Consumer complaint received 2019-04-02
Company: WELLS FARGO & COMPANY
State: AZ
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Problem with a purchase shown on your statement
Sub-issue: Credit card company isn't resolving a dispute about a purchase on your statement

Complaint:
We expected a Gym Membership to begin in early XX/XX/XXXX, along with personal training sessions for two people. For a gym that was still under construction and not yet opened. 

We worked with a gentlemen named XXXX. He identified himself as the GM for the XXXX and XXXX location. He looked me in the eyes and gave me his personal commitment that he would not complete any billing until he reached out for confirmation. At the time I only had one card with me and it would be expired by the expected XX/XX/XXXX open date. 

XXXX advised not to worry, that he would call for updated information and expiration date before processing any billing. 

Before agreeing I had expressed to him concerns over hard to cancel memberships this is where he gave reassurance that we would never experience that with their company, as we were signing up under their PRE SALES agreement. He politely pointed out the agreement showing the EASY cancellation policy. 

-- -He gave me an EFT authorization form with the PRE SALES CLAUSE AT THE BOTTOM -- -this form showed I was agreeing to membership and annual fee totaling {$120.00} -- -and then ANOTHER AGREEMENT on a separate sheet of paper FOR Personal training with the words PRE SALES at the top in parenthesis- totaling {$630.00}. This did not have the clause written on the bottom, just the words Pre-Sales at the top. He assured me that it said PRE SALES at the top of the PERSONAL TRAINING visit and they would follow their PRE SALES CLAUSE from my EFT form. 

AND THE AGREEMENT PROVIDED STATES -- " any member that signs this agreement prior to the clubs opening will be allowed to cancel this agreement within 30 days of the clubs opening for any reason. By cancelling this agreement in the first 30 days, they will have no further obligation to any contract or commitment that they have signed for '' The gym never opened as expected until XX/XX/XXXX. No contact was made to advise of delay or even what was going on. I knew that the contact would need to be made as my card had expired XXXX of XXXX and they would have to reach out to me for new expiration ( as XXXX and I discussed during sign up ) I was astonished when I was notified by my financial institution that my card was over the limit -- Related to the fact THEY OPENED THE GYM AND BILLED ME! They never reached out as promised and were still successful in passing the transaction through my financial institution. 

We were less than pleased and decided at that time, this was not a company we wanted to do business with. When we reached out to XXXX on XX/XX/XXXX, he advised they had called to tell us they were open and the billing would begin. 
I advised there was no contact from him regarding billing, update to my credit card information etc. He said he had all that on file. I was perplexed -- how did he have my new information on file, if we never talked. He said, I see it right here your card expires in XXXX. This was not correct -- The card I gave him is written out with XXXX expiration. I advised him of this oversight. At that point He agreed to refund the charges in 48 hours. 

By Monday XX/XX/XXXX there was not any activity on my account. HOWEVER I did receive a voicemail from the merchant on this dateconfirming that he would refund it and set it to withdraw on XX/XX/XXXX like I had asked. That is not what I askedit is what he told me had to happen in order for his manager to allow a refund. I promptly called him back and was sent to voicemail. I left a message advising I had not asked for any additional billing in XXXX, I was cancelling under the promise and written contract he provided. He never replied after that and never promised refund. 

We never received services, never even set foot in the location, as this was a PRE-SALE, he advised we would be able to try it out for a week before completing commitment so we could be sure it was for us. 

Now that we have advised we are no longer interested, he is stating we must pay anyways, even though the agreement states otherwise. 

I attempted to reach out to their management team, only to be told they are local only and I will have to deal with the manager at the facility. This happens to be XXXX. 

The merchant verbally promised one thing, provided documents that supported their commitment -- -- and my financial institution refused the dispute, based on the fact that the merchant provided them with ONE DOCUMENT only the second document with the words PRE SALES at the top, but no PRE SALES clause. The merchant did not provide all documents, or explain PRE SALES clause which is written on my agreement to be a memeber! YOU have to be a member in order to get personal training! Wells Fargo has found in favor of the merchant on the {$630.00} agreement. However I was advised in my favor on the {$120.00} due to the fact that the PRE SALES cancellation clause is written out and not just highlighted at the top of the page. 

I had two witnesses with me at the time of the sign up that would be willing to give statements. I have all signed documents, and voicemail from XXXX confirming he would refund. 



WELLS FARGO PORTION FOR WELLS FARGO COMPLAINT -- My Wells Fargo Credit Card had expired XX/XX/XXXX. I am unsure how they pushed through a billing with an expired card on file, I have my original sign up paperwork with the card info and original expiration date. 

XXXX advised me that he had an expiration of XXXX???? That is strange because my new card expires in XXXX, and his paperwork shows my old expiration date of XXXX -- unsure how he was able to push this through. 

The merchant verbally promised one thing, provided documents that supported their commitment -- -- and my financial institution refused the dispute, based on the fact that the merchant provided them with ONE DOCUMENT only the second document with the words PRE SALES at the top, but no PRE SALES clause. 

The merchant did not provide all documents, or explain PRE SALES clause which is written on my agreement to be a memeber! YOU have to be a member in order to get personal training! Wells Fargo has found in favor of the merchant on the {$630.00} agreement. However I was advised in my favor on the {$120.00} due to the fact that the PRE SALES cancellation clause is written out and not just highlighted at the top of the page. 

I asked Wells Fargo to re-open the dispute as the paper with the PRE SALES clause written out was to apply to both agreements with the words PRE SALES on them, in addition I provided the WAV file from the voicemail XXXX had left. They advised they can not review the dispute again as even with those details it is the same dispute reason. They found in favor of the merchant and if I needed a refund I needed to work with the merchant. 

I don't understand how they can refuse the bait/switch ambiguous documents making the consumer think something is easily able to be canceled/ when it is not. In addition the bank advised that WAV files were not able to be used in disputes, even though my cell phone company can confirm date/time location of caller. 

The Wells Fargo team escalated to Executive offices for XXXX XXXX Case # XXXX -- on XX/XX/XXXX -- I was to receive a call back at XXXX XXXX XXXX within 3 buisness days. his number XXXX XXXX XXXX XXXX -- he did not return my call, nor did executive offices respond to a voicemail I left them earlier this week, asking why I had not received a follow up. 

The bank admits that the merchant did just enough to allow XXXX to push through the billing, and well they feel bad that happened, they simply can not escalate any further to XXXX. 

XXXX never called back to confirm why or why not. So I no longer have any ability to dispute through them. They did not protect my account nor were they willing to resubmit additional details to XXXX. I am unsure if you needed these details about WellsFargo or if those should go elsewhere. 

I mentioned this to Wells Fargo, they advised the merchant didn't need any additional updated information as when I signed up with the card, whether it was expired or not they pay it out. 

It is unclear to me how I have all the documentation, you can see how the merchant utilizes the phrase PRE SALES. I point this out to Wells Fargo only to have them advise that is the same info as is on initial dispute and nothing more could be done.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation