Victims of credit repair scheme to get $5 million in refunds: What to know | FOX 2 Detroit

Victims of credit repair scheme to get $5 million in refunds: What to know

FILE - Various credit cards are pictured in an undated file image. (Photo by Fairfax Media via Getty Images via Getty Images)

The Federal Trade Commission is sending more than $5 million in refunds to victims of a "deceptive" credit card debt relief scheme.

The company, known as ACRO Services and accused of operating under multiple other names, was sued by the FTC in 2022. Here’s what consumers should know:

ACRO Services customers get refunds

What we know:

The FTC filed a lawsuit in November 2022 against ACRO Services, saying it operated under other names like American Consumer Rights Organization, Consumer Protection Resources, Reliance Solutions, Thacker & Associates, and Tri Star Consumer Group. 

The complaint charged the company and its owners with running a deceptive telemarketing operation that made numerous phony debt relief promises to consumers, including that they could greatly reduce or eliminate consumers’ credit card debt in 12 to 18 months. The company is accused of charging consumers thousands of dollars in unlawful upfront enrollment fees and telling them it was part of the debt that will be eliminated as part of the program. 

Consumers were also charged monthly fees ranging from $20-$35 for "credit monitoring" services, the FTC said.

What's next:

The individual defendants in the lawsuit agreed to a settlement order that permanently bans them from the debt relief and telemarketing industries and requires them to surrender assets to be used to refund victims, the FTC said. 

The FTC is now sending checks to 7,687 consumers. 

What to know about the FTC refund

What they're saying:

Those who receive a check should cash it within 90 days, as indicated on the check, according to the FTC.

Consumers who have questions about their payment should contact the refund administrator, JND Legal Administration, at 877-753-2846, or visit the FTC website to view frequently asked questions about the refund process.

The agency noted how it never requires people to pay money or provide account information to get a refund.

The Source: This story was reported using information published by the Federal Trade Commission about the settlement on Jan. 21, 2025. It was reported from Cincinnati. 

ConsumerU.S.MoneyNews