FTC Sends More than $1.7 Million in Refunds to People who Lost Money to Student Loan Debt Relief Scam

The Federal Trade Commission is sending more than $1.7 million to people who lost money to a debt relief scheme that targeted individuals trying to pay down their student loan debt.

Metadata
Provider: 
FTCFTC
URL: 
https://www.ftc.gov/news-events/press-releases/2021/02/ftc-sends-more-17-million-refunds-people-who-lost-money-studenthttps://www.ftc.gov/news-events/press-releases/2021/02/ftc-sends-more-17-million-refunds-people-who-lost-money-student
Retrieved on: 
Wednesday, February 10, 2021
Information
Tags: 
Corporate crime, Federal Trade Commission, Economy, Refund anticipation loan, Government, BlueHippo Funding
Summary
Key Points: 
  • The Federal Trade Commission is sending more than $1.7 million to people who lost money to a debt relief scheme that targeted individuals trying to pay down their student loan debt.
  • In reality, the operators of the scheme pocketed peoples money and responded to consumer complaints by changing the name of their company rather than their business practices.
  • The FTC never requires people to pay money or provide account information to get a refund payment or to cash a refund check.
  • In 2020, FTC actions led to $483 million in refunds to consumers across the country.
Copyright: 
2021 FTC. All Rights Reserved.