Page 10 - qt edition #21 May 22, 2025
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PAGE 10                                                    THE QUEENS TIMES                                      THURSDAY, MAY 22, 2025

         AG James Sues Capital One For Bait-And-Switch  Council Member James F. Gennaro, State Sen.
                 Tactics That Cost Customers Millions                            Leroy Comrie & Assembly Member Sam Berger

        Capital One Created a  always fight to protect New       With compound interest,   Meet With DOT to Discuss Proposed
        Secret, Two-Tier System  Yorkers’ wallets and prevent  even a small difference in       E-Scooter Corral Locations
        of Savings Accounts to  banks from ripping off con-  rates adds up over time to
        Avoid Paying Higher In-  sumers to boost their own  create large differences in
        terest Rates to Existing  bottom lines.”         savings, meaning customers   (Continued from page 10)  fight for what’s best for our  ers and small businesses
        Customers                     A high-interest savings  who stayed in 360 Savings                  neighborhoods.”         are victimized by scooters
                                 account is a bank account  accounts lost out on signifi-  ministration remain firm       “As the Department of  parked throughout their
        AG  James  Takes  Action  that pays depositors a higher  cant interest payments. A  in their position that these  Transportation (DOT) pre-  properties.”
        After Federal Administra-  interest rate than a tradition-  customer who put $10,000  e-scooters are here to stay, I  pares to implement corrals       “The community didn’t
        tion Abandoned Similar  al savings account. Capital  in a 360 Savings account  am working diligently with  and roadbed infrastructure  ask for this program, and
        Lawsuit                  One marketed 360 Savings  in September 2019 would  my colleagues to mitigate  to address e-scooter loi-  removing over 50 park-
                                 as its “high interest” sav-  have earned $186 of interest  the impact they have on our  tering in our community,  ing spaces for something
               New  York  Attorney  ings account product with  after five years. If the same  community. We have also  we must prioritize acces-  only  used  a  third  of  the
        General Letitia James today  “a great everyday rate,”  customer had switched to a  provided DOT with a list  sibility for all residents,”  year is not the answer to
        sued Capital One N.A. and  promising customers: “Your  360 Performance Savings  of specific e-scooter corral  said NYS Senator Leroy  a disastrous rollout,” said
        Capital One Financial Cor-  money will earn much more  account, they would have  locations that we anticipate  Comrie. “I urge the DOT  Assembly Member Sam
        poration (Capital One) for  than what it would in an  earned $1,090 of interest  may be problematic and are  to engage meaningfully  Berger. “During our two-
        cheating its online savings  average savings or money  over the same period. Col-  urging them to reevaluate  with our community and  hour walk-through with
        account customers out of  market account…What’s the  lectively, New York custom-  some of these placements  listen to residents’ voices,  NYC DOT, not a single
        millions of dollars in inter-  catch? There is none.”   ers lost out on millions of  with community safety and  especially those in transit  e-scooter was seen in use. I
        est payments. The lawsuit       However, beginning in  dollars of interest compared  accessibility in mind,” said  deserts who are often over-  will not stand by while our
        alleges that Capital One  September 2019, Capital  to what they would have  Council Member James F.  looked in these discussions.  community is steamrolled.
        marketed its “360 Savings”  One introduced a new type  received with 360 Perfor-  Gennaro. “Let me be clear  Our community deserves a  I am committed to fighting
        accounts as “high interest”  of savings account called  mance Savings accounts,  - I do not want these e-  system and infrastructure  for a public process that
        accounts with “one of the  360 Performance Savings  while Capital One pocketed  scooters in our community.  that meets its needs and pri-  listens to and respects the
        nation’s best savings rates”  that paid much higher inter-  the difference.   And I will continue to make  orities. I am committed to  people who actually live
        that would earn its custom-  est rates. As interest rates       Attorney General James  our opposition heard and  ensuring that no homeown-  here.”
