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Area residents targeted in magazine scam
By JIM SCHUH
of The Gazette
Magazine subscribers in the area have been receiving renewal notices from firms in California and Oregon that charge
a great deal more than renewals from the magazines themselves.
Bradford Publishing Service of Temecula, Calif., mailed a renewal/new order form to a Plover man, offering 12 monthly
issues of Wired Magazine for $24. A subscriber card in the magazine offers the same number of issues for $10.
Some months ago, the same man received an offer to renew PC Magazine from Bradford Publishing Service, but at that
time, the company was in Arlington Heights, Ill. It offered a one-year renewal for $50. The magazine's own offer
for the same thing: $34.97.
A Stevens Point man received two notices from Publishers Services Exchange of Medford, Ore., offering 36 issues
each of Model Railroader and Trains Magazines for $119.85 apiece. Kalmbach Publishing of Milwaukee sells subscribers
36 issues of either magazine for less.
Are these companies acting fraudulently? You decide. The fine print on the back of the renewal offers explains
the firms' policies, and it's up to consumers to read those notices. But a reasonable person could argue the methods
used may be deceptive.
The mailed forms, which appear similar to one another, promise great savings on over 600 publications. That's true,
if you pay the cover price - although few people do, since most magazines are sold by subscription. The fact is
that subscription forms and cards within individual magazines offer significantly greater savings for new subscribers
than either of the publishing services. So what more are you getting by renewing through Bradford Publishing Service
(BPS) or Publishers Services Exchange (PSE)? Not much, it seems.
People doing business with PSE pay a $9.95 processing and handling fee, which is included in the billed price.
Individual magazines do not levy any such charges.
The firms say they can help you with everything, from changing your address to ordering additional publications.
Obviously, you can deal with the magazines directly for those things at no cost to you, except perhaps a postage
stamp.
The higher fees you pay to PSE automatically enroll you in something called the American Consumer Publishing Association,
and that entitles you to "exciting offers and news on products and services...of interest and value to you."
A check via the Google search engine on the Internet produced no listing. Neither did it locate either of the firms.
BPS identifies itself as an "independent clearinghouse agent." It goes on to note that its mailing is
"a magazine subscription offer, not a bill or invoice." But the forms from both companies, because of
their layout, are easily mistaken for invoices.
Both firms give you two weeks to cancel your subscription before all sales become final. Bradford also supplies
a 900-number to call - a toll number that in essence means you are charged what may be several dollars to cancel
your subscription. Many magazines offer subscriptions that provide for refunds at any time if the subscriber is
unhappy with the publication.
Portage County District Attorney Thomas Eagon told The Gazette he "gets concerned when an offer looks like
a bill or invoice." He advises anyone dealing with the firms to use caution, and suggests that "anyone
who feels taken advantage of" to contact the state Consumer Protection Hotline, at 1-800-422-7128. Eagon notes
that the more complaints the state receives, the easier it is for the agency to begin an investigation.
The Christian Science Monitor, a national newspaper published in Boston, has placed the following notice on the
Internet: "You may have recently received a subscription renewal or order form from Publishers Services Exchange.
This has not been authorized by The Christian Science Monitor, and the Monitor will not honor any orders received
from this company. PSE has been notified to cease and desist all solicitation of subscriptions to the Monitor."
Similarly, The Washingtonian magazine has issued this alert: "A group doing business as Publishers Services
Exchange (221 West Tenth St., Suite B, Medford, OR 97501-8603; 541-774-9401) is advertising that it sells Washingtonian
magazine subscriptions. It billed one subscriber $90 for 36 issues (three years). Washingtonian magazine does have
magazine subscription relationships with other firms, but not Publishers Services Exchange. Please do not order
a subscription to The Washingtonian through this group."
The Kalmbach Publishing Co. in Milwaukee, the firm publishing the two railroad magazines, has issued what it calls
an "Urgent Warning." It says: "A company by the name of Publishers Services Exchange has been mailing
our customers and asking them to renew their subscriptions at incorrect rates. This company is NOT authorized to
represent Kalmbach Publishing Co., and is NOT affiliated with us in any way. PLEASE DO NOT RENEW YOUR SUBSCRIPTION
WITH PUBLISHERS SERVICES EXCHANGE. Most importantly, do not give them your credit card information or payment of
any kind."
Michael Stevens, Kalmbach's vice president of marketing, faxed an April newspaper article from the Hackensack,
N.J., Record to The Gazette. It told a story similar to what the Stevens Point and Plover men related.
The Record reported tracking down a Dennis Simpson, who identified himself as the owner of Publishers Services
Exchange. He said his firm works through a number of subscription clearinghouses, and can handle new orders as
well as renewals. He said 85 percent of his business is new business.
Simpson told the Record that sometimes, his firm offers the best deal, and that it planned to offer the customer
added benefits, such as low-interest credit cards and low-rate long distance telephone service.
One of Simpson's service representatives told the New Jersey paper that the mailed forms were not renewals, but
new order offers "meant to be thrown away if the recipient is not interested."
The Record quotes Don Seckler, circulation director of the New Jersey Monthly, as telling people who've received
mailings from Publishers Services Exchange, to "read the form closely." Seckler adds the form should
contain the magazine's logo, not just its name, and the check should be payable to the magazine, not a subscription
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