Gibbs Law Group is currently investigating reports that American Express targeted small and midsize businesses with offers of low currency conversion rates and then charged them higher rates without notification.

Were you affected by the Amex small business client currency conversion fraud?

If you believe that your business was promised a low currency conversion rate and then charged a higher rate, you may have a legal claim. Speak to a financial fraud attorney about your rights.

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Amex Small Business Customers Incur Higher Currency Conversion Rates than Promised

On July 30, 2018, the Wall Street Journal and other news publications published reports that for more than a decade, American Express recruited small business clients with promises of low currency-conversion rates for sending money abroad and for converting currency. According to these reports, American Express did not inform clients that it may add a mark-up to the base currency exchange rate without notice, and those margins often increased the rate between .05 to 3 percentage points during the years Amex employed the practice.

The Wall Street Journal also reported that the company purposely targeted smaller businesses because they were less likely to have employees tracking forex transactions closely and were unlikely to spot the discrepancy.

The articles state that the practice was enforced and encourage during company training programs. According to the Wall Street Journal,

“One former employee said he was told during training to sign up as many accounts as he could in his early days and to go back later and adjust the rates upward to hit revenue targets.”

Girard Gibbs Financial Fraud Experience

Girard Gibbs’ financial fraud and securities lawyers have more than two decades of experience prosecuting fraud. Our attorneys have successfully litigated against some of the largest companies in the United States, and we have recovered more than a billion dollars on our clients’ behalf.

We have fought some of the most complex cases brought under federal and state laws nationwide, and our attorneys have been recognized with numerous awards and honors for their accomplishments, including Top 100 Super Lawyers in Northern California, Top Plaintiff Lawyers in California, The Best Lawyers in America, and rated AV Preeminent (among the highest class of attorneys for professional ethics and legal skills).

Noteworthy Financial Fraud Cases

American Express Financial Advisors Securities Litigation $100 million cash settlement for clients alleging American Express steered them into under-performing “shelf space funds” to reap kickbacks
Chase Bank “Check Loan” Litigation $100 million settlement for consumers alleging Chase offered long-term fixed-rate loans, only to later more-than-double required payments
Peregrine Financial Group Customer Litigation Settlements worth $75 million for futures and commodities investors who lost millions in the collapse of Peregrine Financial Group, Inc.
NantHealth Court-appointed Co-Lead Counsel in a securities class action alleging the company’s founder violated federal securities law and artificially inflated stock prices

Our Team

Eric Gibbs

Eric has served in leadership positions in a number of high profile, complex financial lawsuits. He has been recognized as a Daily Journal, among the Top 100 Super Lawyers in Northern California, and a Law360 MVP for Consumer Protection.

David Stein

David’s advocacy has generated major recoveries for consumers impacted by financial fraud. He was named to the Top 40 Under 40 by Daily Journal and a “Rising Star in Class Actions” by Law360.

Michael Schrag

Michael has over 20 years of experience representing individuals in complex cases involving banking credit card and other financial frauds.