Chase is sending out inserts in its credit card statements encouraging customers to sign up for the very helpful-sounding "fraud alert" service. But what is the real reason they want your mobile number?
If you read the fine print on the enclosed insert entitled "IMPORTANT NOTICE REGARDING CHANGES TO YOUR ACCOUNT AND YOUR RIGHT TO CANCEL YOUR ACCOUNT", they've amended their terms of service to state that "you authorize us, or anyone acting on our behalf, to call or send a text message to any number you provide."
Why might they want to send you a text message? According to the insert, they can text you "for any lawful purpose, including but not limited to: suspected fraud or identity theft; obtaining information; your account transactions or servicing; collecting on your account; and providing you information about products and services."
This legalese disguised as a default opt-in to marketing messages gets a failing grade. I don't mind receiving marketing messages by SMS, but only from the companies I choose to let contact me. Additionally, the thought of getting middle-of-the-night texts and calls from a collection agency (i.e. "anyone acting on our behalf") if I ever miss a payment makes me uneasy. I'm sure they only do that for very delinquent accounts, but from a customer point of view, the disadvantages of giving Chase my mobile number far outweigh the "fraud alert" benefit.
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This seems like a case of the legal department not talking to the marketing department, which can be a challenge in financial services marketing.
Have you given your mobile number to your bank, or other companies? What experiences have you had?
