Lexington Law and CreditRepair.com Refund Checks in the Mail

If you were charged upfront fees or subjected to deceptive advertising by Lexington Law or CreditRepair.com, you may be eligible for a refund. Lexington Law has agreed to pay $2,700,000 to settle a case with the CFPB that alleged illegal upfront fees and deceptive marketing practices.

Who can get a refund?

Those eligible have already been identified by the Consumer Financial Protection Bureau (CFPB) based on records from Lexington Law and CreditRepair.com.

Eligible consumers include those who:

• Made a payment to Lexington Law or CreditRepair.com for credit repair services between March 8, 2016, and August 30, 2023, after being subject to telemarketing.
• Made a payment from July 21, 2011, through August 30, 2023, after being live-transferred by a marketing affiliate engaged in deceptive marketing.

All eligible consumers have been identified, and there is no opportunity for additional claims.

How much are the payouts?

The settlement provides refunds of fees paid to Lexington Law or CreditRepair.com. While the refund may not cover all fees paid, it is calculated based on a pro-rata share of the fees. This means that the total settlement amount will be distributed proportionally among all eligible consumers based on the amount they paid.

For example, if the total fees paid by all eligible consumers amount to $10,000,000 and the settlement fund is $2,700,000, each consumer would receive 27% of the fees they paid. If a consumer paid $1,000 in fees, they would receive a refund of $270.

Payment methods

Eligible consumers will receive their payments via checks mailed directly to them.

Important dates

• Checks begin mailing: December 5, 2024
• Checks end mailing: January 6, 2025
• Checks become void: April 6, 2025

When is the Lexington Law and CreditRepair.com payout date?

Payments will be mailed to eligible consumers between December 5, 2024, and January 6, 2025.

Why was there a settlement?

The settlement arose from allegations that Lexington Law and CreditRepair.com charged illegal upfront fees and engaged in deceptive marketing practices. The CFPB took enforcement action to protect consumers and ensure compliance with federal laws, specifically the Consumer Financial Protection Act of 2010 and the Telemarketing Sales Rule.

What happens next?

Eligible consumers should receive their checks by January 6, 2025. If a check is not received, consumers are advised to wait a few weeks before contacting the settlement administrator for a reissue.