Attorneys working with ClassAction.org would like to speak with anyone who was charged fees in connection with their Shell, Target or Nordstrom debit card. They are looking into claims that these cards were misleadingly advertised as “debit cards” – even though purchases can take days to process, resulting in both returned payment fees from the store and insufficient fund fees from the cardholder’s bank.
A number of consumers have posted online about problems they experienced with certain retail debit cards [sic throughout]:
“Anybody else have issues with the target debit card? I used it for the first time Dec. 19th and have yet to have anything come through to my bank!!! I called them and they sent me to some outsourced call center in India…today is the 3rd of January and I still have yet to see anything come up in my account. I called my bank today and they said there is no way that that would have anything to do with them. Meggie256, community.babycenter.com
“I have the Nortdstrom Debit Card it takes up to 5 business days. Make sure its not business days...that could make it go longer before it shows.” ryi913, community.babycenter.com
“Last month, I made a very substantial purchase in order to get the 5% discount. I was under the impression that the Debit card worked like a debit card because it says it's a DEBIT card… Well, surprise surprise surprise, that Target transaction was NOT a debit card transaction. The funds were not immediately taken out or even put on hold. It wasn't even taken out as a check or credit card transaction. It was done as an electronic wireless transfer. This is a whole new type of transaction for us and because of the delay with such a huge purchase and the subsequent actual debit card transactions, this created an NSF fee.” Jamie, blog.credit.com
“This card has cost me more money than I ever saved. When you transfer money to the card it can take up to a week! Since the money wasn't deducted from my account right away, when it finally was deducted my it overdrew my bank account and I was hit with an overdraft fee for that AND two other transactions since I had no idea my account was in the red.” Kelsey, creditforums.com
Target has already been hit with a class action lawsuit alleging its store-branded debit REDcard “functions nothing like every other debit card on the market” and allows the retailer to engage in a “deceptive, unfair and unconscionable practice” of charging returned payment fees (RPFs) that range from $20 to $40.
The lawsuit claims that consumers expected the debit card to function, well, exactly like a debit card. With an ordinary debit card, a purchase transaction results in either:
These aspects, the suit claims, are inherent to typical debit cards. The lawsuit also points out that most true debit cards come with overdraft protection if the cardholder attempts to make a purchase that his or her account cannot cover.
Instead, the suit alleges, Target delays deducting purchase transactions from consumers’ checking accounts. This, for some people, means the account will no longer have enough money when the store finally “gets around to processing the transaction,” the suit claims.
Some consumers may then be hit with two separate fees – one from Target and one from their bank. According to the lawsuit, Target will charge the shopper a returned payment fee ranging between $20 and $40. At the same time, the consumer’s bank may also then charge an overdraft or non-sufficient fund fee “each time that Target attempts and re-attempts to debit the same amount from an account.”
This, according to the lawsuit, means that a shopper can pay nearly $100 in fees for one simple overdraft.
If you had issues with your Nordstrom, Shell or Target debit card, you may be able to fight back. Contact us using the form on this page and tell us what happened to you. Once you get in touch, one of the attorneys looking into these possible class action lawsuits may e-mail or call you directly. He or she can explain why they think Shell, Nordstrom and Target can be sued – and why you may be owed money for returned payment, overdraft and/or insufficient fund fees.
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ClassAction.org is a group of online professionals (designers, programmers and writers) with years of experience in the legal industry. We work closely with class action and mass tort attorneys across the country and help with investigations into corporate wrongdoing.