Spectrum customers in western New York are reporting overdraft charges and missing funds from their checking accounts that trace back to double-charging by Charter Communications for cable service.

WIVB-TV Buffalo reports Olean resident Michelle La Voie was stunned when an unauthorized debit showed up in her credit union checking account, which appeared to be a double-bill from Spectrum.

The second charge, a duplicate of the $161 payment she made manually, appeared as a “pending charge” on her electronic statement — a charge she did not authorize and a hold on her checking account funds her credit union could not release unless Charter canceled the transaction.

When La Voie called Spectrum’s billing department, she was told it was a computer glitch.

“They informed me that it was a known issue, that payments that had been made on the 19th and the 20th [of August] there was a computer glitch, and there were people being double-charged,” La Voie told WIVB News.

The “glitch” is in fact an “authorization hold” — one that we are experiencing with our August Spectrum bill payment here at Stop the Cap! 

If a customer pays using a debit or credit card, a vendor like Spectrum can place a temporary “hold” on funds. Often, this hold is the full amount of the transaction, which will temporarily make those funds unavailable for withdrawal until either the company and your bank or credit card “settles” the transaction and transfers the funds, or the hold expires, usually after 5-8 days.

In this case, Spectrum or its credit card processor failed to clear the hold after the transaction was settled, meaning affected customers have twice the amount of their cable bill unavailable in their account until the pending charge expires in about a week.

Customers can check to see if this glitch is affecting their account by logging on and looking for something like this:

Pending Charges

Aug 19 2018  TWC * TIME WARNER CABLE   $151.40

Activity Since Last Statement

Aug 28 2018  TWC * TIME WARNER CABLE  $151.40

The presence of both the “pending charge” and the “settled” charge found under current account activity is unusual, because the pending charge should have been canceled at the same time funds were transferred to pay Charter Communications (d/b/a Time Warner Cable). Instead, $151.40 was withdrawn and sent to Charter while an additional $151.40 is remains unavailable for withdrawal because of the authorization hold not being removed. By September 1st, that pending charge will likely expire. But until then, Spectrum has effectively kept $151.40 of your money hostage.

This can become a problem for customers who keep a low balance in their checking account and expect those funds to be immediately available to pay bills or make a cash withdrawal. Because of the extended hold, customers could unintentionally overdraw their checking account, leading to overdraft fees or an automatic draw from a line of credit, if one is attached to your checking account. La Voie had enough money in her account to avoid an overdraft, but she was concerned about those who don’t.

“I asked are you planning to tell customers this so that they can make sure that they are not overdrawn, or having payments declined?  They said no, we don’t have any plans to notify customers,” La Voie said.

In fact, one of her co-workers did incur overdraft fees because of this problem. Her credit union removed the overdraft fees as a courtesy, but not all banks are likely to be that understanding.

Customers can protect themselves by considering using autopay with a credit card, where authorization holds only affect your available credit line, not money in your checking account. For most credit card transactions, the temporary hold has no material impact, and few even notice the hold. But authorization holds can temporarily put a credit card into an overlimit condition if a customer keeps their card nearly “maxed out,” and exceeding your credit limit will damage your credit score and risk your good standing with the credit card issuer.

WIVB in Buffalo reports some customers in western New York are being “double-billed” for Spectrum cable service. (2:06)

Teachout

It may not be a surprise to our regular readers that our biggest audiences, as measured by Google’s analytics, are concentrated in New York City, Albany, and the upstate cities of Rochester-Buffalo-Syracuse — all in New York, closely followed by Washington, D.C., and Southern California. Stop the Cap! is headquartered in Rochester, N.Y., but the broadband issues affecting upstate New York are identical almost everywhere, because companies like Charter and Comcast, AT&T and Verizon dominate in many states.

For the benefit of our New York readers, we would like to take a moment to endorse one candidate for our state’s next attorney general. Who wins this race will have a ripple effect on almost all of our readers, because New York’s long history providing oversight of critical public and private utilities impacts not only on the people living here, but often sets precedents that deliver real benefits to consumers across all 50 states.

New York needs a strong and active attorney general, especially at a time when a pervasive culture of corruption in Washington, D.C. and Albany continues to fester. An attorney general can provide independent oversight and investigate behavior the current Congress and state legislature refuse to do for partisan reasons. Corruption, corporate influence, and pay-for-play politics is a bipartisan problem.

