advertisement
Capital One, whose ads once mocked terrible customer service at fictitious "other" credit card companies, received enough poor marks of its own to land in MSN Money's Customer Service Hall of Shame.
In this year's MSN Money-Zogby International poll, 32% of respondents familiar with Capital One's customer service rated it "poor." The company declined to comment.
The lending institution has certainly drawn its share of ire from customers.
The company experienced rapid growth over the past decade, reaching 50 million accounts worldwide. It became known in the U.S. for its aggressive marketing tactics, practices that also captured the unwelcome interest of government regulators.
California authorities are investigating whether the company violated false-advertising laws and engaged in unfair business practices. Attorney General Jerry Brown requested as early as 2006 that the company turn over written records and interviews with employees, citing "substantial concerns about the credit card practices of Capital One," according to court records quoted in news reports.
Capital One has resisted, and recently it sued in an effort to deny the order. It converted to a national banking association in March, and in its lawsuit said it is subject only to federal investigations.
It's not the first time the company, known for its "What's in your wallet?" ads, has been accused of misleading customers. In 2004, Minnesota's attorney general sued Capital One, alleging it falsely advertised "low" and "fixed" rates, even though the rates were later raised significantly.
More from MSN Money
In 2006, the company and the state entered a consent judgment in which Capital One agreed to temporarily stop certain ads in Minnesota and pay $749,999 to legal aid groups and others, according to a report in the Federal Reserve Bulletin.
Capital One posted $11.2 billion in sales last year and a profit of $2.5 billion.
In the MSN Money-Zogby survey, 28% of those familiar with the company's customer service rated it "fair," 31% "good" and 9% "excellent."
Published May 28, 2008
Rate this Article
High