-
"One of the nation's premier plaintiffs' firms."
American Lawyer
-
"Representing the best qualities of the plaintiffs' bar."
The National Law Journal
-
"Their effective and caring advocacy for clients has earned Lieff Cabraser its first-class reputation."
The Daily Journal
Please click here to contact a Consumer Protection attorney at Lieff Cabraser, or call toll-free to 1 800.541.7358. There is no charge or obligation for our review of your case.
Case Center
Payment Protection Credit Card Litigation
- Issue: Fraud and false advertising
Introduction
Payment protection, also sometimes referred to as "payment protector" or "payment aid," is a financial product offered to account holders by credit card companies and banks, including Bank of America, Citibank, Discover, GE Money Bank, HSBC, and Wells Fargo Bank.
Under payment protection plans, credit card companies offer to defer account holders' required minimum monthly payments due upon the occurrence of specified events, such as the account holder's loss of a job. In exchange, the account holders pay a monthly fee to the credit card company based on their credit card balance.
Payment Protection Lawsuits
Lieff Cabraser represents consumers in a series of federal court cases against some of the nation's largest credit card issuers, challenging the imposition of charges for so-called "payment protection" or "credit protection" programs. Plaintiffs allege that the credit card companies make promises that under these "payment protection programs," payment of credit card debt will be suspended or canceled if borrowers experience major life events such as unemployment or disability. However, plaintiffs allege that they never agreed to sign up or pay for these programs, and those customers who do attempt to avail themselves of the programs' supposed protections discover that they have been misled about the programs' benefits and exclusions.
Case Status
On September 14, 2011, the Judicial Panel on Multidistrict Litigation determined that the pending payment protection cases against Bank of America arise from common factual questions regarding the marketing, enrollment, sale, operation and/or administration of Bank of America's credit protection plan, and transferred the actions to the U.S. District Court for the Northern District of California.
On November 9, 2011, the court preliminarily approved a settlement with Discover Bank and DFS Services LLC for $10.5 million. Class counsel estimate that settlement payments for each class member who submits a claim will range between $10 and $60.
Contact Lieff Cabraser
Credit cardholders with complaints are welcome to contact a Lieff Cabraser consumer protection attorney to submit your complaint. There is no charge or obligation for our review of your claim.