Ed's Blog

UPDATE: CFPB Director Richard Cordray has posted a followup blog called "Consumers expect, and deserve, that companies follow the rules."

ORIGINAL: Four federal financial regulators have announced an order for at least $85 million in restitution and $27.5 million more in penalties alleging a variety of violations -- including age discrimination -- of equal credit opportunity, debt collection and credit reporting laws by the American Express credit card. Here find the statement from the CFPB, statement from the OCC, statement from the Federal Reserve and statement from the FDIC, whose investigation jointly with the Utah Department of Financial Institutions discovered the violations. The statements include links to additional settlement order documents.

From the CFPB: "at every stage of the consumer experience, from marketing to enrollment to payment to debt collection, American Express violated consumer protection laws."

A quick thought. I wonder what opponents of the CFPB will say, since the violations were "discovered" by the FDIC and Utah bank regulators and every single federal financial bank regulator participated in the case? Will opponents attack the CFPB anyway?

More on the violations, from the CFPB:

"The investigations found that the violations occurred at various points in time between 2003 and spring 2012. They occurred at every stage of the consumer experience, from shopping for cards, to applying for cards, to paying charges, and to paying off debt. More specifically, American Express subsidiaries:

  • Deceived consumers who signed up for the American Express “Blue Sky” credit card program: Consumers were sometimes led to believe they would receive $300 in addition to bonus points if they signed up for this American Express Centurion Bank program. But consumers who met the qualifications did not receive the $300. This violates federal laws prohibiting deceptive practices.
  • Charged unlawful late fees: American Express Centurion Bank and American Express Bank, FSB billed late fees on certain cards based on a percentage of the debt in violation of the Credit CARD Act.
  • Unlawfully discriminated against new account applicants on the basis of age: American Express Centurion Bank used a credit scoring system that treated charge card applicants differently on the basis of age. For a period of time, the bank did not fully implement the system for applicants over the age of 35. This violated the Equal Credit Opportunity Act because it requires credit scoring systems that take age into account to be properly designed and implemented.
  • Failed to report consumer disputes to consumer reporting agencies: American Express Centurion Bank and American Express Bank, FSB failed to report the existence of certain customer disputes to credit bureaus, which is a violation of the Fair Credit Reporting Act.
  • Misled consumers about debt collection: All three of the American Express subsidiaries deceived consumers into believing there were certain benefits to paying off old debt. Consumers were wrongly told that if they paid off the old debt, the payment would be reported to credit bureaus and could improve their credit scores. In fact, American Express was not reporting the payments and the debts were so old that even if they had tried to report them, many of the payments would not have appeared on these consumers’ credit reports or affected their credit scores. American Express also told some consumers that a portion of their debt would be waived or forgiven if they accepted certain settlement offers. But for customers who applied for a new American Express card, the company was not really forgiving or waiving the debt."

This is the third major credit card company recently found by regulators to be in violation of consumer laws. In July, CFPB and OCC issued an order against Capital One. In September, CFPB and FDIC issued an order against Discover Card. In both earlier cases, the firms were dinged for deceptive marketing and billing of junky card add-on products, such as debt cancellation and credit monitoring subscription products. In all three cases, consumers are receiving restitution.

Comments

Ett roligt initiativ. Som svensk man kan jag instämma i vad modechef Juhlin och Lindström konstaterade, att detta samarbete nog inte är för den genomsnittliga mannen. Oavsett kommer jag kolla lite i butikerna när plaggen kommit.

http://maskodoq.blogspot.com/2013/07/CiptoJunaedy.html
http://fb.me/1z6FGBNTX

This is certainly very nice. Solitary stare upon tips subject matter when we are bowled over. We are curious about this sort of products. Solitary appreciate your guidelines, and number the effort in this. Please keep editing. They are sihnificantly no… http://acmbet.net/338a-online/ , http://ligaplayer.com/bola-tangkas , http://vivobetting.net/sbobet-338a/

Just wanna admit that this is handy , Thanks for taking your time to write this.
http://men-seeking.com meeting gay men online

Pretty good post. I just stumbled upon your blog and wanted to say that I have really enjoyed reading your blog posts. Any way I’ll be subscribing to your feed and I hope you post again soon.
model mayhem

South Africa is brimmed with the excitement and joy of World Cup and if you want to be a core fan of any team then it is time to know about the best teams. I would prefer Spain due to many reasons which will convince you also.
http://rosie.besaba.com/alfamart-official-partner-merchandise-piala-duni...
http://maskodoq.blogspot.com/2013/07/CiptoJunaedy.html
http://maskodoq.blogspot.com/2014/03/unit-link-terbaik-di-indonesia.html
http://etnisjawa.blogspot.com/2013/08/apakah-cipto-junaedy-bohong.html
http://rosie.besaba.com/situs-online-terbaik-terpercaya/

