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diff --git a/content/blog/2022-08-31-privacy-com-changes.org b/content/blog/2022-08-31-privacy-com-changes.org deleted file mode 100644 index 7cd0eda..0000000 --- a/content/blog/2022-08-31-privacy-com-changes.org +++ /dev/null @@ -1,94 +0,0 @@ -#+title: Concerning Changes on Privacy.com -#+date: 2022-08-31 -#+description: My thoughts on Privacy.com changing from a prepaid model to a credit charge model. -#+filetags: :privacy: - -* Privacy.com Changes Their Terms -Recently, Privacy.com reached out to their customers regarding a change -in their terms of use. Further, all customers are required to agree to -the changes in order to continue using their accounts. - -[[https://privacy.com/commercial-cardholder-agreement][You can view the -new cardholder agreement here]]. - -When you log in, you'll be greeted with a pop-up window asking you to -review and agree to the new terms of use. You will also not be able to -open any new cards until the terms are agreed to. - -** Changing from a "Prepaid Debit" Model to a "Charge Card" Model -The actual content of the changes is interesting. While the historical -model of using Privacy.com was akin to prepaid debit cards, the new -model is very similar to a credit card (they use the term "charge -card"). - -I have used Privacy.com for 1-2 years, and the process was always that -you would create a single-use or merchant-locked card. This card could -be used for any dollar limit you set and would immediately draw the -funds from whatever funding source you connected, e.g. PayPal account or -a bank account. - -The benefit this service provides with a premium account is masking the -merchant names from your funding source. If you have a concern that your -bank account uses merchant data from your account, you could direct all -charges through Privacy.com and set the merchant as one of their pre-set -options, such as "Smiley's Corner Store" or "NSA Gift Shop." - -The new model still works with a bank account as a funding source, but -the model is changed so that you get a "line of credit" set according to -a 14-day billing cycle. It seems that Privacy.com will now allow charges -to be incurred without being immediately paid. - -** Daily Payments and Available Credit -Instead of paying as charges are incurred, you must make a "Daily -Payment" and your "Available Credit" will be locked until you make that -payment. There are also "End of Billing Cycle Payments" that are -assigned a due date. - -Further, Privacy.com will decline charges that would cause you to exceed -your Available Credit or Credit Limit. - -One particular interesting section states the following: - -#+begin_quote -YOUR OBLIGATION TO PAY US BACK FOR ALL CARD TRANSACTIONS AND OTHER -OBLIGATIONS YOU INCUR IS SECURED BY THE SECURED ACCOUNT. IF YOU DO NOT -PAY US BACK FOR ANY AMOUNT YOU OWE US WHEN YOUR PAYMENTS ARE DUE, WE -WILL EXERCISE OUR INTEREST AND DEBIT THE SECURED ACCOUNT, AND YOU WILL -LOSE THE MONEY IN THE SECURED ACCOUNT. SEE SECTION 8: SECURITY AGREEMENT -FOR MORE INFORMATION. - -#+end_quote - -** Personal Information -Now that Privacy.com is more of a financial institution, they are -obligated to comply with the -[[https://en.wikipedia.org/wiki/Know_your_customer][know your customer]] -guidelines/laws. - -I did not proceed with the change to my Privacy.com account, but I have -heard from some peers that the changes require more personal information -to be submitted, such as SSN. I am not aware of all new personal -information required or if the funding source is now required to only be -a bank account. - -** Fees -Luckily, the fees section did not change much. The subscription fees for -a premium account are still the only fees. - -* My Thoughts -Personally, I wiped my personal information from my account and then -permanently deleted it when I heard about these changes. I have no -interest in yet another method of credit lending offered by private -companies. While I accepted that they would have access to my bank -account information for the purposes of paying off my prepaid debit -payments, I have no interest in incurring charges that will need to be -paid back at a later date. I also have no interest in submitting -personal information to Privacy.com. - -This type of change toward a "buy it now, pay us later" model is -concerning, and I will be watching Privacy.com to see if they further -their interests in the credit model as time goes on. - -Could we see them start charging interest, fees, etc.? I'm not sure, but -this change does not inspire confidence in their mission as a -privacy-focused company. |