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An Illinois class action lawsuit accuses Visa, Services Credit Union and Olin Community Credit Union of gypping consumers who buy Visa Gift Cards out of their full amount by deducting undisclosed monthly “Administrative Fees.”
Lead plaintiff Karen Rhodes claims in the Visa Gift Card class action lawsuit that she purchased a $50 Visa Gift Card with a “Valid Thru” date of “12/28” imprinted onto the face of the gift card. Unbeknownst to her, the class action claims, the actual value of the Visa Gift Card was only $35 at the time she purchased it because the defendants had imposed Administrative Fees of $2.50 per month before she even purchased it. These Administrative Fees continued to be deducted from the gift card each month without her knowledge until she used it for the first time in late November, early December 2008, before the “Valid Thru” date expired, and realized the gift card only had $2 left on it.
The Visa Gift Card class action lawsuit accuses the defendants of deducting undisclosed Administrative Fees from the gift card’s stated value prior to the Valid Thru date, sometimes until the card’s stated valued is completely depleted.
The class action is brought on behalf anyone who has a Visa Gift Cards issued by Services Credit Union or Olin Community Credit Union that lost any of the original purchase value prior to the expiration of the “Valid Thru” date because Administrative Fees were deducted. It also includes a subclass of individuals with pre-activated Visa Gift Cards whose values have diminished less than what they bought them for due to the pre-sale application of Administrative Fees.
If certified, the Visa Gift Card class action will seek to fully compensate class members for their damages arising out of the defendants’ conduct, restitution and interest, attorneys’ fees, and other relief.
A copy of the Visa Gift Card Administrative Fees Class Action Lawsuit can be read here.
Updated November 23rd, 2010
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5 thoughts onVisa Gift Card Class Action Lawsuit
Walmart sells Vanilla gift cards aka Incomm visa gift cards. It’s a fraud do not buy it!
Add me please. I purchased 200 gift card, card declined when I tried to pay a bill. Checked online for the balance and someone used it at Nordstrom for the full 200. Called customer service to report it and they tell me it’s pending and I have to wait for it to clear for them to process the dispute. I call back to check two days later the card now says invalid on the automated line. I get a representative and they tell me now they are waiting on an 18 dollar pending charge to process it. Well it was onlying 200 so how is it waiting on 18 dollars to clear now. Point is I never got to use it. Purchased at Walgreens and they cannot refund you have to go through Vanilla Gift and on hold with customer service for hours. No one trying to send a refund even after escalated.
Omg add me
I bought 6 gift cards and after finding out I was scammed I called the gift card to make sure they were not activated they assured me they are not activated and will issue a refund. I waited and contacted them again, next thing I know they did get activated and the scammers had used them all and I was stuck with dealing with the dispute process.
is there a class action lawsuit for the same reason against master card gift cards as well. I had the same thing happen to me. it is 2014