LOS ANGELES, Calif. (5/13/13)--California's Attorney General is cracking down on some of JPMorgan Chase & Co.'s questionable credit card practices.
In an enforcement action filed against the bank in Los Angeles Superior Court late last week, California Attorney General Kamala D. Harris alleged that JPMorgan Chase "engaged in fraudulent and unlawful debt-collection practices against tens of thousands of Californians."
Those practices included:
"In addition, when asking courts to enter default judgments against consumers, Chase consistently swore under penalty of perjury that the consumers were not on active military duty. In fact, Chase never checked. This deprived servicemembers of important legal protections to which they are entitled while on active duty," the attorney general alleged in a release.
"At nearly every stage of the collection process, Defendants cut corners in the name of speed, cost savings, and their own convenience, providing only the thinnest veneer of legitimacy to their lawsuits," the complaint added.
These practices impacted approximately 100,000 California credit customers over a three-year period, the attorney general said.
"This enforcement action seeks to hold Chase accountable for systematically using illegal tactics to flood California's courts with specious lawsuits against consumers. My office will demand a permanent halt to these practices and redress for borrowers who have been harmed," Harris added.
For the full release, use the resource link.