The Federal Trade Commission (FTC) is distributing over $17 million in refunds to consumers affected by the actions of Brigit, an online cash advance provider. The FTC accuses Brigit of misleading consumers with promises of "instant" cash advances and enrolling them in a monthly membership that was difficult to cancel.
In 2023, the FTC initiated action against Brigit, claiming the company falsely advertised that subscribers would receive instant cash advances up to $250 whenever needed and could cancel at any time. However, the FTC alleges that fees were charged for expedited access to funds, which often did not materialize as promised. Additionally, many consumers reportedly found it impossible to obtain any cash advance at all. The complaint further alleged that Brigit used manipulative design techniques to complicate the cancellation process for consumers.
The FTC plans to distribute payments to 1,818,930 members who paid for these supposed instant cash advances. Eligible recipients will be notified via email by November 15, 2024, with PayPal payments beginning on November 18. It is advised that recipients redeem their payments within 30 days.
For inquiries regarding payments, affected individuals can contact Rust Consulting, Inc., the refund administrator, at 833-637-5800 or visit the FTC website for frequently asked questions about the refund process. The Commission emphasizes it never requires payment or account information from individuals seeking refunds.
The Commission’s interactive dashboards offer a state-by-state analysis of refunds related to various FTC cases. In 2023 alone, FTC efforts resulted in $330 million being refunded to consumers nationwide.
The Federal Trade Commission's mission includes promoting competition and safeguarding consumer rights through education and protection initiatives. They remind consumers that they will never demand money or personal information in exchange for refunds or other services. For more consumer-related topics or reporting fraud and scams, visit consumer.ftc.gov or ReportFraud.ftc.gov. Stay updated on FTC news through their social media channels and alerts.
