Capital One Bank entices its customers to transfer debt from another credit card lender with the promise of 0% balance transfer, telling its customers they will enjoy no interest for six to twelve months on the debt they move over. However, according to a class action complaint filed this week, Capital One’s offer comes with hidden and costly, consequences. It is alleged that customers authorizing a debt transfer lose their 25-day grace period on new balances resulting from purchases made with their Capital One cards.
This can result in high interest rates being immediately applied to outstanding balances causing Capital One customers to incur more in excess interest rate payments on new balances than they save from the 0% balance transfer. If you or someone you know has participated in Capital One’s 0% balance transfer, please contact us to discuss your legal rights.