Page 10 - qt edition #21 May 22, 2025

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)