A U.S. district court in Missouri has temporarily halted an online payday lending scheme that allegedly bilked consumers out of tens of millions of dollars by trapping them into loans they never authorized and then using the supposed “loans” as a pretext to take money from their bank accounts at the Federal Trade Commission’s request.
The court imposed a short-term restraining order that appoints a receiver to just take within the procedure. The court purchase provides FTC together with receiver access that is immediate the companies’ premises and papers, and freezes their assets.
“These defendants purchased customers’ individual information, made payday that is unauthorized, after which assisted on their own to customers’ bank reports without their authorization,” said Jessica deep, Director for the FTC’s Bureau of customer Protection. “This egregious abuse of customers’ monetary information has triggered significant damage, particularly for customers currently struggling to produce ends satisfy. Continue reading “FTC Action Halts Cash Advance Scheme That Bilked Tens of Millions From People By Trapping Them Into Supposed “Loans” They Never Authorized”