More bad news for Russell Simmons as a result of lingering issues with his prepaid RushCard.
Simmons, Rush Communications, UniRush, and Meta Financial Group Inc. have all been hit with a class action lawsuit by a group of disgruntled RushCard holders who had prolonged problems accessing their funds after what is being described as “a technical glitch” rendered them unable to use their cards.
The problem began on Oct.11 when parent company, UniRush, initiated a failed transfer of data from one “technology partner” to another. The high-tech hiccup caused a massive disturbance in their systems, and for almost two weeks, cardholders were unable to access their funds with many flooding social media to relay tales of not being able to buy food or pay bills.
According to RushCard officials, access to funds has been restored for most customers and it’s diligently working with cardholders on a case-by-case basis to resolve any lingering issues.
The lawsuit accuses the named parties of breach of contract and fraud and seeks unspecified damages and restitution.
It was announced via RushCard’s Twitter account that the company would wave all fees for new and current users between Nov. 1 and Feb. 29, 2016, as an incentive for cardholders to maintain their accounts with the company.
