For the second time this year, the
Restitution will be awarded to all consumers who were charged for one or more addon products between
Discover also sold its Credit Score Tracker, designed to allow a customer unlimited access to his or her credit reports and credit score. The third product was Identity Theft Protection, which was marketed as providing daily credit monitoring. Lastly, Discover'S Wallet Protection product was sold as a service to help a consumer cancel credit cards in the event that his or her wallet is stolen.
Commenting on the actions,
A joint investigation by the two federal offices found that Discover used deceptive telemarketing tactics to sell all of these products. Using scripts with misleading language matched by fast-talking telemarketers, federal regulators found diat consumers were:
Enrolled without their consent;
Misled about the fact that there was a charge for the products;
Misled as to when charges for the add-on services would be applied; and
Were unaware of eligibility limitations for certain benefits, including employment or pre-existing medical conditions.
No affected consumer needs to take any action to receive what is owed. Consumers with a current Discover card will receive a credit to his/her account. Consumers with closed Discover accounts will either receive a check by mail, or the restitution will be applied to any remaining balance on the card.
Beyond diese refunds, additional enforcement actions require Discover to stop deceptive marketing, submit a compliance plan to both
Earlier this year,
These two enforcement actions combined represent
With this volume of refunds, consumers would also be well-advised to be on the lookout for scammers claiming they will provide a refund. Further
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