Suryaa Business Desk: American Express cardholders across the country are facing issues after the company removed large amounts of reward points from their accounts. Cardholders report that these points were deducted overnight, leading to significant dissatisfaction.
The company stated that it is correcting a technical error that occurred in the past. Management explained that when certain cards were cancelled, the associated points remained in the accounts due to technical reasons, and the current action is intended to rectify that error.
Users typically manage points from multiple cards in a single joint account. Many cardholders believed that points earned would remain valid as long as at least one active card was maintained. However, the company has now removed points associated with cards that were closed one or two years ago. Some users reported that their point balances dropped significantly, with some accounts losing over one lakh points.
Cardholders are protesting the lack of prior notice, arguing that it is unfair to penalize customers for internal technical errors. Affected users are considering filing complaints with the Banking Ombudsman, the Reserve Bank of India, and consumer forums.
Financial experts suggest that this action may impact the company's credibility and trust in its loyalty programs. Affected customers are demanding that the company review the situation and restore the deducted reward points or provide an alternative solution.