From 25945b8fead989cca09a23983623b63ce36dcc0c Mon Sep 17 00:00:00 2001 From: Christian Cleberg Date: Mon, 8 Jan 2024 20:11:17 -0600 Subject: feat: total re-write from Emacs org-mode to Zola markdown --- content/blog/2022-08-31-privacy.com-changes.md | 98 ++++++++++++++++++++++++++ 1 file changed, 98 insertions(+) create mode 100644 content/blog/2022-08-31-privacy.com-changes.md (limited to 'content/blog/2022-08-31-privacy.com-changes.md') diff --git a/content/blog/2022-08-31-privacy.com-changes.md b/content/blog/2022-08-31-privacy.com-changes.md new file mode 100644 index 0000000..1287d2c --- /dev/null +++ b/content/blog/2022-08-31-privacy.com-changes.md @@ -0,0 +1,98 @@ ++++ +date = 2022-08-31 +title = "Concering Changes on Privacy.com" +description = "My thoughts on Privacy.com changing from a prepaid model to a credit charge model." ++++ + +## 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. + +[You can view the new cardholder agreement +here](https://privacy.com/commercial-cardholder-agreement). + +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: + +> 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. + +### Personal Information + +Now that Privacy.com is more of a financial institution, they are +obligated to comply with the [know your +customer](https://en.wikipedia.org/wiki/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. -- cgit v1.2.3-70-g09d2