An extremely popular searched term on the internet "Free Credit Report" and the matching domain name FreeCreditReport.com® are taking a pretty big hit with a new law that was passed last Friday by the government.
The credit card reform bill signed into law by the president on Friday will not just put a stop to several unfair practices used in the credit card industry — it also targets misleading advertisements for phony "free" credit reports.
FreeCreditReport.com runs tons of catchy ads on TV singing its FREE credit report songs, when this really is not the case. You must sign up for a "credit monitoring" service first to get your "free" credit report. If you happen not to cancel what you signed up for in 7-days, you are charged $14.95 a month. So in a way it’s "free" but we all know many forget to cancel or to cancel.. it’s likely not that easy to do so.
Not only will you get charged $14.95 if you do not cancel, you are still handing over your "info" when signing up if you do cancel! That is something that is often overlooked.
So the new law requires sites like FreeCreditReport.com to include a new statement in it’s ads and also on it’s website that it is NOT the free credit report offered by federal law. I checked out FCR today and the statement is on it’s site.
Now if anybody really reads this statement posted right on the homepage of FreeCreditReport.com in plain sight, it is likely the person would not use FCR because of the statement and the link to AnnualCreditReport.com which is the Real free credit report by federal law.
IMO, since many do not read these things and the start of the statement still includes it’s "when you order your free report here" the whole thing can be deceiving.
It will be interesting to see if the commercials for FreeCreditReport.com keep playing with a changed disclaimer and new songs or if the site will fade into the sunset. It is very likely it will not fade into the sunset!
AnnualCreditReport.com was registered in 2004 and is registered at Godaddy.com! According to Compete.com, AnnualCreditReport.com get’s about 2.5 Million monthly visitors.
FreeCreditReport.com was registered in 1999. According to Compete.com, FreeCreditReport.com get’s about 2.9 Million monthly visitors.
Reece Berg
I was just reading about that earlier today.
It’s a good step in the right direction and I’m impressed with a lot of the new credit card regulation that’ll be put in place next year. It’ll be nice to see credit card companies no longer able to take advantage of those with a poor credit score by ripping them off royally under the excuse that they pose a greater credit risk. Looks like customers got the last laugh
Johnny
It not only a poor score these credit card companies are going after. I have an excellent credit score, but I have a lot of debt also.
In my case, believe it or not, Bank of America has now decided it wants TWO credit card payments a month. Have you ever heard of that in your life? It’s totally out of line, and maybe illegal.
My payment is now the 2nd and 28th every month at Bank of America. Unbelievable!
Reece Berg
Wow Johnny, I never have heard of that. I live in Canada myself but I’ve been reading a lot about the U.S. credit card regulations because our government is looking into making some changes as well here..
I’ve heard some of the credit card issuers in the USA are using the months until the new credit card regulation kicks in as “their last hourrah” — it’ll be the last time in a long time they can get away with any bull
Jane
Companies will always try to rip customers off.
People should try to be more careful and read a bit more. There is not point creating new laws to protect customers who can’t be bothered protecting themselves.
Pass more laws on health and education, not companies/customers issues!
John
Guess what? BOA plain doesn’t care what they are doing to their customers. If the customers default on their payments. The feds will inject more money out of everybody’s pocket since they need to be “propped up” again and again. Start practicing reaching over and grabbing your ankles and brushing the cigar smokes out of your face.
Cheers!
John
http://unplain.com
Kevin M.
“”People should try to be more careful and read a bit more. There is not point creating new laws to protect customers who can’t be bothered protecting themselves.”"
Yes Jane, I’m sure you read ‘every bit’ of the 12 page, fine printed, legaleze jargon associated with each of your credit cards, the updates for, and all the other notices they send out to you. And, understand it all too!!
Jamie Zoch
I love cigar smoke in my face
. I can say that I do not own a single credit card and am proud of it.
sip
I’m thinking about all that sweet one way link love that the AnnualCreditReport.com site will be getting.
John
@Jamie
If its your own smoke right? lolol
Jamie Zoch
@sip,
Good point.. I didn’t think of that. AnnualCreditReport.com already ranks #1 on Google for credit report and free credit report but I’m sure all the links will help PR and other serp’s as well.