Kardashian Kard too ‘kostly,’ regulator says

* Connecticut AG questions Kardashian prepaid debit card

* Blumenthal calls fees reaching $100/year “outrageous”

By Jonathan Stempel

NEW YORK, Nov 26 (BestGrowthStock) – Keeping up with the
Kardashians can be costly for young adults enticed by a debit
card tied to the popular reality TV series, Connecticut’s
attorney general said.

Richard Blumenthal, the attorney general and senator-elect,
issued a “Black Friday” warning to parents about the
“Kardashian Kard” and other prepaid debit cards that he said
burden cardholders with “outrageous” fees.

In a letter to University National Bank, which issues the
Kardashian Prepaid MasterCard, Blumenthal complained about card
fees of $59.95 for six months or $99.95 for 12 months, plus
$7.95 a month thereafter, as well as fees for ATM withdrawals,
cancellations and talking with a live phone operator.

Blumenthal said the card may violate a state gift card law
designed to eliminate “pernicious and predatory fees,” even as
it evokes the name and image of a family known for “lives of
luxury and extravagance.” The card features an image of the
sisters Kim, Kourtney and Khloe Kardashian.

“I am deeply disturbed by this card’s high fees combined
with its appeal to financially unsophisticated young adults,”
Blumenthal wrote to Jim Conrad, president of St. Paul,
Minnesota-based University National Bank. “In reality, no
family can ‘keep up with the Kardashians’ using this card.”

University did not immediately return requests for comment.
MasterCard Inc (MA.N: ), based in Purchase, New York, also did
not immediately return a request for comment.

The Kardashian Kard website calls the card “a fast and
convenient way to manage money.”

It includes a fee table, and says the $7.95 monthly fee is
“much lower than those charged for most low balance checking
account and check cashing services” and “a small price to pay
for a card that offers so many features and benefits.”

Blumenthal asked University to provide details about the
card’s users, fees and marketing, as well as a copy of the
cardholder agreement, within seven business days.
(Reporting by Jonathan Stempel, editing by Gerald E.
McCormick)

Kardashian Kard too ‘kostly,’ regulator says