Consumer complaint received 2019-10-24
Company: First Data Corporation
State: WI
Product: Debt collection
Sub-product: Other debt
Issue: Took or threatened to take negative or legal action
Sub-issue: Threatened or suggested your credit would be damaged

Complaint:
In XX/XX/2019, I became the head of my small family business when my parents retired. One of the first steps we took together was attempting to transfer the old credit card terminal to deposit customer payments into my new business checking account. We had always worked with First Data, and used a credit card terminal we bought and paid for, rather than was leased to us. After contacting them about transferring it to my new account, the sales rep, who identified himself as " XXXX '', remotely deactivated our old terminal, declaring it obsolete, with no authorization from us whatsoever. We were then told about a new terminal we could lease for just over {$26.00} per month, with no other hidden fees. After pressing him on this last point no less than three times, and being told again and again that the monthly fee would never exceed {$26.00} and some change, we agreed to the lease. However, while I never received a lease to sign ( apparently, my mother signed up ), I did receive the new terminal, and began using it, allowing First Data to debit what I thought was {$26.00} directly from my account monthly. After 2 months, bank statements were showing multiple debits under different descriptions from First Data totaling over {$50.00} each month. When we called them to figure this out, we were told that the lease can not be cancelled, unless we were willing to pay nearly {$5000.00} to purchase the new terminal. After learning that the same terminal can be bought for a total not exceeding {$300.00} ( I will include the link to the listing at the bottom of this message ), I sent back the terminal and, having never signed any lease or contract, believed that would be the end of it. I also learned that " XXXX 's '' number was disconnected, and supposedly, nobody at First Data knew who he was. As a safety precaution, I changed by business checking account to prevent future debits for a service I no longer wanted. In XX/XX/XXXX, I began receiving bills from First Data insisting that I either write them ongoing checks or provide new banking information for ongoing debits. I'm including copies of some of my earlier bills. Included also is a copy of a letter I wrote back, telling them to stop billing me for something I'm in no way obligated to continuously pay for ( as I haven't signed anything ). This past week, after several bills of fluctuating amounts that I have been ignoring, I have now received a Final Demand for Payment letter with over {$900.00} of late fees, totaling over {$1000.00}. This letter includes threats of legal action in addition to the usual suggestions of reporting my credit. Unfortunately, I have discarded this last letter, and can not attach it here. I can only imagine that if I were to pay off this bill, I'd be at risk of receiving another one just like it in a matter of weeks, all based on a lease I've never signed.

Below is the link to the credit card terminal that sells new for a total of {$300.00}. This particular device only works with a different merchant service, but the one I received from First Data, who wants thousands of dollars for its sale, is identical. 

XXXX XXXX XXXXXXXXXXXX XXXX XXXX   XXXX XXXX  XXXX

Company response to consumer: Closed with explanation