        ers more than an average  rose nationwide beginning  alleges Capital One’s ac-
        savings account. In reality,  in 2022, Capital One froze  tions violate state and fed-  Senators Gillibrand And Schumer, Rep. Torres
        while interest rates rose na-  its 360 Savings rate at 0.3  eral law by misleading cus-  Statement On United States Consumer Product
        tionwide, Capital One kept  percent and increased its  tomers about whether 360
        the interest rates for its 360  360 Performance Savings  Savings was Capital One’s   Safety Commission Vote To Withdraw E-Bike
        Savings accounts artificial-  rate to as high as 4.35 per-  only high-interest savings   Safety Proposed Rulemaking
        ly low. Instead, Capital One  cent, leaving 360 Savings  account, and about the in-
        created “360 Performance  customers with a below  terest rate for 360 Savings        United States Sena-  are dismayed at their deci-  in e-bikes, electric scooters,
        Savings,” a nearly identi-  average interest rate. Instead  accounts.  The  Consumer   tors Kirsten Gillibrand and  sion to withdraw the notice  and other micromobility
        cal type of savings account  of encouraging 360 Savings  Financial Protection Bureau   Charles Schumer, along  of proposed rulemaking.  devices, are often manufac-
        that provided much higher  customers to upgrade their  sued Capital One in January   with Congressman Ritchie  We need the CPSC as a  tured abroad without being
        interest rates than 360 Sav-  existing accounts, Capital  over similar allegations,   Torres, released the follow-  partner to help make criti-  subject to acceptable safety
        ings – at one point, more  One worked to keep them  but voluntarily dropped its   ing statement on the U.S.  cal progress in our fight to  standards. As a result, they
        than 14 times higher. Capital  in the dark about the avail-  lawsuit, along with a slew   Consumer Product Safety  crack down on unregulated  commonly cause explo-
        One intentionally misled  ability of the new product.  of  other  lawsuits,  after  a   Commission (CPSC) deci-  lithium-ion batteries, and  sions and fires that lead to
        its 360 Savings customers       As Attorney General  change in leadership. The   sion to withdraw the notice  we encourage them to re-  property damage and loss
        about the existence of its  James alleges in the lawsuit,  action brought by Attorney   of proposed  rulemaking  evaluate their dangerous  of life. In New York City
        360 Performance Savings  while Capital One promoted  General James seeks to en-  (NPRM) on lithium-ion  and faulty decision.”  alone, the New York City
        product to avoid paying  its 360 Performance Sav-  sure that Capital One does   batteries in micromobility       If enacted, the NPRM  Fire Department reports
        them millions of dollars in  ings accounts to existing  not escape accountability,   devices:     would start the process  that rechargeable lithium-
        interest. With this lawsuit,  customers, it did not notify  by seeking restitution and        “As New Yorkers, we  to finalize federal regula-  ion batteries have caused
        Attorney General James  its 360 Savings customers  damages for all affected   know firsthand how de-  tions for lithium-ion batter-  more than 1,000 fires since
        seeks to hold Capital One  of the chance to earn more  Capital One customers, dis-  structive faulty lithium-ion  ies. Additionally, Senator  2019, resulting in 523 inju-
        accountable and provide  interest. Capital One even  gorgement of profits Capital   batteries can be, causing  Gillibrand, Senator Schum-  ries, 34 deaths and damage
        restitution to consumers  instructed its employees not  One made by illegally mis-  hundreds of fires, includ-  er, and Congressman Torres  to over 650 structures. In
        who were cheated out of the  to tell 360 Savings custom-  leading its customers, and   ing fatalities, just last year.  authored the bipartisan Set-  2024, there were 279 e-
        interest they thought they  ers about the new product  penalties.        These unregulated products  ting Consumer Standards  bike and e-mobility device
        were earning.            unless they explicitly asked.       This matter is being   have  killed  and  injured  for Lithium-Ion Batteries  battery  fires  in  NYC,  a
               “New  York families       Capital One removed 360  handled by Assistant Attor-  innocent New Yorkers,  Act, legislation that would  dramatic increase from the
        work hard to save money for  Savings from its website and  ney General Jason E. Meade   while putting our public  establish the first federal  30 that occurred in 2019.
