ComplaintsforFlagship Merchant Services

• Initial Complaint

  08/20/2024

  Complaint Type:

  Billing Issues

  Status:

  Resolved

  More info

  I’m not liable for this debt with flagship merchant services. I do not have a contract with flagship nor have they ever provided me with a copy of the original contract as requested. They also opened an account without my authorization. Back in 2017 I have contacted numerous times to close my account so much so that I close down my business in 2020 and they’re still charging me for service not rendered and auto withdrawing my bank account until 2023 I I had to close my bank account so they would stop removing $150 each month from my account. They sold that account to a third-party and now put me in collections for over $562 when in reality, they are the ones that owe me. Or taking money that didn’t belong to them. I demand this account to be removed from my credit report.

  Business response

  08/22/2024

  Thank you for the opportunity to address your concerns. Please note that closures must be in writing and signed
  by the authorized person on the account, in accordance with the terms and conditions of the commercial agreement
  between parties. We were unable to locate a record of closure pursuant to the agreement. Although fees charged in
  connections with your merchant account were valid. As of the date of this response, a balance of $561.63, remaining
  outstanding. As a courtesy, we will submit a request to waive the above-referenced outstanding balance, upon your
  acceptance of this response.   

  Thank you. 

  Customer response

  08/22/2024

  
  
  Complaint: 22169993
  
  I am rejecting this response because: it’s only a request and I declined services by flagship. Regardless of my request an account was open without my authorization. 
  
  Regards,
  
  L****** ********
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  

  Business response

  08/28/2024

  We acknowledge your dissatisfaction with our previous response. As a courtesy we have waived the
  outstanding balance in the amount of $561.63, We have informed the collection agency to proceed
  with the removal of this balance. Please allow 30 to 60 days for collection balance removal to reflect
  your credit report.  
  
  Thank you,
  Paysafe    

  Customer response

  08/28/2024

  
  
  Better Business Bureau:
  
  I have reviewed the response made by the business in reference to complaint ID 22169993, and find that this resolution is satisfactory to me.
  
  Regards,
  
  L****** ********
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  

• Initial Complaint

  04/05/2024

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  This business has been charging me monthly for services not used or wanted for the past 4 years. Multiple attempts have been made to cancel the services. All to no avail. Always a different excuse or lack of comprehension or fill out another form or you have to email or you have to call or you have to whatever over and over. While they continue to take via automatic debit $160.85 per month every month for years. Now in 2024 they have raised the fee to over $250 per month. We do not use their service. They continue to take and take and take. Refuse to cancel or acknowledge cancellation. We have paid well over $10,000 for no service and they are continuing to take money every month from the bank account. We have been trying to stop this for years.

  Business response

  04/11/2024

  Thank you for the opportunity to address your concerns. Having reviewed our records, we indicate a closure request
  was received, however the account could not be closed due to an open batch. A notice was sent via email to advise of 
  the issue, but we did not receive a response, nor were we contacted. It is the responsibility of the merchant to ensure the
  account is closed. Although fees charged in connection with your merchant account were valid, we will issue a refund in
  the amount of $2,079.15, upon acceptance of this response, as a courtesy. 

  Thank you. 

   

• Initial Complaint

  02/19/2024

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  In late July of 2023, I applied for a merchant account through Flagship Merchant Services for my graphic design business, LWN Media Works. I processed 5 transactions for my business from August 8th- August 10th in the amount of $600, $400, $500, $950 and $900. I then received an email from the "risk department" requesting various documentation. I responded to this email a few days later with most of the documentation and explained that I had requested a copy of my lease and verification letter from my bank and would reach back out with it per their request later in the week once I had a chance to obtain it. I immediately received a denial email informing me that they had closed my account and that my funds were being held. I called them two months ago (four months later) and inquired as to when my funds were being released and was told that they would be released Feb 24th as they hold them for 6 months in case I have any charge backs. All major card issuers only give their cardholders 120 days to charge back not 6 months. In any event, the last transaction was 8/10 and it has been over 6 months now. I was also told my account was closed bc I neglected to respond to their request for documentation, a blatant lie as I responded via email and it is electronically documented. I hereby demand my funds be released in full and without further delay as it has been over 6 months and I now believe that this is a fraudulent organization set up to get their hands on people's money and hold it as long as possible. More regulation is needed in the merchant processing industry. I should not still be waiting over 6 months later to receive my funds. You have my account information to deposit them. Release my money now.

