Other Credit Card Programs - U.S. Currency Conversion Fee Litigation Settlement Approved by Federal Court

Today the court issued a memorandum and order granting final approval to the settlement in the U.S. currency conversion fee litigation (concerning Visa, MasterCard, and Diners Club cardholders who made overseas purchases during the class period and filed a claim in the settlement). The document may be accessed at the link below:

http://www.ccfsettlement.com/documents/


Pages 14 and 15 discuss the numbers and types of claims filed and approved. In a nutshell, the awards are being reduced pro-rata because amounts sought exceeded funds available.

The good news is, with the courts approval of the settlement, the process of distributing payment will start moving forward. ^

Wow, this has taken a long time. I had forgotten about this altogether. I can expect something coming my way finally.

^^

It's about time. I'll be waiting for my 17 cent check, or whatever crazy number it winds up being.

^^

It's about time. I'll be waiting for my 17 cent check, or whatever crazy number it winds up being.

Do you really expect such a large settlement, generally the legal costs eat up these settlements--I'll be happy to receive my 5 cents.:rolleyes:

Nice to see that the court knocked 40% off of the attorney fees being paid out of the settlement. ^ (15% of the settlement instead of 25%)

Nice to see that the court knocked 40% off of the attorney fees being paid out of the settlement. ^ (15% of the settlement instead of 25%)

It's also nice to see that the court denied the crazy claim which Priceline filed where they claimed they had a unique "credit card, but not a credit card, revolving credit facility."

Hmmm, I remember almost 2 years ago, Citi has settled something that resulted to 1.16 refund to one of my card which is a dormant card. After 3 months no activity with the credit on the card, I got a check of $1.16.

Wonder whether we would get at least a buck this go round? :D

I am cautiously optimistic that I'll get a check large enough to be worth cashing.:)

While millions filed options 1 and 2 claims, I was one of the relatively few (316,177!!) who filed an Option 3 claim, meaning I had actually kept my records and could show several hundred dollars' worth of fees. (See page 14 of the final order.)

Maybe we'll see something in time for Xmas 2011?

I didn't read the entire memorandum, but if the court accepted the consultant's recommendations for pay-outs, I don't think most people who selected Option 2 will be pleased. They will, in all likelihood, get the $15-$17 that people who selected Option 1 will get.

The consultant's report made some outrageously low assumptions regarding daily credit card spend by leisure travelers ($20 per day). The bottom line is that the refund application was misleading in that it implied that a person should file for Option 2 if you had spent more than a week outside of the country during the period in question. In reality, at a 1% pay-back, one would have needed to spend 125 days outside of the country in order to break-even with those who chose Option 1.

I am cautiously optimistic that I'll get a check large enough to be worth cashing.:)

While millions filed options 1 and 2 claims, I was one of the relatively few (316,177!!) who filed an Option 3 claim, meaning I had actually kept my records and could show several hundred dollars' worth of fees. (See page 14 of the final order.)

Maybe we'll see something in time for Xmas 2011?

Several thousand dollars here. But don't get your hopes up too high--all recoveries are being reduced, many appeals probably lie ahead, and the dollar may not be worth much by the time we finally get our checks.

I am cautiously optimistic that I'll get a check large enough to be worth cashing.:)

While millions filed options 1 and 2 claims, I was one of the relatively few (316,177!!) who filed an Option 3 claim, meaning I had actually kept my records and could show several hundred dollars' worth of fees. (See page 14 of the final order.)

It looks not too bad (since I at least was thinking of -0- until the lawsuit); the option 3 claims average refund is $268.25.

What is confusing is the language that first says: "The Court has entered a Memorandum and Order, dated October 22, 2009, granting final approval of the settlement."

and then: "The issuance of refund checks for valid, timely claims will not commence until after the entry of a final judgment concerning the final approval of the settlement, any potential appeals are resolved, and the Settlement Administrator has validated the claims."

You'd think they say if this was the final judgement or the final final judgement. Insert lawyer joke here.

It looks not too bad (since I at least was thinking of -0- until the lawsuit); the option 3 claims average refund is $268.25.
I believe that's BEFORE the pro-ration.

"The issuance of refund checks for valid, timely claims will not commence until after the entry of a final judgment concerning the final approval of the settlement, any potential appeals are resolved, and the Settlement Administrator has validated the claims."
There are THREE conditions--1) final judgment--CHECK; 2) potential appeals--NOT YET; 3) validated claims--should be quickly resolved

I believe that's BEFORE the pro-ration.

Nope, page 14: blah blah "estimates that after pro-ration Option 1 . . . $15-$17, and the average Option 2 claim will be $35.59. As for Option 3 claimants, after pro-ration, the average refund will be approximately $268.25."

Now to get the appeals cleared out . . . .