But, to defend the reputed picture of the business, Amex denied these grievances and declared that all these emails are mot marketing e-mails, as they classified these emails as servicing emails.
The American Express (Amex) was recently fined ₤ 90,000 by the British information regulator for sending out more than 4 million spam e-mails consisting of marketing campaigns within a year to its consumers.
And not just that even they have actually classified all these spammy emails as servicing e-mails. The chief private investigator of ICO, Andy Curry asserted that “This is a clear example of a business that failed and now faces the consequences.”
Additionally, during the investigation, the ICO found that the clients who were getting these spammy emails have intentionally pulled out from them.
The UK Information Commissioners Office (ICO) examined the entire matter and found that American Express (Amex) had broken the law by firing these spam emails containing marketing projects to an overall of about 50 million of its customers.
ICO defined that without the totally free authorization of its consumers Amex has broke Regulation 22 of the Privacy and Electronic Communications Regulations 2003 (PECR) by sending out these spam or marketing emails.
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The spammy e-mails that were sent by Amex to all its consumers in between 1st June 2018 and 21st May 2019, which is about 12 months, are specifically developed by Amex to encourage all its customers to make purchases by means of their cards, and in turn, they might gain financial advantages.
ICO likewise offered a 20% discount (the reduced amount will be ₤ 72,000) on the total fine quantity of ₤ 90,000 to Amex, if they will pay the fine ahead of time, while the regular payment date is set by ICO is June 17.
This ₤ 90,000 fine was effectively a small charge for the American Express (Amex), as according to the balance sheet the bank has actually made $1.4 billion just in the last quarter of 2020. While in the case of Q1 FY2021 American Express proclaimed an earnings of $2.2 billion.
As an outcome, the company straightly rejected the proposition of ICO to re-evaluate its marketing techniques, and they specified these e-mails to ICO as interaction of marketing or vital requirements of Credit Agreements with customers.