= Is it a red flag if a VPS company refunds your credit card and demands crypto to get your account unsuspended? =

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Bought my first vps with a credit card (payment already posted) and I spend a few days tinkering and learning and suddenly I got a suspension email and refund (which hasn't appeared on my card). Customer service acts like it isn't shady at all and insists that I've already been refunded but it doesn't show on my credit card.

I can't imagine why a company would refund a successful transaction and then demand payment via a method with no customer protections in order to unlock the account. Is this normal? Should I expect to be able to get any of my data back without paying?

It was Racknerd that tried to scam me. I guess I should have known their prices were too good to be true.

From talking to others, it sounds like they'll just disappear in a few months into service and if I paid with crypto or zelle then I'm screwed out of my money.

The refund was like 4 or 5 days into getting settled in on the machine and likely a way to coerce me into making the irreversible crypto payment to them.

That's what I initially thought but customer support actually replied saying that it's normal and totally not a scam but also they don't know why. I also received an email stating the exact refund amount so I believe it legit.

It would have been way less sus if they just told me they don't want my business but trying to get me to pay via other less secure methods to get my account back was super sus.

I suspect something you're doing here is shady. I don't know who you're talking about, but it's likely you violated a ToS with whatever activity you were doing. This didn't happen because you set up a web server or a VPN. They are likely trying to protect themselves through an untraceable transaction, plausible deniability. Be glad you have an out.

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