A new lawsuit is in the work, claiming that American Express violated the Truth in Lending Act. It applied to those customers who have had an Amex credit card in May, June, or July of 2016. If you did, then may have a legal claim under the Truth in Lending Act and be entitled to statutory money damages. The Truth in Lending Act regulates the disclosure of credit card terms.
Top Class Actions reports that American Express may have violated the terms of the federal Truth in Lending Act during the months of May, June, and July of 2016 in that the Annual Percentage Rate information disclosed in billing statements was incomplete.
TILA includes a set of laws for credit card issuers covering business practices they must follow and disclosures that they must make, such as:
- The Annual Percentage Rate (APR) for purchases (as well as for cash advances and for balance transfers, if they are also available features);
- The penalty APR that may be applied, and the conditions under which such penalty may be triggered;
- The interest-free period for purchases and any other feature before finance charges begin to accrue;
- The annual fee for keeping the account open;
- Transaction charges for cash advances, balance transfers, and foreign transactions;
- Any late fees for not making the payment by the due date.
A class action lawsuit is just being explored for now and nothing has been filed yet. If it is approved, then many readers should qualify, so keep an eye out for this. Also check out more class action settlements here.