American Express to Refund $85 Million, Pay $27 Million in Fines for Card Practices

Credit card giant American Express and three of its subsidiaries will refund $85 million to customers and pay $27.5 million in civil penalties as a result of a joint investigation into several facets of the firms’ business operations that allegedly violated consumer protection laws, federal officials said Oct. 1.

U.S. banking regulators and the Utah Department of Financial Institutions said units of the American Express Company engaged in deceptive marketing practices, discriminated against card applicants based on age, charged illegal late fees, misled consumers about debt collection, and failed to report consumer disputes to credit bureaus.

American Express and its ...