I have recently started a blog, the info you provide on this site has helped me greatly. There is obviously a lot to know about this. I think he did some good things in features also. Keep working, great job! Thanks for a very interesting blog. What else can I get that kind of information written in such a perfect approach? I have a company that I'm simply now operating on, and I've been on the look out for such information.
http://www.seoedan.com/2014/04/abcbolacom-agen-judi-bola-terpercaya.html
http://www.seoedan.com/2014/03/itucasino.html
http://www.seoedan.com/2014/03/itubola.html
I have recently started a blog, the info you provide on this site has helped me greatly. There is obviously a lot to know about this. I think he did some good things in features also. Keep working, great job!
http://www.seoedan.com/2014/03/afatogelcom-bandar-terbesar-situs-togel.html
http://www.seoedan.com/2014/04/eyangtogelcom-togel-singapura-togel.html
http://lashoraslentas.blogspot.com/2014/03/itudominocom-judi-domino-agen...
http://www.seoedan.com/2014/04/globalbola.html

My friend mentioned to me your blog, so I thought I’d read it for myself. Very interesting insights, will be back for more!
denver seo services

MSN Login
What a good blog you have here. Please update it more often. This topics is my interest. Thank you. . .

epic soccer training
I would also motivate just about every person to save this web page for any favorite assistance to assist posted the appearance.

Hi there, just became aware of your website through Google, and found that it is truly useful. I’m gonna watch out for brussels. I’ll be grateful if you continue this in future Numerous people will be benefited from your post. Cheers!

The other interest information http://arentin.blogspot.com/2014/02/unit-link-terbaik-di-indonesia-commo... Unit link terbaik di Indonesia Commonwealth Life investra link , & don't forget click useful entry http://arisnbw.blogspot.com Commonwealth Life & good entry http://www.postingku.com Junaedy & entry http://arisnbw.blogspot.com/2013/10/ciptojunaedy.html Junaedy & good article http://arentin.blogspot.com/2013/05/cipto-junaedy.html Cipto Junaedy that interesting & useful article http://www.aa-gallery.co.id tembaga & useful article http://www.aagallery.co.id tembaga. Thank you

Credit cards are widely used by many people to buy something. But usually you use many types of credit cards lowest interest rates. http://www.scandidivers.com

Perangsang Wanita merupakan racikan yang diciptakan oleh perusahaan mode terkemuka di Prancis, yakni Yves Saint Laurent. Obat Perangsang Wanita ini diciptakan untuk ramuan} frigit khusus wanita juga bisa meninggikan syahwat secara seketika serta mampu meninggikan birahi seksual kaum wanita secara sekejap jasa seo profesional.

Obat Perangsang Wanita diproduksi dengan formula terpilih yang bermanfaat sebagai pembangkit menambah birahi yang mantab serta untuk ramuan yang mantab untuk menyembuhkan frigiditas yang dialami wanita belakangan pembesar payudara ini. Sesudah melewati proses jauh uji klinis juga penelitian laborat selama beberapa tahun, pada akhirnya tercipta ramuan herbal khusus yang berfungsisebagai meningkatkan nafsu sekejap, tapi tidak memberikan efek lain sama sekali peninggi badan. Perangsang Wanita bila dikonsumsi akan menjadikan gairah seks pasangan menggairah laksana kobaran api.

Obat perangsang wanita tersebut hanya terkhusus digunakan kepada pasangan yang menderita kurang gairah seksual saat melakukan hubungan ranjang. Dilarang keras memberikan perangsang wanita ini pada wanita lain selain istri sah sendiri juga dilarang memberikan pada Orang yang kurang bertanggung jawab. Hal ini untuk mencegah jangan sampai disalahgunakan untuk hal hal yang tidak diinginkan. Banyak kasus di Amerika dan Eropa, Gadis kehilangan keperawanannya dan Wanita kehilangan Mahkotanya yang berharga, akibat dari penyalahgunaan perangsang Opium spray ini.

Terimakasih telah membaca berita sekelumit ini dan semoga saja berguna. Berikut ini ada sejumlah situs mantab seputar sbobet casino online juga bola tangkas online yang dapat kalian simak sambil mengonsumsi susu kambing etawa yang memiliki beraneka kegunaan teruntuk kesehatan kita.

Usually there are many kinds of attractive offers when you make use of a credit card. All this will be one of the very irresistible to many people who like to shop.
http://www.cobaltreverse.com/states/washington/reverse-mortgage-broker_f...

Thank you for posting a great article which is really interested and useful too. дизайн студия интерьера

Those who use credit cards to be ready to pay the bill every month. You have to know where to get the money from to pay the bills. Hummingbird Search Engine Optimization Seattle LHI

Credit card numbers are too big to really make a lot of people are in trouble. They should limit yourself if you want to use this card. http://www.wholesalebarstoolclub.com/

Ini adalah hal yang bagus untuk daihatsu xenia jogja yang telah berperan penting dalam terciptanya sebuah kenyataan dalam kehidupan.

ini adalah cara terbaik untuk
cuci sofa bekasi agar tahu bagaimana rumah menjadi nyaman untuk di tinggali dan tentunya
hosting murah indonesia yang senantiasa memberikan warna tersendiri. http://dicari.blog.com/konveksi-murah-indonesia/

Experts can also often make mistakes in their submissions! Very interesting to watch the developments! http://besocial-blog.weebly.com

I definitely enjoying every little bit of it. It is a great website and nice share. I want to thank you. Good job! You guys do a great blog, and have some great contents. Keep up the good work. NYC SEO http://newyorkseoexpert.org/

Credit cards are a big issue for those who are not ready to pay the bill. Therefore, you should already be paying their bills on time. Browning 12 Gauge BPS

Lindsey Dennis
Thanks for the post and great tips..even I also think that hard work is the most important aspect of getting success.

