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Is Bill-Me-Later a Scam

Payment-processing company CyberSource announced earlier that it has integrated the “bill me later” feature into its service and has begun marketing it to its merchant clients, which include Home Depot, Overstock.com and Nike.
The service should attract customers who can’t or won’t use a credit card online and encourage them to return.

The “bill me later” feature works much like a credit card. After entering their billing address during the checkout process, shoppers click on the “bill me later” button. Instead of asking for a credit card number, the service asks consumers to enter their date of birth and occasionally the last four digits of their Social Security number.
Consumers will be able to purchase goods online without having to use a credit card, which should appeal to those who don’t have credit cards or who are reluctant to use them online.

Sounds good isn’it and we all will be looking for the ‘bill me later’ button when we buy anything but WAIT.

Let’s now here what a customer who bought an item of only $10 had to suffer from the ‘Bill me later’ team.
I bought a product through www.sportsauthority.com. I used the Bill-Me-Later option that was supposed to be no payment for 90 days. Sounded good.
I then started receiving calls from BML to arrange payments. I told them that I had the no pay for 90 day option and they told me that it sounded like it was a problem with Sports Authority and I should contact them. Sports Authority said I should tell BML that they were in the wrong.
After researching the net, I found out that other people have received this same “run-around” treatment from BML.

To top it off, the next time that I was late (keep in mind this is over a $10 payment), they called me on a Sunday morning at 8 a.m. They didn’t even offer an apology for waking me, they just said, “Yes Sir, I know what time it is…and we will continue to call until you make a payment.” (ON $10 !?!?)
Any time I see the BML logo, I will run the other direction. BML is a SCAM.

Another customer’s experience with Bill-me-later….
“I just wanted to add that I also experienced the Bill Me Later Scam. I purchased a MAC Book Pro from Apple Store with the promise that it was 6 months no interest and no payments. Bill me later billed me right away with immediate payment due. I called them and provided them with the information Apple gave me and they took 3 weeks to try and resolve and they decided that it was legitimate and they billed me again for immediate payment plus interest! It was a $3600.00 bill! AS FAR AS I’M CONCERNED, SOMEONE NEEDS TO MAKE THE PUBLIC AWARE OF THE SCAM THIS IS AND FURTHERMORE, RETAILERS SHOULD BE SHAMED FOR GETTING INVOLVED WITH THEM AS WELL.”

So what i have to say is that just think before you act.

Comments on this entry are closed.

  • john June 15, 2007, 4:46 pm

    thanks for the post about billmelater scams….

  • Anonymous September 3, 2008, 4:23 am

    wow..should i take this article seriously if you dont even know the difference between hear and here?

  • Michael Meiser November 30, 2008, 4:00 pm

    I was in cabellas and had to order something not in stock at the f*cking kiosk… when I expressed security reservations of entering my ccard at a kiosk the employee directed me to bill me later. I saw no terms of service and it was not clear at all I was “signing up” for a 3rd party credit card type account. Had I known it was some sort of 3rd party account I would NOT have done it.

    I’m going in to cabelas today and I cancelling my order having them reverse the charges so I can immediately cancel this bill me later account. And if bill me later gives me ANY PROBLEM… and I do mean ANY problem. Or sells my personal info to any other 3rd party (i.e. I start recieving ccard offers) I not only never buy from cabelas again but I will find an interested lawyer (since there’s probably already a class action lawsuit against them somewhere) and aid them in any way I can in suing the pants off the f*cks. As you can tell by my tone I’m absolutely furious.

  • MacAonghusa August 6, 2009, 11:52 am

    I have been pleased with Bill Me Later's service in the past. I signed up years ago to pay for flowers for my wife online. No problems until December of this past year, when I made a $200+ purchase on Buy.com and due to shipping restrictions, chose BML instead of my usual Discover card. Orders over $200 didn't have to be paid for 90 days. Great I thought – until I started receiving invoices immediately. The problem here is that Buy.com only bills as each item is shipped, so BML didn't recognize this as a $200+ charge all at once. I paid off my items in March, at the time I knew it was due, but now have $150+ in late fees and add'l charges that they are trying to claim. I've e-mailed and sent letters to BML telling them the situation, but they said that the $200 promotion isn't always in effect and claim it wasn't $200 before Christmas, but was $300 and I didn't reach that limit. Strangely enough, they're running that exact same $200+/90 day promotion again on Buy.com.

  • Anonymous December 30, 2009, 10:06 am

    BML is a scam.

