By Pin-Yu Liao
JP Morgan Chase& Company agreed to put an end to charge a monthly credit fee of $10 and return the fee to those who already paid it after January. The fee was levied in January. The 4.4 million will be contributed to the refund and the related finance charges, and more than 184,000 cardholders will receive in this refund. Chase Bank stated that it will reimburse 3.3 million dollars. However, Chase bank credit cardholders are required to pay a minimum of 5% of their monthly balances, as opposed to the previous 2%.
The New York attorney general, Andrew M. Cuomo, said that the bank offered promotional rate for balance transfers and other loans put onto the Chase credit card account. It would charge one-time transaction fee. However, in November 2008 Chase informed more than 300,000 cardholders that it would charge a flat fee of $10 per month. Mr. Cuomo, who observed the cardholders’ complaints, asked Chase bank to refund them and the Bank agreed. The Bank said that it canceled the service charge because of its cardholders’ feedback. This new policy aims at those people who have large balance for more than 2 years and are unlikely to pay it all off.
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