  Customer response

  02/19/2024

  I just reached out again today to request my funds be released and confirm the my bank account in which they have on file is still open and valid to receive a deposit. I was place on hold by a customer service agent and after holding for several minutes, I was informed that the risk department rep in which I needed to speak with was unavailable and would be giving me a call back within 24hours. I reiterated that the last transaction I processed through their company was on August 10th and that it has now been over the six months alotted to them by law to hold my money. Last time I spoke to someone in regard to this, I was told that my funds would be released on February 24th, which is 6 1/2 months after my last transaction and a Saturday. They also stated that they would need to verify my account was still valid prior to releasing the funds. This is excessive and in my opinion only an attempt to hold onto my money for as long as possible. The law and their company policy both state that they can hold my funds for up to 6 months. It has now been 6 months and 9 days and they are still refusing to relinquish my money. This is ridiculous and criminal.

  Business response

  02/20/2024

  Thank you for giving us the opportunity to address your concerns. This merchant processing account was boarded on July 13, 2023, with first batch of processing observed on August 10, 2023. At the time of first batch review, there were a number of inconsistencies, including inability to locate any business information, physical address linking to a daycare business, etc. Our request for information was submitted on August 11, 2023. As of August 18, 2023, we had received no documentation in response to our request. Our first response came on August 19, 2023, after the account was approved for closure. $900 of the transactions processed charged back on October 23, 2023. Based on all the information previously noted, the decision was made to part ways due to no response and Credit Risk. 
   
  The terms and conditions of the Merchant Processing Agreement clearly outlines our right to create a reserve account to protect the security interest of Paysafe, and hold said funds for up to 270 days following termination. This is outlined in sections 8.6 and 8.7. Paysafe chooses to hold for 180 of those 270 days, as notified in the termination notification sent on the day of closure. Closure was completed on August 21, 2023, and we are at or near the 180-day mark at this time. Funds in the amount of $2,273.30 will be released to the bank account on file, once confirmed it is still active. If bank is not active, we will require a physical address for a paper check to be sent via Federal Express. 
  

  Thank you,

  Paysafe

• Initial Complaint

  02/05/2024

  Complaint Type:

  Billing Issues

  Status:

  Resolved

  More info

  I searched for a merchant processing company that would integrate with my software, Vagaro, to use due to the high fees Vagaro charges (In my opinion) Flagship Merchant reached out to me stating that they Do indeed integrate with Vagaro. The lady R****** *******, who told me they integrated, got me signed up and set up with an onboarding person. After the initial session with onboarding person, they said, no, they don't integrate, I told them that was the only reason I'd sign up with them and I don't need their services. As of that day, they had been billing me for not just one, but she set me up with accounts. Not sure why she'd set me up with 2 when I am one small business. It was because she didn't know her product nor what she was doing. These charges accrued and I didn't notice due to my busy schedule, until the charges doubled from $65 to $155. Earlier, I had assumed they were contract vendors and the name "MTOT" was their only identifier. When I saw the two charges for $150 & $155 from my last two statements is when I contacted the merchant. They've been giving me the run around for 6 weeks now saying they're escalating this to their legal team. Never getting any response. To finally last Friday the 2nd at 720 pm saying they'd give me $15 for one account and $800 for the 2nd. Admitting they owe me but not refunding all they stole from me including 2 $75 fees for "inactivity".

  Business response

  02/09/2024

  We appreciate the opportunity to address your concerns. Our records indicate that two merchant accounts were
  established on behalf of Sweat Reno LLC, pursuant to a Merchant processing application digitally signed on 
  November 17, 2022. The Merchant Accounts were open on November 18, 2022, and Closed January 05, 2024. 
  We apologize for the miscommunication regarding the integration and the closure of both accounts. 
  The Company will initiate a refund in the amount of $1,824.00, representing the total amount charged in 
  connection with both accounts, upon acceptance of this response. Please note, the inactivity fee was included
  on the November and December statements under additional fees.   
  
