Taking On American Express
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Posted: 6:50 PM Oct 31, 2008
Taking On American Express
Restaurant owner fights back after credit limit cut
Most credit card companies offer services aimed at helping small businesses, though the terms usually tilt in the credit card company's favor. A local businessman was shocked when his credit limit was cut without any notice.
Reporter: Roger Hamer
Email Address: sixonline@wowt.com
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Most credit card companies offer services aimed at helping small businesses, though the terms usually tilt in the credit card company's favor. A local businessman was shocked when his credit limit was cut without any notice.

Ron Olson believes in customer service. His restaurant ‘Round The Bend Steakhouse at 310th Street and Highway 66 in Cass County relies on customer satisfaction. If his customers aren't satisfied, he's out of business. Olson just wishes he'd get the same consideration.

"We do a lot of credit card business. It's about 50-50 with cash and credit cards. If you don't take credit cards, you're not going to get all the business you should have."

He used to use an American Express business credit card for purchases for his steakhouse. "We went to put a purchase on it and low and behold it didn't go through. I’m like, what's the deal? Because we had a pretty good limit on it and it wasn't nearly extended."

So Olson called the company. He was told a credit monitoring service gave him a low rating. "And due to their report on you, we decided to lower your credit limit. And I said, oh, really. I happen to know my credit card raiting just went up."

Olson said he’s never missed a payment and usually pays the balance in full. His credit limit was cut in half without notification.

"So I told her, I said you folks can run your business any way you like. Far be it from me to tell you how to do it. But by the same token, I can run mine any way I want to."

He's no longer accepting American Express from his customers. Olson said his one-man protest has not affected his customers. He knows American Express won't go broke from his actions. He’s just fighting back the only way he can and has a word of advice for his customers.

"If you're coming to 'Round The Bend, leave your American Express card at home."

Channel Six News tried to contact American Express to find out why they reduce credit card limits without notification. A phone message told us they were “experiencing technical difficulties."


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