I definitely enjoying every little bit of it. It is a great website and nice share. I want to thank you. Good job! You guys do a great blog, and have some great contents. Keep up the good work.
clinica fertilizacao sao Paulo

nyaman agen casino sbobet terpercaya http://bandar365.com agen judi taruhan bola

Many thanks for this brilliant post! Many points have extremely useful. Hopefully you'll continue sharing your knowledge around.
sbobetmania

Using a credit card is one of the things done by many people today. There are so many types of credit cards that you can use during an emergency. bmw x5 wheels

I also benefit from learning the assessments, but learn that alot of people ought to stay on essay to try and add worth in the direction of the authentic weblog release.
Drink Stuff

Really great post, Thank you for sharing This knowledge.Excellently written article, if only all bloggers offered the same level of content as you, the internet would be a much better place. Please keep it up!
slaappillen

I simply got to this phenomenal website until recently. When i was in fact captured with all the bit of means exhibiting here. Large thumbs way up in making this sort of fantastic web site webpage

cheats for

seo phoenix
Great, This specific net webpage is seriously thrilling and enjoyment to learn. I’m an enormous fan from the subjects mentioned.

Thanks for sharing this interesting blog with us.My pleasure to being here on your blog..I wanna come beck here for new post from your site.

psn codes

I would also motivate just about every person to save this web page for any favorite assistance to assist posted the appearance.
fifa 14 coins

Very informative post! There is a lot of information here that can help any business get started with a successful social networking campaign!
English to French translation

Sallie Mae Student Loan Login
his is my first time i visit here. I found so many entertaining stuff in your blog, especially its discussion. From the tons of comments on your articles, I guess I am not the only one having all the leisure here! Keep up the excellent work.

plumbing whittier
Great post! I am actually getting ready to across this information, is very helpful my friend. Also great blog here with all of the valuable information you have. Keep up the good work you are doing here.

Grenada hotels
Should there be another persuasive post you can share next time, I’ll be surely waiting for it.

This is certainly really good. Only one checked out this realisation capacity so we are astonished. We are precisely curious about this kind of activities. So we appreciate all the sharing, and cost your time inside this. Please keep cutting. http://arenaliga.com/isin4d-togel-online/ , http://arenaliga.com/cmd368/

college online proxy
Should there be another persuasive post you can share next time, I’ll be surely waiting for it.

https://www.rebelmouse.com/oldschoolnewbodyreviewf4x/
I really like the dear information you offer in your articles. I'm able to bookmark your site and show the kids check out up here generally. Im fairly positive theyre likely to be informed a great deal of new stuff here than anyone else!

Credit cards often cause problems. There are quite a lot of issues about the violence that occurs when someone billed numbers that must be paid from the card.
http://www.vbrentservice.com/Discount-dessy_c8

Superbly written article, if only all bloggers offered the same content as you, the internet would be a far better place..
agen sbobet

Thhis piece оf writing provides сlear idea fоr the neww visitors of
blogging, tɦat rеally Һow tо do blogging.

Hi I found your site by mistake when i was searching yahoo for this acne issue, I must say your site is really helpful I also love the design, its amazing!. I don’t have the time at the moment to fully read your site but I have bookmarked it and also add your RSS feeds. I will be back in a day or two. thanks for a great site.
buy views

I was very pleased to find this site.I wanted to thank you for this great read!! I definitely enjoying every little bit of it and I have you bookmarked to check out new stuff you post.
seiko watches

I also benefit from learning the assessments, but learn that alot of people ought to stay on essay to try and add worth in the direction of the authentic weblog release.
rekening bersama

Credit cards are widely used by many people. They spend ever did have to pay the bill to avoid a bill collector at home. http://www.palmabrava.com/

Everyone also knows that they are delinquent credit card payments will run into problems. One of them is the violence that is willing to pay.
http://www.alaskabearviewing.com

thanks Just wanted to give a quick shout out and say that I genuinely enjoy reading your articles. You have given more than visitors expectancy. This post is very helpful, edifying and in addition cool thoughts on the topic http://ytlikes.com

dennis heenan superhero abs
This is an excellent post I seen thanks to share it. It is really what I wanted to see hope in future you will continue for sharing such a excellent post.

Pages

Priority Action

The overuse of antibiotics on factory farms is threatening the effectiveness of lifesaving antibiotics. Call on the Food and Drug Administration to put an end to the worst practices.

Support Us

Your donation supports U.S. PIRG’s work to stand up for consumers on the issues that matter, especially when powerful interests are blocking progress.

Consumer Alerts

Join our network and stay up to date on our campaigns, get important consumer updates and take action on critical issues.