  Account ending in 8373 Total Refund $946.65 Represent the following: 
   3x7.95= $23.85 + 9x67.90= $611.10 + 2x155.85=$311.70 ($155.85 includes 3.00 + 4.95 + under Additional fees 75.00 inactive fee + 12.95+59.95) 
  
  Account ending in 8365 Total Refund $877.35 Represents the following: 
   3X3.00= $9.00 + 9X62.95= $566.55 + 2X$150.90 =$301.80 ($150.90 Includes 3.00 + under Additional fees 12.95 + 59.95 + inactive fee $75.00)
  
  Thank you. 

  Customer response

  02/12/2024

  
  
  Better Business Bureau:
  
  I have reviewed the response made by the business in reference to complaint ID 21249754, and find that this resolution is satisfactory to me.
  
  Regards,
  
  J**** *****
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  

• Initial Complaint

  01/03/2024

  Complaint Type:

  Product Issues

  Status:

  Answered

  More info

  About a year and a half ago we contacted your company when searching for a payment processor that doesn't charge anything in monthly service charges. Our credit card or ACH transactions are very few and random.

  The person whom I talked with was professional and told me that your company charges no monthly fee, but a flat fee of ten cents a transaction, and a commission that ranged between 1.8% through 2.3% depends on the card. Though the commission was a bit higher than what we were paying to Paya, when considered their $7.95 monthly fee, your company was better. Another advantage that we found with your company was, your company would charge all the fees on our credit card and make the deposits to our bank account. This would make our accounting much easier. I gave the sales agent our credit card to charge the fees, and the bank account to deposit the funds that are processed.

  Time went by, and we didn't have many transactions. We saw charges on our credit card statements, but it labelled Authorize.net. When contacted them they said they were billing your company. later when we noticed that there were charges on the months that we didn't have any transactions, they said there was a monthly fee. When explained why we contacted Flagship, they were kind enough to return part of the charges. And we requested to close our account. Later when came to the bank statements we found
  several charges from a company called Paysafe. Debits ranged anywhere from $32.90 all the way through $110! When contacted them, they said they were too, billing as Flagship authorized. I said we have closed the account in July of 2022. Then the agent said it was not closed on their end, and so they had to charge inactivity fee also, making the charges go higher!

  During the past several days I have spent about three hours on the phone talking with people from the Philippines all the way to south American countries. I told each of them that the only reason for providing our bank account was to deposit the amount that was processed. Fees and commission were already charged to our credit card each time.

  Trusting your company, we have lost more than $600 from the bank, in addition to the charges on the credit card, when there have been NO transaction since July. Please refund the amounts that were charged to our account. Your representatives refuse our request saying we agreed to this. When asked to supply any document that shows our consent they tell us to visit the website.

  Business response

  01/12/2024

  Thank you for your summission. In review of your signed merchant service agreement all fees charged are vaild. In accordance with the terms and conditions of the commercial agreement requests for closure must be submitted in writing and signed by the authorized person on the account. We do not show record of a written closure request in the month of July 2022 or there after.  Although we have not received a written request for closure, we will accept this complaint as a formal request for closure. As a courtesy we will waive the outstanding balance in the amount of $160.85 which represent the month end fees for December 2023.  Also be sure to contact Authorize.Net your gateway provider directly for closure of their service to stop monthly billing.
  
  Thank you,
  Paysafe
  
  

• Initial Complaint

  12/20/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  We changed credit card processing company at the end of 2010. We called our rep and discussed the closing of the account. As there were a few recurring payments from our patients, he suggested to keep the account open until the end of the approved recurring payments, and then the account would be closed. That was OK for us as the monthly fee was $4.95. The last payment processed by Flagship was in April 2022. Since that, not only they continued to charge us a monthly fee even though the account was supposed to be closed, but they even increased it to $157.85. We need the account permanently closed and a refund of all undue charges. Thanks

  Business response

  12/21/2023

  Thank you for the opportunity to address your concerns. Our records indicate that a merchant account 
  was established on behalf of Sensible EMS, pursuant to a Merchant processing application thereto, signed
  on June 22, 2015. Please note that the request for closure must be submitted in writing and signed by the
  authorized person on the account, in accordance with the terms and conditions of the commercial agreement
  between the parties. Although we have not received a written request for closure, we will accept this complaint
  as a formal request for closure. Although fees charged in connection with your merchant account were valid, we 
  will issue a refund in the amount of $1,022.10 upon acceptance of this response, as a courtesy.
  
