payment (regardless of your agreement with the third party), you may want to advise them that if they don't follow your instruction, you will close your account... and then do so.</p>

<p>The small claims court issue was covered <a href="https://law.stackexchange.com/questions/9122/can-i-sue-a-company-in-another-country-in-small-claims-court">here</a>. If the card is stolen and used fraudulently, the customer has limited to no liability, but this was not card theft. It is <em>possible</em> but unlikely that a credit card company has a "satisfaction guaranteed" clause in their contract with you. If you think there is something in the contract where they refund your money, you can point it out to them. Otherwise, even if you had absolute undeniable proof of what you said, it is still not the credit card company's responsibility to make you whole. You would have to litigate this in Israel.</p>
