Is this standard Hostgator policy?

39 replies
A friend signed up for a Host Gator account yesterday, and today she received this message in her mailbox:

In order for us to setup your account, we will need you to call in and verify your billing information.

If you are unable to call us, you can instead respond to this ticket with a scanned copy of a Photo ID such as a passport, or drivers license. In addition to a photo ID, please include a scanned copy of the credit card that was used in your account purchase (assuming you purchased a hosting account with a credit card). For security purposes you can mask off all the digits of the card number except for the last 4 digits.
After signing up for a HG account, she was able to login immediately via the account information they sent her, change her password, and install a WP blog via Fantastico. Also, wouldn't HG know whether she used a credit card or not? (She used Paypal.)

Now, today, she gets this message.

I'm wondering if this is some kind of scam? I had a hosting account with HG earlier this year and did not receive an email such as this. The account was simply set up and the login information email to me at my primary email address.

Does anyone know if this is a valid email request? (I only posted part of the message above.)

Any information about this would be greatly appreciated.

Edited to add: She has no intention of replying to the above message. If it is from HG, they will be out a customer. If it is not from HG, who else could possibly know that she signed up for a hosting account yesterday?
#gator #host #policy #standard
  • Profile picture of the author Alexa Smith
    Banned
    Yes, it's more or less standard.

    (We had a thread recently in which a few people commented this had happened. Hostgator actually called me, rather than sending me email asking me to call them, but if I'd been out when they called I imagine they might then have done exactly that. They want either to speak you with you on the phone or see some ID. I was slightly surprised but had no problem with it).

    I don't think it's any kind of "phishing scam" or anything like that.
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    • Profile picture of the author DireStraits
      Originally Posted by Alexa Smith View Post

      Yes, it's more or less standard.

      (We had a thread recently in which a few people commented this had happened. Hostgator actually called me, rather than sending me email asking me to call them, but if I'd been out when they called I imagine they might then have done exactly that. They want either to speak you with you on the phone or see some ID. I was slightly surprised but had no problem with it).

      I don't think it's any kind of "phishing scam" or anything like that.
      Damn ya, Speedy Gonzales!
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  • Profile picture of the author DireStraits
    I doubt it's a scam, Val.

    Many web hosts do this, from time-to-time, out of fraud and security concerns.

    If it were a scam, it'd have to be a great co-incidence that she'd receive it almost immediately after signing up at HostGator, or else the scammers would have to be "harvesting" new customers' personal data direct from HostGator's order form (after hacking it).

    I suspect a more realistic and straight-forward explanation as to why she was able to login to her account successfully before subsequently receiving this email, is because HostGator automatically and near-instantaneously activates new accounts immediately upon receiving an order. Therefore, the only opportunity they'd have is to send the email afterwards.
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  • Profile picture of the author paulie888
    Definitely not a scam, and with the incoming rush of new orders after the Black Friday sale yesterday, I'd imagine that hostgator has additional security protocols in place to prevent fraud from occurring.
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  • Profile picture of the author I.M.Retired
    Thanks Alexa: (And Paulie888 and DireStraits) But what happens if she doesn't verify? Will her account automatically be cancelled and her payment refunded to Paypal, or will she have to do a charge-back on Paypal.

    She's never had anything like this happen before and is mightily ticked off. I've never seen anything like this in all my years of hosting with different companies either.

    You would think HG would put a notice on the registration page that this is standard procedure for new accounts. At least, I would think that!
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    • Profile picture of the author paulie888
      Originally Posted by Val.S. View Post

      Thanks Alexa: (And Paulie888 and DireStraits) But what happens if she doesn't verify? Will her account automatically be cancelled and her payment refunded to Paypal, or will she have to do a charge-back on Paypal.

      She's never had anything like this happen before and is mightily ticked off. I've never seen anything like this in all my years of hosting with different companies either.

      You would think HG would put a notice on the registration page that this is standard procedure for new accounts. At least, I would think that!
      I'm not sure about this, why don't you just have her call in and ask? The worse that could happen is she has her account cancelled, and all her money is refunded back to her.

