Going out of Business-Credit Card Machine Lease

[Dreamaid]

I signed a non-cancellable lease for $39.95 per month for 48 months for a credit card machine for my small business in Wisconsin. The salesman assured me that was the only charge. I have been billed each month an additional $32.00 for "statement fees" which I knew nothing about. The salesman assured me if I went out of business he would find someone to take over my payments. Now he says he cannot do that, and I am going out of business. Am I stuck paying this 70 some dollars a month for the next 3 years, though I have no need or use for the machine?

 

[JETX]

Probably, yes.

Question: Is your business a d/b/a (making you personally liable after it closes) or a corporation (making the corporate assets liable)?

My suggestion:
Write the salesman or business a very nice letter. In it, explain that you have been accepting billing amounts that are not in the contract 'out of your kindness', but that your business is no longer viable and will be closing. Ask that they apply the 'extra' payments to the unpaid balance and ask them to cancel your contract. Send it certified to assure delivery. Then wait. The best that could happen is that they will grant your request, worse is that they will pursue collection upon breach.

Also, what if anything, does the the contract say happens in the event that you no longer pay or if the 'company' no longer exists?

Bottom line... you are responsible for the agreements and contracts you make. Unless they accept your cancellation.

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Steve Halket
Judgment Recovery of Houston
[email protected]
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This is my PERSONAL OPINION and is not legal advice! Consult your local attorney for your specific situation and laws!