That is absolutely not true.
reference
http://www.ftc.gov/bcp/edu/pubs/consumer/credit/cre28.shtm
--
Nothing is better than happiness, but a ham sandwich is better than nothing.
Companies can get a temporary authorization but they can not bill until the product is shipped. I'm not familiar with kickstarter so I don't know what they sell.
Pete
--- In iPad@yahoogroups.com, "David H. Bailey" <dhbailey52@...> wrote:
>
> On 8/28/2013 9:32 AM, petefromflorida wrote:
> > They're also not allowed to bill her credit card until they actually ship the product.
> > Pete
> >
>
> That's not true as far as I know -- if she agreed to let them bill her
> credit card in advance, they are free to do so.
>
> I've contributed to a couple of kickstarter projects and my card was
> billed once the developers had reached a certain dollar level of
> commitment and were guaranteed that the project could proceed. If the
> projects had not reached that level then my card would not have been billed.
>
> But the billing was in advance of the shipment of the product.
>
> And I've also special-ordered items from long-time reputable on-line
> (and bricks/mortar) businesses where I've had to pay in advance and my
> credit card has been charged before the product was ready to ship.
>
> --
> David H. Bailey
> dhbailey@...
> http://www.davidbaileymusicstudio.com
>
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