‘Predatory’ debit cards irk Kardashian sisters
NEW YORK – The Kardashian sisters are seeking to cut ties with a venture that sold prepaid debit cards under their name after coming under attack for the card’s high fees.
The card, which launched three weeks ago, was aimed at young adults, the same group that watches the sisters’ hit cable TV show “Keeping Up With the Kardashians.”
An attorney for the sisters sent a letter Monday to parties affiliated with the card asking them to immediately stop using the names and images of the three sisters.
The notice came after Connecticut Attorney General Richard Blumenthal called the card’s fees “predatory.”
The Kardashians – Kim, Khloe and Kourtney – launched the card on Nov. 10.
Just to buy the card and use it costs $59.95 for six months, or $99.95 for 12 months. That does not include any money on the card. The person buying the card must add money onto it.
After those six or 12 months are up, it costs $7.95 a month to keep using the card. Users have to pay $1.50 to withdraw cash from an ATM, and $1 to check their balance. Talking to a customer representative on the phone costs $1.50 for each call, and canceling the card costs $6.
Kraft seeks arbitration over Starbucks deal
SAN FRANCISCO – Kraft Foods said Monday that it has launched an arbitration proceeding against Starbucks Corp., which earlier this month said it wants to end its supermarket distribution deal with Kraft.
Kraft seeks the fair-market value of the business it has helped develop with Starbucks over the past 12 years, plus up to a 35 percent premium.
The business has grown to $500 million in annual sales from $50 million in 1998. For now, Kraft continues to distribute Starbucks bagged coffee, as well as the company’s Seattle’s Best coffee brand, to food retailers.
Agency investigates CR-V, Optima
WASHINGTON – The government has opened preliminary investigations into electrical issues in the 2006 Honda CR-V and potential shifting problems in the 2007 Kia Optima.
The National Highway Traffic Safety Administration says the Honda CR-V probe covers about 150,000 vehicles. Three owners complained of fires in the driver’s door coming from the driver’s power window switch.
The Kia investigation covers 41,000 vehicles. Three consumers complained that a shift cable in the automatic transmission could detach from the shifter, preventing the transmission gear shifter from working properly. One consumer complained that the car rolled away after it was parked.