  • HBSS January 11, 2010, 11:02 pm

    Hi all –

    If you’ve used the Bill Me Later option for online purchases, you should check out this recent article in the San Jose Business Journal – http://sanjose.bizjournals.com/sanjose/stories/2010/01/04/daily99.html

    I’m with the law firm mentioned in the story, and they are representing consumers in the case against Bill Me Later. If you feel Bill Me Later has overcharged you in interest and late fees, visit HBSS Law and let them know.

  • ymoore5344 February 24, 2010, 7:10 pm

    I to have been had by bill me later. I am still getting messagers from them saying I owe. I sent back a pair of boots the next day i got them, last year '09. all i was supposed to pay was the shipping only. They keept sending me bills to pay for the boots. I would call the accounts they would tell me to call the merchants, I was going back and forth, in the end I told accounts that I am not paying for something I do not have and if they send me anymore bills i will take it further I was told that my account had been wiped clean. I wrote the girls name down and date who told me this. I still keep all that info on file just incase and they still sent me a bill me later statement on Jan 20 2010 as far as I am concerned this is a big scam, one dose'nt know what the other is doing, Please! something has to be done about this company and the merchants to deal with them.

  • Anonymous March 5, 2010, 12:50 am

    I used Bill me Later when my laptop was no longer working and HP denied me a credit line. My new laptop cost $836 total, which was actually a pretty good deal. I was extremely hesitant and somewhat afraid of Bill Me Later but, unfortunately, I was also very desperate. I ordered the laptop in November and, to this day, I have not had a single problem with Bill me Later. I have not received a single phone call. I got one piece of mail, my first statement, and then opted for email statement alerts and haven't gotten anything in the mail since. There was a 'no payments for 6 months' option and they have stayed true to their word, I have not been billed a penny, but I've made $300 worth of payments so far. The interest rate is 19.99%, and the interest that has accrued is supposed to capitalize on June 1, 2010 if I have not paid off the balance in full by that date. If everything goes as planned, I will have it paid off before June and won't have to pay any interest.

    At the moment, I am very pleased with this service. Obviously, there is still time for problems to arise, but I have not had anywhere near the amount of trouble others have encountered. I don't know if this will help anyone, but I hope it does. And I hope everyone is able to work out their problems.

    Thank you!

  • Ben July 12, 2010, 8:31 pm

    DO NOT USE BILL ME LATER. You will regret it if you do! I used it when it first came out, then stopped when I saw their tricks. Now, I signed up for a Tigerdirect carge account, then discovered that is run by BML!. First of all, get this straight: It is a high-interest credit card account. BML sends you an e-mail to tell you that your statement is ready online. Since, after I ordered 2 laptops, then received a Tigerdirect account card, I discarded the card-since I knew I would have no further use for it. You can't get to your statement unless you know the user ID and password you used to set up the account, and the account number on the plastic card. Therefore, I was overdue on my first statement, and was phoned by some girl telling me this, while I was vacationing. I paid the entire bill via that cell phone call. BML intentionally makes it difficult-unlike any charge card or department store credit account- to pay your bill online, HOPING TO GET AS MANY LATE FEES CHARGED TO YOU AS POSSIBLE. Talking to them by phone they do everything possible to avoid sending you a paper bill. DON'T SAY YOU WERE NOT WARNED.

  • Anonymous September 15, 2010, 9:09 am

    Hey, I too was scammed by BML. Bought contact lenses from Vision Direct, and BML sent me a bill right away, even though it was supposed to be, 60 days no payment, no interest. Of course, I did not even GET a statement, even tho they claimed they emailed it to me (oh btw they tried to claim I switched my account to e-statements only. I DID NOT DO THIS.) So of course, they slap me with a $25 late fee!!

    Anyway, I argued with them on the phone and the customer service rep was so arrogant, he said "we'll credit you the late fee JUST THIS ONCE." WTF I shouldn't have even been billed in the first place!

    Apparently there are TWO class actions against this company-if you want to join in, Google "Bill Me Later Class Action California" and you will get the attorney's contact info.

  • Jack & Mary October 25, 2010, 3:30 pm

    Today I canceled my acct at BML after they gave me the run around again about "investigating" whether my purchase from Walmart was a 6 month deferred interest purchase or a Standard Purchase. BML said it was either my fault or Walmart's for not selecting the deferred option.
    BS, what a scam! I filed a complaint with Walmart for doing business with a company like BML. Never again!

  • Keith November 4, 2010, 3:03 pm

    Have used billmelater for some time and have never received a call for payment. Ten dollars us too small for a 90 day deferred payment. Dob't believe you know if what you speak.

  • Anonymous November 19, 2010, 8:32 pm

    same here!! these people are a rip off. just use your credit card next time. they make their money by stepping in and charging ridiculous fees and charges that they do not disclose up front when you could have just paid the vendor directly yourself. DO NOT USE BILL ME LATER!!!!!!!!!!!!!!

