FTC Sending More Than $12 Million in Full Refunds to Victims of Online Billing Scam
Kehoe Law Firm, P.C. is making consumers aware that on May 18, 2020, the FTC announced that it is sending full refunds (totaling more than $12 million) to individuals who lost money to a company called I Works, which operated deceptive “trial” memberships and bogus government-grant and money-making schemes in 2010.
Utah-based I Works, according to the FTC, ran numerous online marketing campaigns, which falsely advertised that federal grants for personal needs were generally available to consumers, and that people who used I Works’ money-making product were likely to earn substantial income. The company, according to the FTC, unlawfully enrolled consumers in membership programs without disclosing, or without disclosing clearly, that it would charge their accounts on a recurring basis until consumers canceled.
Allegedly, I Works asked consumers to provide their credit or debit card information to pay a nominal shipping and handling or processing fee, such as $1.99; however, when consumers provided that information, I Works routinely charged them a one-time fee of up to $129.95 followed by monthly recurring fees of up to $59.95 for the advertised ”free” offers, and other monthly fees for programs that I Works failed to disclose to the consumers.
The FTC announced that it is providing 147,333 full refunds, averaging about $86 each, to victims of the I Works scheme. Most recipients will get their refunds via check, and they should deposit or cash their checks within 60 days. Recipients with mailing addresses outside the U.S. will receive their refunds via PayPal.
The FTC never requires people to pay money or provide account information to cash a refund check. If recipients have questions about the refunds, they should contact the FTC’s refund administrator, JND Legal Administration, at 888-304-0228.
Source: Federal Trade Commission – FTC.gov