Consumers Blocked from Accessing Funds on Prepaid Visa Debit Cards Sold by InComm Payments, Class Action Says

New to ClassAction.org? Read our Newswire Disclaimer

A proposed class action claims consumers who purchase prepaid Visa debit cards sold by InComm Payments are often blocked from accessing some or all of the funds loaded onto the cards.

Want to stay in the loop on class actions that matter to you? Sign up for ClassAction.org’s free weekly newsletter here.

The 26-page lawsuit was filed by a California consumer who says he purchased four of the defendant’s SecureSpend prepaid Visa gift cards while shopping at a Lucky Supermarket in December 2021. However, even after the man paid the $5.95 fee to activate each gift card, the plaintiff found that the two $200 and two $100 cards consistently declined at the point of sale, the complaint alleges.

The suit contends that the preloaded funds on the plaintiff’s SecureSpend cards were partially or completely depleted before he tried to use the cards, or the amount was never loaded onto the cards in the first place.

According to the case, InComm has a “history” of denying consumers access to funds loaded onto their gift cards, which can be purchased with preloaded funds of a specified amount or as reloadable varieties onto which a consumer can continuously load cash, such as the Vanilla Visa prepaid card.

The filing says that within the past three years, consumers have submitted 1,367 complaints to the Better Business Bureau about InComm cards, many of which the defendant has responded to.

“Despite being aware of consumer complaints regarding its Gift Cards, InComm continues to engage in unfair, unlawful, and fraudulent practices by marketing Gift Cards with specific Face Value amounts, even though that is not the case,” the case states.

What’s more, the plaintiff says that when he attempted to contact InComm customer service about the problem he had experienced with his gift cards, the man was often placed on hold for more than an hour.

During one phone call, the man was connected with a live customer service representative from a call center in the Philippines who said he would receive a replacement gift card in the mail, the complaint says. The man claims he never received a replacement card and has been repeatedly disconnected from phone calls with InComm after he selects the option to speak to a live customer service representative.

The complaint also names as a defendant Pathward, a South Dakota-based bank that allegedly issues InComm’s gift cards.

The lawsuit looks to represent anyone within the United States who purchased or is the current owner of one or more InComm Prepaid Debit Card(s) and was blocked from use of any portion of the funds on their InComm Visa® Prepaid Debit Card(s). 

Get class action lawsuit news sent to your inbox – sign up for ClassAction.org’s free weekly newsletter here.