        their futures, and they de-  completely replaced it with  with the Consumer Frauds   safety officers, especially  safety standards for lithi-       Last month, Gillibrand,
        serve every dollar of inter-  360 Performance Savings,  and Protection Bureau. The   our firefighters, in harm’s  um-ion batteries used in e-  Schumer, and Torres called
        est they are promised,” said  concealing that 360 Savings  Consumer Frauds and Pro-  way. We were pleased with  bikes, e-scooters, and other  on the CPSC to vote in
        Attorney General James.  and 360 Performance Sav-  tection Bureau is led by   the U.S. Consumer Product  micromobility devices. The  favor of the NPRM on
        “Capital One assured high  ings existed as separate and  Bureau Chief Jane M. Azia   Safety Commission’s initial  House of Representatives  lithium-ion batteries as
        returns with no catches,  distinct products with dif-  and Deputy Bureau Chief   decision to begin the rule-  passed this critical legisla-  soon as possible in order to
        then pulled the rug out from  ferent interest rates. By do-  Laura J. Levine, and is a part   making process that would  tion on April 28, 2025.  protect the lives of Ameri-
        under their customers and  ing so, Capital One created  of the Division of Economic   make the lithium-ion bat-       Lithium-ion batteries,  cans who rely on e-bikes
        hoped nobody would notice.  a secret, two-tier system of  Justice, which is overseen   teries safer. However, we  which are commonly used  and e-scooters.
        Big banks are not allowed  savings accounts in which  by Chief Deputy Attorney
        to cheat their customers  only new accounts received  General Chris  D’Angelo   City Council Members Urge City Parks Foundation
        with false advertising and  the high interest rates that  and First Deputy Attorney
        misleading promises. I will  Capital One advertised.   General Jennifer Levy.  to Reinstate Cancelled SummerStage Concerts
          Cop of The Month Makes Routine Traffic Stop                              Call Out Randy Mastro and Eric Adams for Political Interference
                                                                                                      and Betrayal of Public Trust
                              Violation Infraction
                                                                                       Council Members Tiffa-  with a “security audit” and  vate and public funding to
                                                                                  ny Cabán and Dr. Nantasha  license revocation if the  present SummerStage, and
                                                                                  Williams sent a joint let-  Pride concert moved for-  prominently frames its pro-
                                                                                  ter to City Parks Foun-  ward. The threat of a license  gramming as a celebration
             Recently, 111th Precinct                                             dation leadership, urging  revocation implies the po-  of New York’s diversity.
        Police Officer Simeon Pil-                                                the reinstatement of two  tential cancellation of all  These concerts are not only
        grim made a traffic stop.                                                 recently canceled Sum-  future events sponsored by  artistic events but cultural
        He ran the driver’s license                                               merStage benefit concerts:   the City Parks Foundation.   moments that celebrate
        and found it was suspended.                                               “Pride with Kehlani” and       The silent cancellation  identity, resistance, and joy
             While in the process of                                              “Juneteenth with Noname /  of  Noname’s Juneteenth  in public space.
        arresting the suspect an il-                                              Ravyn Lenae / Fana Hues.”  concert days later by Live       But canceling these
                                                                                       The letter strongly con-
                                                                                                          Nation, the Council Mem-
                                                                                                                                  performances, both led by
        legal loaded 45 caliber gun                                               demns pressure from Mayor  bers say, contributes to a  artists who have spoken
        was found. Officer Pilgrim                                                Eric Adams as a “gross  troubling pattern of erosion  publicly about the humani-
        was awarded the Cop Of                                                    abuse of mayoral power”  of public trust and artistic  tarian crisis in Gaza, sug-
        The Month for his dedica-                                                 after reports that First Dep-  freedom.         gests that the Foundation
        tion to duty and to the well-                                             uty Mayor Randy Mastro       The City Parks Foun-
        being of the community.                                                   threatened the Foundation  dation receives  both pri-  (Continued on page 11)
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