Our last attorney general, Eric Schneiderman, horrified us after revelations he allegedly physically assaulted some of the women he dated while also claiming to be a strong ally for the #MeToo movement. Many of his public policy positions were admirable, but his irresponsible, reckless, and unforgivable behavior reminded New Yorkers how flawed many of our state’s elected officials are. Schneiderman was just the latest to resign over a decade of resignations including a former governor, legislative leaders, aides, and elected officials from Buffalo to Long Island.

What New York needs now is a new generation of not-well-connected politicians that have no interest in joining an insider network of good ‘ole boys (and girls) who cynically cut deals and look the other way for political expediency. We need leaders that pledge loyalty, not to the party they belong to, but to the people they were elected to serve. That means an end to “everybody does it” campaign trolling for corporate cash, friendly (usually secretive) meet and greets with Wall Street, and wink and nod pledges of “understanding” by those taking frequent trips through the revolving door of public office and industry. New York has seen the impact of these practices in major scandals up and down the state involving deep pocketed construction companies, Wall Street banks, wealthy donors, and various well-connected business interests looking for contracts or tax breaks.

This time, there is a candidate that will deliver exactly what New York needs in an attorney general. Zephyr Teachout couldn’t be more independent if she tried. She wrote a book on political corruption, ran against New York’s current governor Andrew Cuomo, has been involved in a number of public policy groups advocating campaign finance reform, sunshine laws, protection from voter suppression, and providing stronger oversight of corporate interests, including a willingness to break up corporate monopolies.

On telecommunications issues, she couldn’t be a stronger candidate:

• She opposed Charter Communications acquisition of Time Warner Cable.
• She is tired of unopposed, competition-killing mergers like AT&T and Time Warner (Entertainment), Inc.
• She favors net neutrality.
• She supports public/municipal broadband, and for spending public money to resolve rural broadband problems.
• She will continue a lawsuit against Charter Communications for failing to meet its obligations to customers.
• She will fight the pervasive and corrosive impact of corporate political contributions and their distortion of public policy.

New York voters have several options to choose from for our next attorney general. Among the Democrats, New York City Public Advocate Letitia James has taken on Charter/Spectrum downstate and railed against Verizon’s broken FiOS commitments in New York City. While she now seems intent on carefully investigating Charter’s performance, that comes a little late. New York City has faced a number of problems with telecom companies breaking their commitments, many while James was in office. Those companies do not seem to be afraid of her. Her campaign platform seems focused on downstate issues that are likely not going to attract significant support upstate.

New York’s primary day is Sept. 13.

Leecia Eve is the establishment favorite for attorney general. Her website says little about her positions, but her resume speaks uncomfortable volumes about her close ties to the Clintons and the D.C. Democrats that enabled the telecom industry’s era of consolidation while doing almost nothing to stop monopoly abuse. Even worse, she is a veteran of D.C.’s revolving door, moving between government and private business in an all-too-familiar game that rarely turns out well for constituents. The deal breaker for us is Eve’s current job — a lobbyist for Verizon New York, New Jersey, and Connecticut. She actually calls that experience a plus. Not for us. There are far better choices.

Sean Patrick Maloney is the first openly gay member of Congress elected from New York. Previously, he was a partner at two global law firms and ran a high-tech business. He is dubbed ‘the upstate candidate’ because he currently represents the 18th district, which includes all of Orange County and Putnam County, as well as parts of southern Dutchess County and northeastern Westchester County. His district includes Poughkeepsie. He is considered to the right of the other candidates, likely reflecting the more conservative upstate views of his district, where Donald Trump won over Hillary Clinton by just under two points in the 2016 presidential election.

Maloney’s campaign positions are thin, mostly focused on blocking Trump Administration policies that impact New York, particularly those on immigration. He also claims he will fight to stop corruption in Albany, but has said little else.

He is, by far, the most strident candidate in the race, reflecting a ‘tough talk’ style, sometimes laced with profanity, that usually doesn’t hurt candidates in New York politics. His message: he won’t take any crap from the president or his supporters.

“I don’t give a f**k what the Trump fans say. That’s not what this is about,” Maloney said in response to a question about Trump supporters’ feelings about his sexual orientation and family. “This is about speaking from the heart. About a family I’ve built for 25 years that’s in the crosshairs of these assholes. And doing something about it.”