      Paul
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    • Profile picture of the author Alexa Smith
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      Originally Posted by Val.S. View Post

      You would think HG would put a notice on the registration page that this is standard procedure for new accounts. At least, I would think that!
      Yes, good point. So would I! She should suggest it to them.

      Originally Posted by Val.S. View Post

      But what happens if she doesn't verify? Will her account automatically be cancelled and her payment refunded to Paypal, or will she have to do a charge-back on Paypal.
      Sorry - no idea. I never thought about it, just said Hi to them and confirmed who I was and that it was my credit-card and so on. Does she have some particular reason for not wanting to verify her identity? It will take her only a moment to call them, surely? It's also not a bad thing to speak on the phone with your hosting company, too, just to "know that you can", if ever you need to, and so on? I appreciate that it may be better to be told beforehand that this will happen, but it's slightly curious grounds for cancellation of the hosting, surely?

      I'm no lawyer, but I'd be fairly confident that if verifying your billing information is a condition of sale, and it wasn't disclosed as such before the payment, she's legally entitled to a refund, anyway, because no valid contract was entered into.
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      • Profile picture of the author Tina Golden
        I don't see the big deal or a reason for her to be upset. Call them, verify and she'll be all set.

        I don't think it's standard policy, though, because I signed up for two different hosting accounts through them within the past month and neither time received any such email. It could be triggered by something like being unverified at PayPal or certain countries - who knows?

        HostGator would not know that she used a credit card if it went through PayPal - that's the whole point of using PayPal for many people is so they don't reveal those details to all the merchants they deal with.

        Tina
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        • Profile picture of the author Alexa Smith
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          Originally Posted by TMG Enterprises View Post

          I signed up for two different hosting accounts through them within the past month and neither time received any such email.
          I was assuming they'd only ever do it once? It's only verifying your identity, after all, isn't it?

          Good point about PayPal.
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        • Profile picture of the author paulie888
          Originally Posted by TMG Enterprises View Post

          I don't see the big deal or a reason for her to be upset. Call them, verify and she'll be all set.

          I don't think it's standard policy, though, because I signed up for two different hosting accounts through them within the past month and neither time received any such email. It could be triggered by something like being unverified at PayPal or certain countries - who knows?

          HostGator would not know that she used a credit card if it went through PayPal - that's the whole point of using PayPal for many people is so they don't reveal those details to all the merchants they deal with.

          Tina
          I don't think so too, there are probably enhanced security measures in place due to the fact that the sale occurred on Black Friday.
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  • Profile picture of the author pjCheviot
    Banned
    Val

    I have received a request like this before, as have others I know of, but what I would suggest is that your friend contacts Hostgator Support direct and asks if the confirmation request is genuine.

    If so, then I personally don't see any problem with giving the necessary details . .

    Hope it helps.
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  • Profile picture of the author LetsGoViral
    I get that almost always when I need them to help me fix something on my sites. Sometimes it is just too much a hassle and I do it on my own. I don't mind though, this is obviously for security reasons.
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  • Profile picture of the author I.M.Retired
    I'll pass this information on and see what happens. I'm sure once she knows its not a scam everything will be okay!

    Thanks, everyone, for your prompt replies!
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  • Profile picture of the author DireStraits
    Well, it's not standard policy - that's just it.

    They'll have an automated (or certainly a manual) fraud/risk-scoring system, I expect.

    If something doesn't match up (credit card billing address to sign-up form address, or unverified PayPal account as Tina says) then they will request further documentation for proof of identity.

    If you decline to provide (or act on) it, I'm almost certain they will terminate the contract, and if that's the case you'll definitely receive a refund.

    (It's happened in a similar way to me before at another host, but I had no way to scan or photograph my card at the time, so I couldn't prove really nuthin', and they had to decline my order - also with a full refund).

    If your friend can provide what they need, then I would suggest to her that she does it if she really wants/needs the account - even though I do agree it can be, and is, an inconvenience.

    If she goes elsewhere and signs up in the same way, it's possible that that host would also make a similar request ... so I'd just go ahead and do what they ask.
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    • Profile picture of the author paulie888
      Originally Posted by DireStraits View Post

      Well, it's not standard policy - that's just it.

      They'll have an automated (or certainly a manual) fraud/risk-scoring system, I expect.

