2

Recently Chase was making a change to its user agreement and was automatically assuming your consent to abide by binding arbitration unless you opted out explicitly by sending them a snail mail with a self written/typed, freestyle letter.

I now see some user agreement changes from other credit card providers/banks and it looks like they already have a binding arbitration clause. If I understand this correctly, this prevents me from filing lawsuits against those companies.

Is there a way to specifically reach out to these card providers and opt-out of the binding arbitration? I realize this may have more to do with legal than money but it is pertinent in both areas.

1
  • The answer to this question is basically "what does your card agreement say?" - I'm not sure we can tell you if a particular bank will allow this, or how to make it happen, without looking at their card agreements, which you can do yourself. Have you been able to do any research to find this answer yourself? Or is there a specific reason why you want help?
    – dwizum
    Sep 24, 2019 at 13:09

1 Answer 1

2

Is there a way to specifically reach out to these card providers and opt-out of the binding arbitration?

If you already have a card from them, you are bound by the current agreement. They have zero reason to make a change. If that means that you want to cancel the card they will not do anything to keep you as a customer. Even if you spend 10's of thousands of dollars on a card each year, they have more than enough customers to survive.

If you are thinking of getting a card from them, and you see the binding arbitration mentioned in the agreement, you can expect that they will not accept a modified agreement. If you don't agree to their terms they will not give you a card.

When they send you an updated agreement they always include a date when you are automatically assumed to accept the changes, if you charge any amount after that date you are bound to the agreement. Your option if there are provisions you don't like is to drop the card.

Each credit card network has millions of customers, they have no reason to have different dispute resolution terms on their different products. They have no capacity or desire to allow customers or potential customers to modify agreements.

1
  • 1
    "if you charge any amount after that date you are bound to the agreement" Only if you didn't send in the opt-out. Chase wouldn't have been allowing an opt-out unless it were legally mandated, so I expect that the same opt-out is available for any other bank adding arbitration agreements. (And I've also seen received arbitration change-in-terms from a credit union with the same option to opt-out, so I think it's credit unions as well as banks)
    – Ben Voigt
    Sep 24, 2019 at 15:03

You must log in to answer this question.

Not the answer you're looking for? Browse other questions tagged .