Beware - Overstock.com "Club O" rewards...

We bought a Dyson from Overstock in April and just recently I started getting emails about the "Club O" reward dollars I had coming to me - $15.00.

Tonight I finally had a reason to order something and during checkout see that $15.00 again, that I can elect to apply to the order.

Before I moved on, I opened another window and checked the terms and conditions, since there was no way to do it during checkout. As it turns out, I never enrolled in Club O but if I had applied that credit, I would have been billed the $19.95 annual fee to be in the club.

I could see where more frequent buyers might benefit from this, but I think it was pretty sneaky. How many people aren't going to leave the checkout process like I did and check what they're getting into?

Anyway, just wanted to warn you guys.

Re: Beware - Overstock.com "Club O" rewards...

I received an email from Overstock a couple months ago (i wish I saved it) saying that NYS wanted to collect sales tax from them and they didn't feel like it was fair and they were no long going to advertise in NY.

For being an existing customer in NY they enrolled me in Club O with a complimentary membership (from what I recall).

Maybe you can call them to clarify if you would have to pay the membership fee?

Edit to include mail. . . Found the email!


Dear Valued Overstock.com Customer,

Your state is one of a handful that have recently passed laws attempting to collect sales tax on Internet purchases. We believe these laws are unconstitutional. As a result of the passage of these laws, we have decided to stop working with marketing affiliates in your state, and instead, we’re giving you money we would have paid those businesses.

Because you’re a valued customer, we are giving you a Club O Rewards membership for free (normal price = $19.95), and depositing $10 into your Club O Rewards account. No further action is required; this has already been applied to your account.

As a Club O member, you’ll continue to receive:

5% rewards on every purchase¹


Free shipping¹ every day of the year


Access to exclusive shopping events

As always, I remain,


Your humble servant,
Patrick (ceo)

PS If you’d like to learn more about this issue, please visit our Investor Relations page.

Message edited 6/16/2011 11:01:42 PM.

Re: Beware - Overstock.com "Club O" rewards...

that happened to me once- i called them and they alloed me to cancel penalty free. definitely sneaky!!!