CH> Also, have you had any experience with cellular dealers requiring a
CH> credit card in addition to credit approval wherein they charge the card
CH> if the customer cancels or is cut off the cellular service before the
CH> end of the contract?
When a cellular dealer provides a "free" phone in exhcange for a service
contract, the carrier can charge him back for the commission if the
customer cancels (or has his service cancelled for non-payment) within
six months. Therefore, many cellular agents require a credit card
imprint as a guarantee on the cost of the "free" phone in case th
customer skips out and the carrier ends up not paying for the phone.
Most of the cellular agents I know of make such a requirement, including
Radio Shack.
As long as the customer pays his bills on time and doesn't break his
contract, it costs him nothing to leave a credit card imprint as
collateral.
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