DSNB Macy’s/Bloomindale’s Credit Card Settlement

A settlement has been reached in a class action lawsuit concerning Macy’s and Bloomingdale’s credit cards issued by Department Stores National Bank (DSNB). If you own a Macy’s or Bloomingdale’s credit card and received a billing statement from DSNB between February 15, 2007 and May 11, 2010, you may be eligible to receive $16.00 from the class action lawsuit settlement.

The DSNB class action lawsuit alleges the credit company violated the Truth in Lending Act (TILA) by providing periodic billing statements for Macy’s and Bloomingdale’s credit cards that:

– did not disclose the corresponding annual percentage rate (APR);

– did not disclose the components of the finance charge;

– did not disclose accurate daily periodic rates;

– did not disclose accurate corresponding APRs;

– did not disclose accurate actual APRs;

– did not disclose the actual APR as an “annual percentage rate”; and

– included “promotional material” on the front side of the statement.

The DSNB settlement covers two classes of Macy’s and Bloomingdale’s credit card holders:

Class I: Includes all holders of a Macy’s or Bloomingdale’s card issued by DSNB who, between February 15, 2007 and May 11, 2010: (1) received one or more online periodic statements on a proprietary Macy’s or Bloomingdale’s account that included a minimum finance charge assessed during the billing period; (2) received one or more online or mailed periodic statements on a Macy’s Visa or Bloomingdales’ Visa account that included a minimum finance charge assessed during the billing period; (3) received one or more mailed periodic statements on a proprietary Macy’s or Bloomingdale’s account that included a finance charge assessed during the billing period other than a minimum finance charge; (4) received one or more online or mailed periodic statements that included advertising or promotional material on the first page of the statement or interspersed with disclosures required by TILA or Regulation Z; or (5) received a disclosure statement required by TILA or Regulation Z that used the code or symbol “APR” without providing a legend or description of the code or symbol used.

Class II: Includes all holders of a Macy’s Visa or Bloomingdale’s Visa account with DSNB who, between September 26, 2007 and May 11, 2010, paid a $1 minimum finance charge on their account and total finance charges assessed during the same billing period on that same account exceeded $1.

DSNB has agreed to pay $1,050,000 to settle the TILA class action lawsuit. Class II members are eligible for a settlement payment of approximately $16. Class I members will not receive a settlement payment; money from the settlement will instead go toward revising DSNB’s disclosures, sending notices to class members, attorneys’ fees, costs and incentive payments.

If you’re a Class II member and wish to claim your $16, you do not have to do anything to receive your portion of the class action settlement. You are automatically considered a class member unless you submit a request for exclusion by November 12, 2010. A final approval hearing will be held December 16, 2010. Class members can expect their settlement checks to arrive by mail approximately six months after the settlement is given final approval.

For more information on the DSNB Macy’s/Bloomingdale’s Credit Card Class Action Lawsuit Settlement, visit www.CaseNo08CIV1596.com.