Chase Facing Class Action Lawsuit over Rewards Program

Chase Facing Class Action Lawsuit over Rewards Program

Posted By Golomb & Honik || 24-Jun-2014

Credit card companies often offer Rewards programs to cardholders as an incentive to have them apply for their cards and to charge more each month once they get the card. For every dollar spent, credit cardholders will usually receive 1, 2, or 3 points-depending on the purchase. These points can be redeemed in the future for airplane travel, hotel stays, luxury items, or even cash back. These programs have become increasingly common in recent years and nearly every credit card company offers one.

Chase, however, is facing a class action lawsuit due to their Chase Rewards program. The class action lawsuit alleges that Chase lured consumers into signing up for and using their credit card with the promise that the points they accumulated would never expire. Yet hundreds of consumers found that suddenly their credit card was inexplicably terminated-even though their accounts were not in default and the cardholders never missed a payment.

When Chase terminated the accounts, cardholders suddenly found that their Reward points were revoked and they were not compensated for this loss. There are thousands of members in this class action lawsuit and more will be added in the upcoming months. The Plaintiffs allege that Chase engaged in unfair trade practices, breach of cardholder agreement, and breach of the covenant of good faith and fair dealing.

Businesses, banks, and corporations, like Chase, often resort to deceptive advertising, unfair trade practices, or unlawful tactics to increase profits. Cancelling a credit card account and revoking reward points is just one example of the tactics these companies resort to at the expense of their consumers.

Consumers who have lost their Rewards points after their account was terminated through no fault of their own may be able to take part in the class action lawsuit. Class action lawsuits allow consumers to band together to take on large corporations or greedy financial institutions and hold them accountable for their transgressions.

At Golomb & Honik, our national class action lawyers have the experience and the resources needed to tackle large class action cases. Time and time again, our lawyers have successfully defended consumers from “big business” and consumer fraud and recovered hundreds of millions of dollars in verdicts and settlements.

National Class Action Lawyers

If you or someone you love has lost Chase Rewards points or rewards points from another credit card company after your account was inexplicably cancelled, you may be able to take part in the class action lawsuit that is currently pending. To learn more about your legal options or to schedule a free consultation call the Philadelphia class action lawyers at Golomb & Honik today at 1-800-355-3300 or 1-215-985-9177 or fill out our confidential Contact Form.

The national class action lawyers at Golomb & Honik have successfully represented individuals in Philadelphia, Pennsylvania, New Jersey, and throughout the United States.

Categories: Class Action
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