The Bitcoin issue with JPMorgan Chase is mounting regarding the high-interest rates charged on cryptocurrencies. Credit card customers need cryptocurrencies but not at high interests.
Right from January, Brady Tucker had been charged a high-interest rate by JPMorgan. The bank had earlier changed its policy and charged high rates without informing its customers. More and more customers are coming up with the same charge on the bank.
Jamie Dimon earlier called the traders “stupid”, but now calls Bitcoin deals as “fraud”. Jamie Dimon is the Chief Executive Officer of JPMorgan. He now realizes that this a “real” issue. But charging a high-interest rate and an additional fee will not be accepted by customers and is an issue that Dimon has to explain.
Charging interest rates at 30% per annum along with extra fees will not be accepted easily by credit-card customers, especially as this information was not intimated to customers earlier.
Tucker, in his case against the Bank in USA, filed a complaint saying that he was “duped” while purchasing cryptocurrencies through Coinbase. He claims that he used his credit card for purchasing cryptocurrencies to get them instantly. Instant purchases were possible through credit card purchase but not through bank accounts, as it took more days to process.
He argues that he should have been notified of the change in the bank’s policies. Tucker feels that he would not have purchased cryptocurrencies at such high-interest rates if he had been informed earlier.
These dealings were stated as “cash advance” in their credit card statements, which has been falsely presented. The blame has been passed on to MasterCard and Visa for the Coinbase code that was misinterpreted in the statements.
Tucker asks for an explanation for being “duped”, which JPMorgan has to answer.
Tucker seeks a refund and fees for damages, in his suit in federal court, Manhattan.