Dutch regulator fines International Card Services €2.4m
Some ICS clients were given credit limits that were too high, for which they paid interest and, in some cases, fees.
The Netherlands Authority for the Financial Markets (AFM) is fining International Card Services (ICS), a wholly-owned subsidiary of ABN Amro, for excessive credit limits.
In March 2017, ICS says it took the initiative itself and prepared a compensation plan for the clients concerned. ICS will pay the €2.4 million fine imposed by the AFM. Which is nice of them.
The fine relates to shortcomings in ICS’s lending practices from June 2012 to March 2015. Some ICS clients were given credit limits that were too high, for which they paid interest and, in some cases, fees.
ICS states it has given its “full co-operation in the AFM’s investigation into this matter and has remedied the shortcomings in its service”.
The firm has started implementing a compensation plan for the clients concerned, and the plan is “proceeding as expected”.
ICS has its own board of directors and a separate banking licence. It has a portfolio of more than three million credit cards, and has been responsible for issuing and operating Visa and Mastercard credit cards in the Netherlands for more than 25 years.
