Thousands of people who depend on the prepaid RushCard to pay their bills and access their direct-deposited paycheck have been affected by a recent computer glitch which has prevented them from doing either. Entertainment mogul, Russell Simmons, is the face of RushCard, starting the company twelve years ago. The multi-million dollar company apparently instigated an upgrade to the system which resulted in a glitch which has sent those who relied on the card flooding Simmons’ Facebook page with angry comments.

Simmons declined to say just how many RushCard customers had been affected by the computer glitch; however, he stated the issues were being addressed as quickly as possible, reassuring customers their funds were safe in an online video. Simmons apologized for the hardships customers were experiencing, and committed to getting the problems fixed. Unfortunately, Simmons also said it could be days before account balances were properly corrected and customers were able to access their accounts. Online balances should begin to reflect transactions, cards locked should be unlocked, possibly by Friday, and direct deposits should now begin showing up, according to Simmons.

RushCard One of Five Prepaid Card Companies Investigated in Florida in 2011

RushCard is one of the many business interests of Simmons, which include Phat Farm clothing and Def Jam Recordings. Just last year, Simmons published a book called “Super Rich,” directed at entrepreneurs. In May, 2011, RushCard was one of five prepaid card companies who were issued subpoenas by the Florida Attorney General’s Office. The claims were that the companies were forcing consumers to pay hidden fees every time they made a purchase, and that some of the companies misrepresented their products by promising to improve credit scores. At that time, RushCard officials released a statement in response to the subpoena, defending the RushCard, and no charges were ever filed against the company.

Customers “Totally Frustrated” By the Situation

Dana Davis, a RushCard customer, admitted to being totally frustrated by the situation. Davis said she tried to use her RushCard to buy lunch on Tuesday, and it would not go through. Although embarrassed, Davis thought it was nothing more than a temporary issues. She called RushCard and was told the company was upgrading the system, was aware of the glitch and was working on it. Davis said she simply doesn’t have time to wait for the company to figure out the problem and rectify it. Her bills are stacking up, including the rent payment she is trying to figure out how to pay. Davis said she attempted to stop the direct deposit to her RushCard which was scheduled for Thursday, October 15^th, but was unable to do so. “I work too hard to not have the funds to do what I need to do,” Davis stated, adding she plans to trade in her RushCard and return to a traditional bank.

Natasja Jurgensen, another RushCard customer, said consumers need answers, and that she is “fed up.” Jurgensen says she has had no access to her money for the past five days, meaning she has been unable to pay her rent, buy groceries or diapers, or pay for child care and other bills. Unlike Dana Davis, Jurgensen has been unable to reach customer service in order to get the problem solved. “I just want this thing resolved and want my money back,” Jurgensen said, adding RushCard has lost her as a customer. Many RushCard customers have been stranded because they were unable to put gas in their cars, while others could face eviction because they are unable to pay rent. It remains to be seen how quickly the glitch will be fixed, allowing all RushCard customers access to their money.

National Consumer Lawyers

If you have been unable to access your money or paychecks because of the RushCard computer glitch, you may have cause to file a claim. To learn more about your legal options or to schedule a free consultation call the Philadelphia consumer lawyers at Golomb & Honik today at 1-800-355-3300 or 1-215-985-9177 or fill out our confidential Contact Form.

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