  Note upon acceptance the refund will issued via a check and mailed to the address listed in your complaint.     
  
  Thank you. 

  Customer response

  12/22/2023

  
  Complaint: 21031079
  
  I am rejecting this response because:

  The compensation is inadequate. 

  You added an extra $89.95 per month from June 2022 until now for a total of $1,709.05 as a PCI non-validation fee. This should never have been charged as:

  1- We canceled this account before that date

  2- We did not process any transactions on your portal during that period

  3- We did not need a PCI certification anyway, as confirmed by your support over the phone and we were compliant with our new processing vendor

  So even though we appreciate your prompt response and offer, we will only accept a minimum of $1,709.05 plus 6 month of $67.90 = $407.40 for a total credit of $2,116.45.

  
  
  Regards,
  
  A*** **********
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  

  
  

  Business response

  12/27/2023

  Upon reviewing the account, it has been identified that the merchant account was pci non-compliant as of June 2022, resulting in the initiation of the pci non-validation fee of $89.95 per month. The fees incurred are valid, considering the ongoing status of the account, which continued to accrue month-end fees to maintain its open status.  Fees were consistently charged until the account's closure.   It's important to note that no communication was received from you, either through a call or in writing, indicating an intention to close the account prior to this BBB review. Consequently, the account remained open.
  We are open to reevaluating the refund request if you can provide evidence of closure. However, as a courtesy, we have already extended a 6-month refund offer. This offer stands. If there are further documents you would like Paysafe to consider, please feel free to provide them for a more comprehensive review.
  
  Thank you,
  Paysafe

  Customer response

  12/28/2023

  
  
  Complaint: 21031079
  
  I am rejecting this response because:

  The PCI charge is not valid.

  As of June 2022, we changed Credit Card processing company, and we called to notify the old one through the sales person.

  We did not need PCI certification nor processed any transaction on your system.

  Charging a customer for months without any contact or communication to inquire why there is no transaction at all is abusive.
  We maintain our demand.

  
  Regards,
  
  A*** **********
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  

  
  

• Initial Complaint

  11/22/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  Flagship Merchant Services and Merchant Bank Services continued to ACH debit my bank account monthly for services and equipment that were no longer being used or provided from October 2019 until it was discovered in October of 2023. The bank statements can all confirm the amounts. debited. I am attaching a list of all debits made and can obtain the statements if needed. I am also attempting to obtain the ACH debit list specific to these scammers for the 4 years in question.

  Business response

  11/27/2023

  Thank you for your submission. Unfortunately, we were unable to locate a matching record pertaining
  to the charges based on the information submitted with your complaint. Note the Flagship account was
  open on May 05, 2018, and closed on 12/20/21 including fees. In the event you have additional documentation
  or information that you believe would assist us, please reply with supporting documentation.
  
  Thank you.     
  

  Customer response

  11/30/2023

  
  
  Complaint: 20905806
  
  I am rejecting this response because:

  Despite Flagship claims that the account was closed by them, ACH debits from my Chase checking account ending in 5788 continued from October 2019 to October 2023 through their agents Merchant Bank Services and PNC Bank.  Attached find the bank account statement pages documenting the debits.  And although Flagship concedes that there was an account during part of the period in question (10/2019-10/2023) there is no contract to confirm either that an account was opened or the terms of such contract.  In addition, I am planning to file a police report with the NYPD, as my Chase account exists in NYC, accusing them of fraudulent and criminal debits from my accounts unless retribution is made.
  
  Regards,
  
  K****** *******
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  

  
  

  Business response

  12/04/2023

  We understand that you are not satisfied with our response dated November 27, 2023. Our records
  indicate the Flagship account closed on December 30, 2021; therefore, no fees have been debited.
  The bank statements provided by the merchant do not show debits from Flagship. Please contact 
  your bank institution for further information regarding the debits in question.
  
  Thank you.     

  Customer response

  12/05/2023

  
  
  Complaint: 20905806
  
  I am rejecting this response because:  Merchant Bank Services is an agent of Flagship Merchant Services and the debits were performed through that agent.  I have received email and phone contact from Merchant Bank Services regarding my claim and accusation, without having directly contacting Merchant Bank Services.  They therefore received information regarding my claim from Flagship, their partner in the crime.  This is confirmatory of their relationship.  Attached are the fraudulent ACH debits.  The matter will be further pursued through a criminal accusation by filing a police report and corporate claims case if remuneration is not satisfied by Merchant Bank Services and Flagship Merchant Services.  
  
