FTC returns over $3.7 million to consumers harmed by online lender Avant
The Federal Trade Commission is returning more than $3.7 million to consumers who lost money due to unfair and deceptive loan servicing practices by online lender Avant, LLC.
The FTC sued Avant in April 2019, alleging that the company falsely advertised that it would accept credit or debit card payments, when in fact it did not. This often resulted in customers being charged additional interest on their loans as they tried to arrange a different payment method. The FTC also alleged that the company withdrew money from customers’ bank accounts or charged their credit cards without authorization, failed to properly and timely credit payments made by check, provided misleading payment quotes to customers and attempted to collect more money than quoted payment amount.
The FTC sends checks to 17,367 consumers who were harmed by Avant’s practices. The average payment amount is $216. People who receive checks must deposit or cash them within 90 days, as indicated on the check.
Recipients who have questions about their refund, as well as consumers who believe they are eligible for a refund but have not received a check, should call the refund administrator, Rust Consulting, at 877-625-9420. The FTC never requires people to pay money or provide account information to get a refund.
FTCs interactive dashboards for reimbursement data provide a state-by-state breakdown of FTC refunds. In 2020, FTC actions resulted in more than $483 million in refunds to consumers across the country, but the U.S. Supreme Court ruled in 2021 that the FTC had no power, under section 13(b), to seek monetary relief in federal court in the future. the The Commission urged Congress to restore the FTC’s ability to recover money for consumers.