He’s also upset about the less-than-robust response from fellow Democrats to rhetorical bomb-throwers on the right during the last two years of Donald Trump’s presidency.

“It feels like the people who are fueled by hate, demagoguery and anger have their sh*t together, and those of us who want to talk about love and hope and inclusion have been hiding in the shadows,” he said. “And it’s time to get out of the shadows and at least defend our ground. But I’d rather even get on offense.”

Maloney’s strong beliefs and style seem better suited to Congress than the state attorney general’s office. Although no stranger to grandstanding, the AG’s office usually spends most of its time reaching private settlements with offenders or taking them to court.

The Republicans have endorsed Keith Wofford for attorney general. His platform is wrapped around the premise the attorney general’s office in New York has been too hostile to companies in New York, essentially extorting settlements and deal conditions that hurt corporate interests while spending too much time on oversight and compliance and not enough time on attracting new businesses and jobs. That’s a philosophy former Oklahoma AG Scott Pruitt (who served as the president’s EPA administrator until his resignation in July) would strongly endorse.

“The business environment here is horrible— and the attorney general has been a big part of that problem,” Wofford writes. “Recent AGs have twisted New York’s laws, strong-armed companies to settle flimsy lawsuits, and used New York companies as a piggy bank. This has driven away jobs and investment. And the cost falls upon all New Yorkers, who are denied jobs and opportunity — because businesses refuse to invest here, or simply leave.”

After two years of the Trump Administration’s scandalous performance allowing corporate foxes to patrol the hen houses, Wofford’s double-down on Trump’s policies is woefully out-of-place.

For all these reasons, Stop the Cap! strongly endorses Zephyr Teachout for New York’s next attorney general. She is right on our issues and will instinctively fight to stop consumer abuse, often before it starts. She will be immune to the influences of corporate cash and the kinds of cozy Albany-insider politics that have allowed corruption to fester for too long.

New York regulators have given Charter Communications two additional weeks to submit its plan to discontinue service in the state after the Commission voted 4-0 in July to de-certify its merger with Time Warner Cable.

Charter’s additional request for an extension of the deadline to ask for a re-hearing of the Commission’s decision to evict Charter from New York remains under consideration.

“Good cause exists to extend both deadlines,” Charter’s attorneys argued. “Granting a short extension would allow time for discussions between Charter and the [PSC] before the initiation by Charter of additional Commission or court proceedings.”

The Commission agreed to a delay for the exit plan, acknowledging the PSC’s staff and commissioners may need additional time to consider Charter’s plan and take action to modify it, if necessary. Charter now has until Oct. 9, 2018 to submit its plan. The delay also gives Charter time to pursue alternative judicial and administrative appeals, most likely in the form of a lawsuit against the state.

If Charter loses its appeal, it will likely have to sell its New York operations in all but a few small communities in New York where it operated cable systems before the merger deal was announced.

The Commission published both Charter’s Aug. 17 request and the Commission’s agreement at the same time on its website Monday morning. Today’s decision also marks a change in tenor for the Commission, which had been increasingly hostile towards Charter in the weeks before deciding to evict the company.

Updated 8/21: Corrected article to reflect the fact Charter’s extension request for a re-hearing is pending and no decision has been made yet.

Molinaro

Charter Communications has found itself an ally in Marc Molinaro, Republican candidate for New York’s governor, who attacked Gov. Andrew Cuomo on Tuesday for ordering the removal of Spectrum from New York State.

“We’ve got a megalomaniac on our hands, a veritable ‘Putin on the Hudson,'” Molinaro charged, defending the cable company for being attacked by the governor and “his surrogates” for political purposes.

Cuomo “put his thumb on the scale of a major PSC decision,” said Molinaro. “I think Andrew Cuomo got furious with NY1 News and effectively pulled the plug on an entire cable system as punishment to NY1, and as a warning to others he can affect who dare to ask him tough questions.”

Molinaro has repeatedly claimed the Public Service Commission is in the back pocket of the governor’s office.

Cuomo vs. NY1 – Spectrum’s 24-hour news channel in New York City

Molinaro’s campaign has been critical of an ongoing spat between the governor and reporters from NY1, Spectrum’s 24-hour news channel in New York City.