      If something doesn't match up (credit card billing address to sign-up form address, or unverified PayPal account as Tina says) then they will request further documentation for proof of identity.

      If you decline to provide (or act on) it, I'm almost certain they will terminate the contract, and if that's the case you'll definitely receive a refund.

      (It's happened in a similar way to me before at another host, but I had no way to scan or photograph my card at the time, so I couldn't prove really nuthin', and they had to decline my order - also with a full refund).

      If your friend can provide what they need, then I would suggest to her that she does it if she really wants/needs the account - even though I do agree it can be, and is, an inconvenience.

      If she goes elsewhere and signs up in the same way, it's possible that that host would also make a similar request ... so I'd just go ahead and do what they ask.
      Yes, there's absolutely no doubt that if she declines to go through with the suggested verification procedure, she'll have her account cancelled. What has me a little curious though is why she is so hesitant to proceed with it. I can understand her outrage, but this is just a one-time thing that is pretty quick and painless. Perhaps you need to explain this to her?

      Paul
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      • Profile picture of the author Frank Donovan
        Originally Posted by paulie888 View Post

        What has me a little curious though is why she is so hesitant to proceed with it. I can understand her outrage, but this is just a one-time thing that is pretty quick and painless. Perhaps you need to explain this to her?
        I agree that it's not really a big deal, but I can also understand her hesitation, given the prevalence of online scam attempts.

        As Michael pointed out, such a procedure has certainly not been standard policy with HG (nor, in my experience, with other hosting companies). I'm pretty sure HG didn't even ask for my phone number when I first signed up.

        As with any suspected scam, the best thing to do is call the company direct and confirm the details for yourself.

        Frank
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  • Profile picture of the author I.M.Retired
    To update this post: My friend decided to give in and call Hostgator to activate the new hosting account. She dialed the 1-800 number that was sent to her in the 'verify' email.

    An answering service intercepted the call with a new number to dial. Oh, and by the way, the charge for accessing the number they gave her was $3.00.

    My friend is livid - to say the least. She is not amused! Neither did she call Hostgator. She is cancelling the account she originally set up and moving on!

    What I can't understand is why Hostgator would pull a stunt like this - the stunt being sending a potential customer a 1-800 number to call to verify and account they had already set up, then switching the number to a $3.00 chargeable number.

    I'm feeling a bit sheepish because I prompted her to sign up for an account on Black Friday, which she did. It makes me look bad, now, too! Sigh. Lesson learned. Mind Your Own Business!
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    • Profile picture of the author Nate Simms
      Originally Posted by Val.S. View Post

      To update this post: My friend decided to give in and call Hostgator to activate the new hosting account. She dialed the 1-800 number that was sent to her in the 'verify' email.

      An answering service intercepted the call with a new number to dial. Oh, and by the way, the charge for accessing the number they gave her was $3.00.

      My friend is livid - to say the least. She is not amused! Neither did she call Hostgator. She is cancelling the account she originally set up and moving on!

      What I can't understand is why Hostgator would pull a stunt like this - the stunt being sending a potential customer a 1-800 number to call to verify and account they had already set up, then switching the number to a $3.00 chargeable number.

      I'm feeling a bit sheepish because I prompted her to sign up for an account on Black Friday, which she did. It makes me look bad, now, too! Sigh. Lesson learned. Mind Your Own Business!
      That is NUTS!!

      I had to verify with HG because I'm currently in Canada and used a card with a US address on it. But it was all done through E-mail...never had anything like that happen.
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  • Profile picture of the author I.M.Retired
    Chris: At least you got to enter the 1010 extension. My friend did not. She was redirected to a number that required her to pay $3.00 to access.

    Nate: She wasn't offered the option to verify by email. It was either a phone call or send in some personal information via snail mail, if I remember correctly. She wanted to get this site up and running as quickly as possible.

