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Members Beware

No Union in Union Workers Credit Services

Members Beware: The Texas-based Union Workers Credit Services, which is soliciting union members giving the impression of offering credit cards, has no official ties to any union, certainly not Equity, or the AFL-CIO and does not offer a credit card.

Unions have received many calls from members about the company's offer. The Fort Worth Better Business Bureau (FWBBB) has logged more than 160 complaints and thousands of inquiries.

"The initial advertising builds an expectation that goes unmet," says John Riggins, FWBBB president, who thinks the firm is targeting people with a history of credit problems. "People think they're getting a credit card from a company affiliated with unions, but there is no affiliation and they don't get credit cards." Instead, for a $37 annual fee, consumers get a catalogue of various products and a paper card that can only be used to make purchases from the catalogue. The company also offers what it says are restaurant and travel discounts. The finance charges incurred for paying off any balance "with conveniently low monthly payments" are not disclosed in the initial letters.

Union Plus, which is affiliated with the AFL-CIO, cautions consumers about considering any credit card offer that requires a fee before learning all the details of the offer.