Earlier this month, Cuomo bristled at a question about improper campaign contributions from Crystal Run Healthcare, a health insurance provider in Middletown. NY1 reporter Zack Fink asked if the governor was considering returning those contributions and launching an internal investigation.

Gov. Cuomo

GOV. CUOMO: […] If the ongoing investigation finds any fraud, then as we’ve always done, we will return the donations. That’s standard operating procedure. We’re doing it in this case; we’ve always done it.

But speaking of fraud, Charter Spectrum has been executing fraud on the people of this state. They were given a franchise for a very specific set of conditions. It is a very valuable franchise. Many companies could have been given the franchise. Charter Spectrum said that they would increase cable access to the poor and rural communities around the state. That was the condition of them getting the franchise. I promised this state 100% high-speed broadband. Why? Because high-speed broadband is going to be the great equalizer, the great democratizer.

Whether you’re a business, an individual, you’re going to need high-speed broadband to be competitive. Charter Spectrum defrauded this state. They are defrauding consumers. Charter Spectrum is running ads that say we are ahead of schedule and at no cost to the taxpayer. The Public Service Commission said they’re behind schedule, not on schedule, and certainly not ahead of schedule. And to say it is no cost to the taxpayers is also a fraud, because that’s the condition upon which the taxpayers gave you the franchise. So you are defrauding the people of this state. That’s a fraud.

Fink

ZACK FINK (NY1): You said the PSC is looking into new operators. Is it the PSC’s place to do that or is it the market’s?

GOV. CUOMO: Are you speaking on behalf of Charter Spectrum or yourself?

ZACK FINK (NY1): No, I’m just asking a question. You brought it up so I’m curious. You said Friday that the PSC was looking at potential new operators.

GOV. CUOMO: Well, the Public Service Commission is saying that Charter Spectrum violated their franchise agreement. If you violate your franchise agreement, then you lose the franchise agreement and then they would have to find another operator without disruption to any of the consumers or the good workers of Charter Spectrum.

Viewers of NY1, a Spectrum News channel, never saw this exchange, which was widely covered elsewhere by the New York media. Viewers also didn’t see an on-the-record call-in by the governor made later than day to NY1’s newsroom to discuss the exchange. News of the call leaked after nobody at NY1 would publicly discuss it or why the news channel refused to air it.

Cuomo’s opponents on both his left and right criticized the governor over his treatment of the NY1 reporter.

“I’ll come right out and say it. It looks to me like Andrew Cuomo is trying to send a chilling message to the news media, ’don’t mess with me’, and I hope the inspector general can prove me wrong,” Molinaro said in a statement.

This week, Molinaro turned up the heat by claiming the governor was “acting more like a third-world dictator trying to intimidate the news media into dropping stories than an elected democratic leader who respects the First Amendment and has nothing to fear from it.”

Cynthia Nixon, running for the Democratic nomination to the left of Cuomo politically, claimed his chastising of NY1 reporters was out of line, resembling how Donald Trump treats the press.

“Cuomo can’t hold himself up as New York’s answer to Donald Trump, and simultaneously threaten members of the press for doing their job,” Nixon said, asking the governor to apologize.

Cuomo’s spokesman Rich Azzopardi claimed the ongoing criticism of Charter is nothing new for Gov. Cuomo.

“The governor answered his question and made the same statement that he has made to Charter Spectrum reporters and reporters statewide numerous times over the past few months, communicating the facts of the state’s two-year dispute with Charter for failing to serve the citizens of the state,” Azzopardi said.

Cuomo has made offhand remarks about Charter since the company replaced Time Warner Cable in 2016. He criticized NY1 and other Spectrum News stations around the state for not covering the IBEW strike against the cable company or a lawsuit filed by the state attorney general over the cable company’s failure to deliver on advertised broadband speeds.

“They virtually blacked it out,” Cuomo said of Spectrum News during a press event held on the day the PSC voted to drop Charter as a provider in New York.

Azzopardi also denied Molinaro’s accusation that the governor was involved in the PSC’s decision to force Charter to leave New York and dismissed the Republican opponent for spreading unproven “conspiracy theories.”

Cuomo is widely expected to be re-elected, with both Nixon and Molinaro running significantly behind the governor in polls. The primary is on Sept. 13.

Gov. Andrew Cuomo discusses Charter’s broken promises to New York State during a visit to Rochester, N.Y.  (Courtesy: Democrat & Chronicle) (2:28)