    But after getting over her initial hesitation and then being hit with an additional charge, albeit a small one, she got really ticked off with Hostgator and decided to go elsewhere. What a run-around just to set up a simple hosting account!
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  • Profile picture of the author Kay King
    Did either of you log onto HG chat and ask about this? That's what I would have done as the phone number thingie makes no sense. Where is your friend located? I know verifications are stricter for some countries.

    kay
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    • Profile picture of the author webfighter
      Originally Posted by Kay King View Post

      Did either of you log onto HG chat and ask about this? That's what I would have done as the phone number thingie makes no sense. Where is your friend located? I know verifications are stricter for some countries.

      kay
      Kay,

      I got into a live chat the moment I received this email. In my email, it was never mentioned I could verify by phone. I told the representative that I was never going to upload any proofs.

      He said that I'll get a refund in 48 hours automatically if I don't take any action.

      An idiot would wait 48 hours to get his own money back. I asked the guy to refund my money asap. He said their department can't handle refund requests. What more, he couldn't even forward a request to the right department.

      I replied the original email to request an immediate refund. I got the same old reply that I would get a refund automatically after 48 hours.

      I replied again, to which I was directed to a cancellation form. The form asked me my cpanel username and password. But I never got it from Hostgator in first place!

      I repliead again and finally got the cpanel password. Filled out the cancellation form.

      Every response from them took around 3-6 hours. The final cancellation took some more time.

      Guess they can get some of the live chat people (it always shows that there are over 30 extra support persons on chat - literally wasting their time) into responding tickets fast.

      webfighter
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  • Profile picture of the author I.M.Retired
    Hi Kay: I don't understand what happened either, but it did, and my friend has moved on to another host and already has her new site underway.
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    • Profile picture of the author donhx
      I don't think it is their standard way of doing business.. but HG has every right to do spot-checks. They are just trying to protect themselves from various kinds of fraud. The process sounds simple and painless.
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  • Profile picture of the author trishworks4u
    I've always thought HG was a bunch of inconsistent freaks. Yet I continue to do business w/ them.

    I did open a 2nd account on Black Friday. Received a call at 1:00 am - which I didn't answer. It was a live person who was just "confirming that I opened a new account" and said to "call if I didn't". weirdos.
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    • Profile picture of the author JamieSEO
      Any time you receive an email that you are concerned may be phishing just check out the Internet headers to make sure it checks out.

      If using Outlook then right click on the message and choose Message Options.

      Look in the Internet Headers box to find out more about who the message was sent from:

      Return-Path: <Userxyz@mysite.com>
      Received: from server.svr1.us ([xx.xxx.xx.xx])
      Received: from xxxxxxx by server.svr1.us with local (Exim 4.69)
      (envelope-from <Userxyz@mysite.com>)
      id xxxxxx-xxxxxxx-xx; Wed, 01 Dec 2010 07:25:02 -0500

      When in doubt directly contact the business that is (supposedly) trying to reach you.
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  • Profile picture of the author Sardent
    I too would find it strange, and probably get ticked about it.

    Mainly because in today's world of identity theft and other shenanigans going on, we as the consumer are being asked for more and ever more personal and confidential information. More hoops to jump through. And when you jump through one, there is another one right beyond it with a sign saying "Do it again".
    Sure these companies may have a privacy policy, but what does that really mean? Not much in today's world. Corporate "fibbing" is a rampant business practice using the fine print to take back all the things they just said they wouldn't do with our information.

    Someone please tell me you've never once wanted to demand the name, address, social security number, and 3 forms of ID of every employee in a company before you'll do business with them?
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    • Profile picture of the author CMCarlin
      Originally Posted by Sardent View Post

      I too would find it strange, and probably get ticked about it.

      Mainly because in today's world of identity theft and other shenanigans going on, we as the consumer are being asked for more and ever more personal and confidential information.
      In a world full of identity theft and paypal account hacking, isn't this all the more reason to verify the account?

      I don't get why anyone would get all bent out of shape over this.

      Consumer driven sense of entitlement I guess?

      The last statement isn't directed toward you Sardent.
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  • Profile picture of the author parg
    Hi val
    I am using HG for the last one yr. I did not had any such issues with them. If I face any problem I do a online chat with and till now they had solved my problems.
    parg
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    • Profile picture of the author Kay King
      Mainly because in today's world of identity theft and other shenanigans going on,
      True - and we get frustrated because we know WE aren't trying pull any tricks - but the companies have to protect themselves or they lose money.

