The Federal Trade Commission (FTC) is distributing over $3.5 million in refunds to consumers affected by a credit-repair scheme known as 'The Credit Game.' This action follows a lawsuit filed by the FTC in 2022 against the operators, Michael and Valerie Rando, and their associated companies.
According to the FTC's complaint, the defendants allegedly misled consumers about the legality and effectiveness of their services, falsely promised refunds, provided inaccurate information to credit-reporting agencies, and encouraged customers to invest in creating their own fraudulent credit-repair schemes. Additionally, they reportedly advised clients to use COVID-19 tax relief funds for these services, which violated the COVID-19 Consumer Protection Act.
The legal proceedings resulted in an order that halted the illegal operations of 'The Credit Game' and banned Michael and Valerie Rando from participating in the credit-repair industry. The order also mandated that they surrender assets to facilitate consumer refunds.
Refunds are being issued via checks and PayPal payments to 9,224 affected individuals. Check recipients are advised to cash their checks within 90 days as specified on each check. Those receiving PayPal payments should redeem them within 30 days.
For inquiries regarding payments, consumers can contact Simpluris at 833-296-0723 or visit the FTC website for more information on the refund process. The FTC emphasizes that it never requires payment or personal account details for issuing refunds.
In 2024 alone, FTC actions resulted in over $339 million returned to consumers nationwide. The Commission remains committed to promoting competition while protecting and educating consumers against frauds like 'The Credit Game.'
Consumers can learn more about various topics at consumer.ftc.gov or report fraudulent activities at ReportFraud.ftc.gov. The public is encouraged to follow the FTC on social media for updates and alerts.
