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Old 07-28-2008, 01:13 AM   #1
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Angry Hostgator suspends accounts after getting money

I read in a few forums about people from outside the USA (and a few also from the US) who have paid in full and then their accounts have been temporarily suspended until they have been "verified" Verification involves calling long distance to hostgator office, waiting a long time at the phone to then have an operator ask you for all sort of personal questions That is absolutely outrageous!
I am from Spain, Europe, not precisely a "risky" place I'd say and I have a 4-year verified paypal business account which I have used many times to pay for items and services all over the world, including of course the USA. I have never been treated like I had to prove anything to anyone. The info you give when you pay is good enough for all companies...except for this one, it seems.

Here it is a transcript of the conversation I just had with a hostgator operator in which he confirms they make a verification (after taking your money, of course) Something it is not written in hostgator web anywhere.

Chat Transcript
info: Please wait for a HostGator operator to respond.
info: Welcome to HostGator Live Chat! You are now chatting with 'Nick M.'
Nick M.: Welcome to HostGator Live Chat, how may I assist you?
Mirna: Hello! I'd like to ask you a question that's important for me .
Nick M.: sure
Mirna: I have read in many forums that hostgator has the bad habit of accepting money from people from other countries and then ask all sort of verifications, including a phone call to their offices or the account is cancelled.
Mirna: and not only that, after they cancel the account, they take a looonnggg time to return the money
Nick M.: We ask for verification from people that are in high risk areas.
Mirna: I am from Spain and have a verified paypal account
Nick M.: Or whose info doesn't match up
Nick M.: For instance:
Mirna: but I don't want to have make any long distance call or give personal info
Nick M.: If you Credit Card says you live one place, and you place the order 1500 miles away
Mirna: I consider that you have no right to ask my personal information
Nick M.: that flags the account
Mirna: My account is from paypal.es, that is, paypal Spain and I live in Spain
Mirna: but I don't want dirty tricks, if you do that, just let people know in your webpage
Nick M.: We do sometimes verify people.
Mirna: I have been a powerseller at ebay spain for 4 years, have a verified paypal account and for me it would be very insulting to be requested more info thatn what's normal
Nick M.: But it's for your security.
Mirna: don't say "we verify some people" that's very ambigous say WHo you verify and in what circumstances, that's more honest
Mirna: no, it's not for MY security
Mirna: hey, I'm just Spanish, not stupid
Mirna: I just want to know: are you going to take my money and then not provide the service right away but to ask me to call you long distance, have me waiting at the phone and ask for all kind of personal info
Nick M.: I'm not sure I understand the question.
Mirna: ?????
Nick M.: It is possible that we will ask you to verify.
Mirna: that was a question, I forgot the interrogation mark
Mirna: oh, that's good to know. I will let every one in my blogs and forum know about your double policy: one written in your web page and the one you don't tell until you grab the dollars
Mirna: Thank you for your time



I'd like someone from this company (Hostgator) to answer me why they start a business relationship with a client who pays upfront treating him/her as some sort of delinquent.
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Old 07-28-2008, 05:32 AM   #2
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luckily im with websitesource. haha i was thinking about HostGator but hell no im staying after this. thanks for that useful info.
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Old 07-28-2008, 11:05 AM   #3
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Angry hostgator grabs the money and cancels the account afterwards

You're welcome. After reading it in forums and hearing it directly from them, I just had to warn people about this dirty trick.

Please, tell me about websitesource. How is their service? Have you experienced any downtime during the time you've been with them?
I just visited their site, there's one thing I don't like from a start, they have their chat "online" but once you try to chat with them, the suystem is actually an email that is sent to sales department. Not nice. When a chat read online, someone must actually chat with you.
How is support in that site?


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Originally Posted by GlennQuagmire View Post
luckily im with websitesource. haha i was thinking about HostGator but hell no im staying after this. thanks for that useful info.
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Old 07-28-2008, 12:04 PM   #4
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Hmm.... Really not good history here. I think that you need to do the efforts on the finding new company to host with. I can recommend you ayksolutions.com or Simplehelix.com.
I have never heard bad review on them
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Old 08-08-2008, 02:15 PM   #5
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It's really sorry to read about that.
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Old 08-09-2008, 03:13 AM   #6
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well, you know there is always internet fraud, if you from some risky areas then they have to do it ... after all if you're fraud before you may do the same thing as they did.
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Old 05-17-2011, 12:51 PM   #7
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This is great. Thanks for the warning. At least we are aware on this and never be fooled around again. I have heard news about this, but I personally haven't encountered it. But thanks.
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Old 05-17-2011, 04:52 PM   #8
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Just submit a dispute with your bank... don't take crap from them dude...
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Old 05-18-2011, 03:05 AM   #9
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Each company has their own policies. While you we do not endorse any other companies policies it is up to you as to whether you deal with them. If you do not read their terms and conditions then you should not enter in to the agreement with them. If they deem you a risk they deem you a risk it is as simple as that.

You may have a good rap on ebay etc but fact is Internet Fraud is quite a big problem that is not getting smaller. It is really no surprise that companies like hostgator are taking these sorts of measures.
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Old 05-18-2011, 07:34 AM   #10
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I live in Houston and I'm an ex-employee of Hostgator, they have all there stuff backwards up there at hostgator, there are some of the smartest people i have ever known there but the way the business is run i dont like. Brent Oxley in my opinion is far too young to run a business that big and he runs it with some of his friends, his dad controls his finances. I got fired because i fixed peoples websites for them that are having MySQL problems, the people asked me where i learned all of that and I told them i do web design and they took my name down that was it and i got fired... try to help and bad things happened be cause they said it was conflict of interest because hey have a "web design" department which consist of ONE guy making once a month updates to their site, its retarded but i used that experience i gained there to incorporate into my web design business and the hosting services i provide to my clients.
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