A potential class action lawsuit has been filed against Capital One Bank over the its decision to raise interest rates on existing credit card holders, after the market collapse in October 2008.
Capital One, according to the suit and contrary to its national advertising campaign promoting its low interest rates, has allegedly doubled, tripled or even quadrupled the annual interest rates and applied those rates retroactively on existing balances on accounts that are in good standing.
The lead plaintiffs in the suit, Navy Lt. Commander Kevin S. Barker, Florida resident Eric W. Baxter, Massachusetts resident Michael A. Gaffney and Kansas resident Rebekah L. Kautz -- are seeking restitution and damages on behalf of themselves and potential class members.
