Can a company add interest charges during a no interest promotion?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
Can a company add interest charges during a no interest promotion?
Ad states no interest for 6 months. Company has charged interest rates before the 6 months are over.
Asked on February 17, 2011 under Bankruptcy Law, Oklahoma
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 13 years ago | Contributor
The company has to honor the terms of its own promotion. Of course, promotions, sales events, specials, etc. are notorious for having various limitations, caveats, and qualifiers in "fine print" (like the warnings at the bottom of drug commercials). For example, a common one is "no interest for qualifying purchasers" or "no interest for purchasers with good credit" or the equivalent--and then they classify you as non-qualifying or not good credit. Another is that you don't *pay* the interest before 6 months--but it starts accruing. You should review any promotional material or agreements regarding the promotion again, to see what limitations there are; if there are limits, the company can probably take advantage of them, but at the end of the day, it must honor its own terms, whatever they happened to be.
IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.