Question
About 5 months ago, my wife signed up for a United Visa card through Chase. We received the cards in the mail but decided not to activate them (did not call the number). Today, I received a statement for the $60 annual fee plus a $15 late charge. I never received a prior statement. Can these companies do this although I didn't formally activate the card? I am now planning on "cancelling" the card.
Do I have gounds to have Chase void that annual fee and late charge?
Answer
Activation only applies to the particular plastic card, not the account. Failing to activate the card doesn't close the account.
Still, you should have gotten a statement for the annual fee.
Answer
Odd that it took 5 months, although there were issues (a bit longer ago than that, I think, for the most part) with conversion in Chase's takeover of Bank One. I got billed a fee that didn't belong, then they screwed up when reversing it (reversed fee but not finance charge) so I had to call them again.
Anyway, the late fee is not appropriate if this is the first statement you received. The annual fee is still applied, though, regardless of whether or not you actually activate the card. If you cancel the card, they will credit the fee, sure, but just not activating it is not enough to cause that to happen automatically. I've gotten many new or renewal cards in the mail that I haven't activated. It never really affects much about whether the account is active or not. I think they use it more to give you a sales pitch on the phone. If I know I'm going to use the actual physical card, I activate it. If it's just a balance transfer, I may not.
Answer
You may also want to check if Chase has reported your late payment to the Credit Bureaus. Since there was a $15 late fee, it is very likely that they did and you will want them to correct it if possible.
Answer
About 5 months ago, my wife signed up for a United Visa card through Chase. We received the cards in the mail but decided not to activate them (did not call the number). Today, I received a statement for the $60 annual fee plus a $15 late charge. I never received a prior statement. Can these companies do this although I didn't formally activate the card? I am now planning on "cancelling" the card.
Do I have gounds to have Chase void that annual fee and late charge?
As others already posted, non activitation does not mean cancellation. If you didn't want the card when it arrived, a mere phone call to the customer service dept would take care of it. Chase even would send you a letter to confirm the card is cancelled. (Citi wont usually do that, for example.)