American Express Investigation
Stock Symbol: NYSE: AXP
Class Period Start: 05/01/2016
Class Period End (inclusive): 05/01/2016
Did you have an American Express credit card in May, June, and/or July of 2016?
Anyone who had an American Express credit card during this time period may have a legal claim under the Truth in Lending Act and be entitled to statutory money damages, which serve as a sort of fine for breaking the law.
The Truth in Lending Act sets regulations regarding meaningful disclosure of credit card terms.
These regulations aim to encourage transparency for customers when applying for mortgages, credit cards, home equity loans, and other consumer credit.
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.
If you had an American Express credit card during this time period, please fill out the contact form on the right to discuss with an attorney.
What is the Truth in Lending Act (TILA)?
The federal Truth in Lending Act (TILA) protects both creditors and borrowers by requiring clear and meaningful disclosure for consumers of credit. The law was enacted by Congress in 1968 and provides protections for borrowers and requirements for lenders.
TILA includes a set of laws for credit card issuers covering business practices they must follow and disclosures that they must make. Under TILA, some of these disclosures include:
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.
American Express may have violated consumer rights under TILA for several months in 2016. This violation may entitle cardholders to statutory money damages, which serve as a sort of fine for breaking the law.