  Regards,
  
  K****** *******
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  

  Customer response

  12/12/2023

  I have uncovered further information on Merchant Bank Services.  My merchant number was 26*******885.  The Flagship agent company debiting my account for 4 years was Cardconnect and Cardpointe, both listed as Merchant Bank Services.  Phone number 877-828-0720.  Email address [email protected].  

  I rejected Flagship's last response on 12/9/23 and expect a full refund for the $5926.53 that was fraudulently debited from my Chase bank account.  Can you update me on the complaint?

• Initial Complaint

  11/20/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  I am deeply distressed by the unauthorized sharing of my nonpublic information with the three bureaus, resulting in inaccuracies on my credit report. This breach has caused immense financial and emotional turmoil. As per 15 USC 1681 Section 602, I assert my right to privacy. Moreover, 15 USC 1681 Section 604 A Section 2 explicitly prohibits furnishing an account without my written consent. Additionally, under 15 USC 1666 B, a creditor cannot deem a payment on a credit card account as late for any purpose. 

  Business response

  11/20/2023

  Thank you for your submission, Unfortunately, we were unable to locate a matching
  merchant processing account record for your account. However, based on the information
  submitted with your complaint, we believe that your account may have been established
  with a different company. In the event you have additional documentation or information
  that you believe would assist us in locating your file, please kindly reply with the information
  for further review.
  
  Thank you.  
  

• Initial Complaint

  11/08/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  I am deeply concerned about the sharing of my nonpublic information with credit bureaus and the resulting inaccuracies on my credit report. This situation has caused significant financial and emotional distress. Under 15 USC 1681 Section 602, I have the right to financial privacy, and I expect my information to remain confidential. Furthermore, 15 USC 1681 Section 604(a)(2) states that a consumer reporting agency cannot furnish account information without my written instructions, which I have not provided. I have identified inaccuracies on my credit report from FLAGSHIP CRD, impacting my financial well-being. I request these inaccuracies be corrected promptly. Lastly, please remember 15 USC 1666(b), which prohibits treating payments on a credit card account as late under certain circumstances. For reference, my account details are as follows: Account Number: 9*********724**** I request a thorough review of my account, prompt correction of credit report inaccuracies, and strict adherence to federal laws regarding my information. Failure to address these issues may compel further legal action. I anticipate your prompt response and resolution to these concerns. Thank you for your immediate attention to this matter. Sincerely, J**** ******

  Business response

  11/09/2023

  Greetings, 
   
  Thank you for your submission, Unfortunately, we were unable to locate a matching 
  merchant processing account record for your account. However, based on the information 
  submitted with your complaint, we believe that your account may have been established 
  with a different company. In the event you have additional documentation or information
  that you believe would assist us in locating your file, please kindly reply with the information
  for further review. 
   
  Thank you, 
  Flagship Merchant Services   

• Initial Complaint

  09/11/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  This account was never opened, and when I inquired about it, the gentleman on the phone named John told me not to worry about it. The account is not open, but they were drawing monthly fees from my account, and in order for it to stop, they required me to submit a document to them requesting it be stopped, but I did it just to get it to stop not because I was legally obligated because I never authorized it in the first place. This is a fraud if you see the reviews on this company. There are hundreds of people in the same situation that I am in. Please help me I’m on a fixed income and I cannot afford this.

  Business response

  09/15/2023

  Greetings, 
  
  Thank you for the opportunity to address your concerns. Our records indicate the merchant account was opened under Y***** ***** DC and authorized by Y***** ***** via a signed application dated March 30, 2022. Please note that the request for closure must be submitted in writing and signed by the authorized person on the account, in accordance with the terms and conditions of the commercial agreement between the parties. A closure form was emailed to you on or about May 09, 2022. The closure form was not received back, and after numerous calls, were unable to contact you. We can confirm the closure form was received on or about September 08, 2023, additionally, your account was successfully closed on September 09. 2023. Although fees charged in connection with the merchant account were valid, as a courtesy, we will waive the Collections balance of $84.90 representing the August month end fees and issue a refund in the amount of $169.80 via a check, upon the acceptance of this response.
  
  Thank you.   

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