Marketed as a credit card to help rebuild bad credit, the Anacott financial credit card has proved to be nothing more than a scam, fleecing $99 from applicants who were drawn to the rather generous terms on offer. The card is still advertised on some credit card sites so caution is called for as the advertised deal is nothing but a scam. It has received hundreds of complaints which have been filed with the Internet Crime Complaint Center.
The Anacott card is advertised as having a 100% approval rate and available to all regardless of their credit. The marketing material states it can improve ones credit score by 100+ points. It advertises the sort of rates not usually seen in the bad credit industry with a low introductory APR of 6.99% for six months, then reverting to a fixed rate APR of 13.99%.
Additionally it promises no annual fee or monthly fees, though there is a $99 processing fee which ‘the company’ promises to refund if the card is cancelled within 5 days of application. In comparison to the usual offers of bad credit cards the Anacott card looks to be a sweet deal.
The disclosures in the small print clearly states that “it is our goal to offer you the credit card that best fits your credit profile, which may or may not be the card you originally inquired about.” This rather odd disclosure should have sent red flags up to those who applied. It seems that most applicants never received a card at all, despite paying the $99 processing fee.
Others however have received a plastic card bearing no Visa or MasterCard logo. Instead an accompanying letter informs them that their credit was not in fact good enough to qualify them for an unsecured credit card, and the useless ‘credit consulting credit card’ they have in fact received can only be used to purchase financial products from Anacott itself. These products comprise either a $50 an hour financial consultation or a $599 credit building package.
Those who have been anxiously awaiting the arrival of their unsecured MasterCard have become anxious and posted online regarding the legitimacy of the company. The scammers have in turn been leaving positive posts online regarding the card, in an effort to allay anxiety and keep the card applications rolling in.
Those who have already been scammed should seek a refund from their bank if they paid by debit or credit card, and many banks are now familiar with the scam. Those who are still debating if the card can benefit their credit score should avoid applying for the card completely and be aware that Anacott Financial LLC is not a legitimate company. It is disturbing that some credit card sites are still promoting this card.
The Anacott credit card scam was first revealed and exposed by Tim Chen of www.nerdwallet.com/