CREDIT One Bank and its affiliates are in hot water for placing unsolicited robocalls to consumers, now involved in a $14 million class action lawsuit.
Impacted customers of the banking giant can score one-time payments worth up to $1,000 under the settlement terms by following a few easy steps.
Credit One Bank customers are in line to receive payments from the company due to a class action settlement[/caption]
Credit One placed robocalls without consent from consumers[/caption]
Americans impacted by the settlement can get their hands on a payment worth up to $1,000[/caption]
The thousands of phone calls were placed without prior consent from Credit One customers, effectively violating the Telephone Consumer Protection Act, or TCPA.
TCPA is federal law created in 1991 to protect consumers from automated communications such as robocalls and text messages unless they have given prior documented consent.
Credit One Bank and its affiliates broke the law by allegedly sending thousands of communications through automated dialing systems and prerecorded voice messages between 2014 and 2019.
The automated systems were used to reach out to current clients and those without a relationship to Credit One, per the lawsuit.
The robocalls regarded marketing, debt collection, and informational purposes.
Class members have argued that they never explicitly gave the banking giant permission to make the calls, categorizing them as a breach of federal telemarketing regulations.
By violating the law, Credit One Bank and its affiliates have ended up in a $14 million class-action settlement.
Although Credit One has not admitted any wrongdoing, the bank is offering cash payments to eligible individuals.
ARE YOU ELIGIBLE?
Consumers must meet several requirements in order to be eligible to receive a check from the $14 million settlement fund.
The first eligibility criteria is that an individual must have received an automated or prerecorded robocall from Credit One Bank or one of its affiliates between 2014 and 2019.
Second, class members must not have given explicit consent to be contacted via automated systems or prerecorded messages prior to receiving the communications.
The last requirement is that individuals must be able to verify that the phone number that received the calls belongs to them.
Being a Credit One customer is not a requirement, as several of the communications were mistakenly sent to wrong numbers or consumers with no relationship to the bank.
Those unsure if they qualify to receive payment are still encouraged to file a settlement claim.
What’s a class-action settlement?
Class action lawsuits offer groups of people, or ‘classes,’ a way to band together in court.
These suits are often brought by one or a few people who allege a company or other entity has wronged a large group of people.
When a suit becomes a class action, it extends to all “class members,” or people who may have similar complaints to those who filed the suit.
Companies often settle class actions – offering payment to class members who typically waive their right to pursue further legal action by accepting money.
These payout agreements frequently include statements by the defendant denying wrongdoing. Companies tend to settle class actions to avoid the costs of further litigation.
Pollution, discrimination, or false advertising are a few examples of what can land a class action on a company’s doorstep.
The claims administrator will use call records and third-party data to verify if a consumer is eligible.
HOW MUCH WILL YOU GET PAID?
Exact payment amounts in the Credit One class action settlement will vary based on how many people apply.
Depending on the number of valid claims received, the one-time payments will range from approximately $100 to $1,000.
No proof is needed to receive money from the settlement, although consumers who can provide documentation may be entitled to a larger payment.
Payment Timeline
- Final Court Approval Hearing: Date pending
- Settlement Website Launch: Within 30 to 45 days after court approval
- Claim Filing Window: Open for 60 to 90 days
- Claims Review and Verification: Three to five months after claims window closes
- Estimated First Payment Disbursement: Six to nine months after court approval
For example, those who can present a phone log or billing statement proving the unsolicited calls may receive a bigger payout.
HOW DO YOU FILE A CLAIM?
Consumers impacted by the Credit One settlement will be able to file a claim once the court grants final approval of the settlement.
Once officially approved, a settlement website will be created to accept claim submissions and provide guidance.
Consumers will simply need to visit the website and have a variety of information on hand before filing their claim, including:
- Full legal name and valid contact information
- Phone number(s) that received the robocalls
- Dates or approximate period when calls were received, if known
- Any supporting documentation is not required but helpful
- Declaration under penalty of perjury affirming the claim’s truthfulness
Next Steps for Claimants
- Monitor your email and mailbox for a notice about the class action settlement.
- Collect the needed documentation and phone records if you have them available.
- Visit the official claims website once it is launched.
- Submit the required information prior to the deadline.
- Select your preferred payment method when you submit your claim.
Individuals whose contact information is associated with call records may receive an emailed or mailed notice of their involvement in the settlement, pending court approval.
The notices will include a unique Claim ID or reference number that can be used to help file a claim quicker via the settlement website.
You may be entitled to compensation from other class action settlements.
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