      I had to laugh at the newest credit card supposed to be "the most advanced" and "the safest". From what I've read, you only need to "tap" the card against a special machine and the sale is done.

      No numbers/id/etc - but what happens if someone steals that card? tap, tap, tap... Sometimes it seems the easier little tasks become, the more complicated our lives become.

      kay
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  • Profile picture of the author arya
    I did open an account with hostgator and got the following email

    "{Hello,

    Thank you for your order with HostGator.com!

    In order for us to setup your account, we will need you to call in and verify your billing information.

    If you are unable to call us, you can instead respond to this ticket with a scanned copy of a Photo ID such as a passport, or drivers license. In addition to a photo ID, please include a scanned copy of the credit card that was used in your account purchase (assuming you purchased a hosting account with a credit card). For security purposes you can mask off all the digits of the card number except for the last 4 digits.

    Please provide us with the above requested information at your earliest convenience to ensure that your account with HostGator is setup as soon as possible.

    Toll-free: 1-866-96-GATOR, extension 1010
    International: 001-713-574-5287

    We are available 24/7, so please feel free to call us at your convenience. We apologize for any inconveniences that may result from this process.

    If you have any questions, comments, or concerns, please don't hesitate to contact us.

    Thank you,
    HostGator.com Sales Team"}

    As i am outside US i called there international number and verified my account. It took me 5 minute or so.

    I do have a bluehost account and they to did verify my account, but they did it a bit differently then hostgator.

    Actually Bluehost guys called me on my phone number which i had enter when i had open the account. So as a customer i preferred verification of the bluehost rather then hostgator.
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  • Profile picture of the author richgrad
    yes hostgator implemented this as early as sept this year... because I was running a live workshop teaching ppl how to set up their hosting and all of them can't get their wordpress blogs up during the workshop because of this restriction
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  • Profile picture of the author Amelle
    I got he same email on Friday after I opened an account with them for the first time. I was concerned about sending personal documentation via email too and queried it here on the forum because I too, believed it was a phishing email. It turned out to be genuine, they are doing it for security reasons,mostly for new accounts and for those outside US.
    I called them on the international line(I am outside US) and they asked me to verify my details and that was it - I did not have to email them any documents.
    However, they did say that if you don't verify your account, they will cancel your account and automatically issue a refund.
    I can relate to your friend not wanting to send her personal documents via email, so I would suggest she just phones them - nothing to worry about really.
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    • Profile picture of the author dfs_dean
      I guess this doesn't sound too different from Google periodically requiring voice/text verification to set up a gmail account. Except Google lets you know ahead of time, if you look for it.

      Peace
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  • Profile picture of the author webfighter
    Its definitely not a scam. I too signed up for HG this black friday. And got the same message.

    I asked for a refund straight away. It took them over 20 hours to process it (had to exchange a few emails).

    I then went ahead with stablehost.com - so far so good. They called me themselves (an automated call) and it was all okay with me.

    Originally Posted by dfs_dean View Post

    I guess this doesn't sound too different from Google periodically requiring voice/text verification to set up a gmail account. Except Google lets you know ahead of time, if you look for it.

    Peace
    But asking the users to call Google themselves would really piss them off.

    Hostgator is doing nothing but pissing customers off. I wasted the whole black friday for the hosting part only!
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  • Profile picture of the author mrpals
    Big Brother must know your address and exactly where you are and who you say you are. Pretty much all American based hosting has this policy now to establish identity. They don't want another wiki leaks
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    • Profile picture of the author Kay King
      I got into a live chat the moment I received this email. In my email, it was never mentioned I could verify by phone. I told the representative that I was never going to upload any proofs.
      Editing here - sorry, missed the reference of no phone verification in the email. That could be different for various countries perhaps?

      However, I don't see why it's a big deal to prove you placed the order by faxing a copy of the credit card with the numbers blacked out or sending a copy of a publicly available photo id such as a license.

      If you aren't willing to verify - take the refund and find different hosting. That's the only answer.

      kay
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      • Profile picture of the author Kay King
        Just noticed at least one person lives in India - could the different procedure be more of the changes companies had to make to comply with new regulations for payments in India? Just a thought.
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