I paid a balance in full and closed my JC Penneys account, I then received letters asking if I wanted to keep the insurance, if I did I needed to send payment with the enclosed statement. If I no longer wanted the insurance I needed to do nothing. I did not return the statement with payment yet JC Penney applied the charges for insurance to an account that had been closed. I called JC Penney and the woman I spoke with told me she did not know why they were charging the insurance but would take care of it. later I received a letter from a collection agency. (Nice way to take care of it!)
I called JC Penney, I wrote letters to them, I wrote letters to the collection agency and to this day nothing has been done and I have been dealing with this since 2001! I am contacting an attorney to find out what my options are legally. Needless to say, I no longer do any kind of business with JC Penney. I recently received a threatening letter from a collection agency stating that I now owe JC Penney over 300 dollars even though in July of 2001 I paid the account off in full and closed it!
I applied for a loan from my bank and was denied because of the negative mark from JC Penney on my credit. The damage has been much worse than what I can mention here.