Russell Simmons’ RushCard creates fund to help customers

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NEW YORK (AP) – RushCard, the pre-paid debit card backed by hip-hop mogul Russell Simmons, is creating a multi-million dollar fund to help cover the costs that its customers suffered while the card was beset by technical problems.

RushCard customers who had late fees tied to bills or any other financial setbacks as a direct result of their money being locked up with RushCard will be compensated, the company says.

Russell Simmons called the situation “devastating” in an interview with the Associated Press, and said the company wants to make sure customers are made whole.

Problems with RushCard’s payment processor, a division of MasterCard, caused thousands of RushCard customers to lose access to their funds for as many as 10 days earlier this month.