If you were affected by illegal upfront fees or allegedly deceptive advertising by credit repair companies CreditRepair.com and Lexington Law, you should receive a refund check between Dec. 5 and Jan. 5.
The Consumer Financial Protection Bureau (CFPB) is distributing $1.8 billion in redress for the 4.3 million consumers who had to pay junk fees to these credit repair companies.
Consumers affected do not need to take action and should receive a check in the mail from JND Legal Administration.
The CFPB announced on Thursday that it would collect $1.8 billion in redress from the companies, the largest amount ever distributed to victims by the CFPB. During an investigation of the companies, the government’s consumer watchdog found that customers were charged illegal fees or subjected to allegedly deceptive bait-and-switch advertising.
If you were one of the 4.3 million consumers affected by this, you do not need to take action to receive your refund. The CFPB has collected your information from the companies and information about the fees you paid. The amount may not cover all the fees you paid, the CFPB said, but will be proportionate to the amount you paid.
Consumers should receive money from the CFPB’s Victims Relief Fund between Dec. 5 and Jan 5. The check should come by mail from JND Legal Administration, and you can contact the administration here if you did not receive a payment but believe you were eligible.
Correction, Dec. 5, 2024: A previous version of this article misstated the amount the CFPB will distribute in redress checks — it’s $1.8 billion.
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