Do you read the fine print in user agreements?

If you have a credit card, you should start.

JPMorgan Chase Bank has added a “Binding Arbitration” clause to its cardholder policies.

The arbitration agreement states cardholders “cannot go to court, have a jury trial or initiate or participate in a class action for your dispute(s) with [Chase]. In arbitration, disputes are resolved by an arbitrator, not a judge or jury, and procedures are simpler and more limited than rules applicable in court.”

That means any disputes cardholders may have with the bank must be resolved in arbitration.

No court.

No jury trial.

No right of appeal.

No ability to join a class-action lawsuit.

JPMorgan Chase Bank was part of a class action suit involving robocallers. That case settled in November 2018.

What’s the big deal? Class-action lawsuits can pressure large financial institutions into making changes for their consumers.

Limiting your legal rights with arbitration is typically good for banks and bad for their customers.

The arbitration system heavily favors banks or corporations over consumers, according to the National Association of Consumer Advocates.

They claim consumers lose the ability to sue over defective products, scams, or negligence when forced arbitration clauses are in place.

AARP cards are the only Chase cards not subject to this amendment. Individuals covered by the Military Lending Act are also exempt.

A Chase spokesperson told Nerdwallet it is part of a corporate structure change. “Arbitration has long been a standard practice in our Consumer Banking and Auto Finance businesses... In consolidating our credit card company charter into the bank, it was timely to create a consistent experience across our consumer businesses.”

Cardholders can opt out of these changes and preserve their rights, but only until early August. The specific deadline varies based on the type of card.

Opt-out instructions are listed in the May Chase policy update email. You may also find a sample letter on our site at https://www.lexingtonchronicle.com/lifestyle/chase-arbitration-sample-letter .