Russell Simmons Addresses RushCard Backlash

Hip-hop mogul Russell Simmons is fighting back at criticism that he didn’t do enough to prevent and rectify a computer glitch that caused thousands of his RushCard customers to be locked out of their accounts and unable to access their funds.

In a recent interview with NNPA NewsWire, Simmons said he has not taken the issue lightly and is doing everything he can to resolve the matter, including reimbursing customers for the funds they were not able to access.

“The way I view it, I will take every complaint and claim and pay it, if it has any legitimacy,” said Simmons. “I’ve heard people being put out of their apartments or in the hospital needing medicine and what I have done, what I do, is if they say they [lost] $400, I’ve given them back that exact amount and I’ve also adjusted their fees.”

In addition to restoring customer accounts in full, Simmons said that from Nov. 1, 2015 through February 29, 2016, RushCard customers will be exempt from paying monthly, transaction and ATM fees. People who open new accounts will also be eligible for the no-fee holiday benefits.

UniRush, LLC, which owns RushCard, was co-founded by Simmons 2003 as a way to help low-to-moderate income individuals and families have an easier time paying bills and managing their money.

“The RushCard is the embodiment of my message of empowerment, because it is a better and more transparent option for millions of ‘underbanked’ and ‘unbanked’ Americans, who often suffer at the hands of large financial institutions,” Simmons said.

Simmons said the recent RushCard outage was caused by a glitch that was due to a botched “technology transition.

“Technology glitches happen, but this was a tsunami,” said Simmons told NNPA News Wire.

Simmons said additional employees have been hired to help answer and resolve customer complaints and that cardholders should continue to report problems and any financial hardships caused by the two-week outage to the RushCard call center.

He also wanted to assure customers that the RushCard is still a reliable service customers can put their trust in.

“I want my customers to know that we will restore RushCard as the gold standard of [prepaid debit card] services in our community. I want to assure those who rely on the RushCard that I will not rest until we have regained your trust.”