  • Anonymous November 26, 2010, 11:10 pm

    do you have to purchase and select bill me later first to be excepted to use bml? I tired to signup directly to bml first and get account not found? whats the deal?

  • Anonymous December 1, 2010, 5:35 pm


  • Anonymous December 6, 2010, 6:27 pm

    I've been using BML for over 3 years now, and have never had a problem! I'm surprised to hear this. Some things are not worth fighting over and ruining your credit over. If they want a $10 payment just give it to them!!

  • Anonymous December 7, 2010, 11:58 pm

    I have never had a problem with BML

  • Anonymous December 9, 2010, 5:55 am


    I used Bill me Later to purchase two items from Apple.com. Had no problems or issues come up with either my laptop or iPad. After my first statement came in the mail on both occasions, I opted for online billing and payment. With a "no payments for 6 months" option on both occasions, I have been getting online statements, but no payment requests were ever made.

    I have paid off the laptop before the six months, and am now on schedule to do the same with the iPad with nary an issue so far.

    It's an awesome service. I would not be able to afford Apple products any other way.

    Thank you!

  • Anonymous December 10, 2010, 9:52 pm

    Bill me Later clearly states all their policies when you sign up. I have had ZERO problems with the ordering and paying for 2 high end laptops. The idea of this service is to allow you time to pay for BIG ticket items over time. The fees they charge are so they can make a profit. That is after all what they got into business for. If you cant afford what you are trying to buy; even with extended terms; DON'T BUY!!!!!!
    They also Have the right to call you if you are late on your payment, whether it is a 1.00 payment or a 1000.00 payment. Sound like people who dont like to pay for what they buy and get mad when the company tries to get their rightfully owed payments. Dont bash the company for doing what you AGREED to do……….

  • Anonymous January 13, 2011, 2:39 am

    I too was scammed by BML. I ordered a bed frame from Overstock.com since I just purchased a home and wanted to hang on my money for repair work. Sounded great, no payment for 6 months….except we received our bill immediately stating we owed the balance immediately.It's not so easy coming up with $700 immediately as a first time homeowner, but I paid it and decided to NEVER purchase anything BML again nor order from Overstock because of this.

  • phaedrus December 20, 2011, 12:11 am

    Bill Me Later is a scam! I thought I was paying through my paypal and didn't realize it was a credit card. How can they open a credit card in my name without me filling out an application and giving them my personal info. They just pulled it from my paypal account. Almost instantly they charged me a $25 late fee (on a $40) purchase. They won't let me pay it over the phone with a credit card, they want my bank account #s!!! I just want to pay it and cncel the stupid thing, I didn't even realize I signed up for it. Major scam! Because of this I am going to cancel my paypal account as well

  • phaedrus December 20, 2011, 12:15 am

    It is a scam! I didn't sign up for any such account. I thought I was paying through my paypal account. It didn't have me fill out any form or anything. Turns out it created a credit card for me with 20% interest. I wasn't wanting to setup any such thing. It was only a $40 purchase and they charged me a $25 late fee almost immediately. They won't take a credit card or debit card payment. I just want to pay it and close the account but can't without giving them my bank account #!!! I do not feel comfortable doing that with such a scandalous company!

  • Chris Winkler December 27, 2011, 7:16 am

    I bought a PA system from muciansfriend.com and used BillMeLater with the six months defered payments for purchases over $200. The only problem I had was I neglected to sign up for the email alerts for when a payment was due after the deferral period ended and was late once. This was my own fault and once I realized my error I signed up for the email alerts and was never late again. You need to make sure you read and understand all the information so you know exactly what you are getting into and tick all the necessary boxes to get the offers. It sounds to me like some folks don't do this. Still, no company is perfect and human error can always be an issue. I good company will always try to resolve these kind of issues. Sorry to hear some people have had a bad experience with BillMeLater

  • Anonymous February 1, 2012, 12:44 am

    I have been useing billmelater through my tigerdirect account. i also thought it was no payments for 18months. they sent me a email and i realized i missunderstood and it was just no intrest if you pay it off in that time. i have sense ordered another computer through them and i pay alot more than they ask and have had no problems. i called them yesterday and they even let me direct how much over the normal payment amount i wanted directed to which order. i have one due in 3 months and want that one paid off first. they have been very helpful and upfront. you just have to understand how it works.

  • R. Wood July 30, 2012, 8:56 pm

    Used BML for a $486 purchase and they took off an additional $10 and no payments for 6 months. BML worked GREAT for me and I just finished paying the remaining balance with 3 months left before interest would have kicked in.
    My only complaint is I am receiving a lot of spam email now and it seems to have started when I signed up for BML.