THOUSANDS of Americans could be eligible for a one-off payment from a $115 million deal.
It comes after the Justice Department found MoneyGram failed to crack down on fraud following an action in 2018.
The lawsuit alleged that the company violated previous orders to take proactive steps to reduce fraudsters’ use of the payment system.
Victims will recover the full amount of their losses, the Department of Justice (DoJ) said.
More than $115 million will be distributed to 38,889 victims as part of the compensation process.
“MoneyGram violated an FTC order by continuing to allow scammers to rip off its customers,” said Samuel Levine, director of the FTC’s Consumer Protection Bureau.
“The FTC is pleased to work with our law enforcement partners to provide refunds to claimants.
“Other firms that facilitate fraud and ignore FTC orders should face similar consequences.”
Meanwhile, MoneyGram told The US Sun in an email: “Having invested more than $800 million over the past decade to improve our compliance program, MoneyGram is now an industry leader in fraud detection.
“The number of consumer fraud complaints MoneyGram receives as a percentage of total money transfer transactions has steadily decreased over the past eight years. In 2022, it was just 0.009% of the 100+ million money transfers processed by MoneyGram.”
WHO CAN QUALIFY FOR YOUR MONEY BACK?
Americans receiving refunds are those who submitted applications during the 2021 open application process.
It applies to those who sent a MoneyGram money transfer in the United States between January 1, 2013 and December 31, 2017.
The deadline for submitting a petition was August 31, 2021.
Anyone who believes they are eligible can find more information about the MoneyGram refund program on the DoJ’s website.
You can also call the DOJ’s MoneyGram Remission Administrator at 844-269-2630 or email email@example.com.
HOW MUCH MONEY WILL YOU GET?
According to MoneyGram, your payment is based solely on the amount of the money transfer you make.
Other expenses such as transfer fees, accidental losses or transfers made by other companies cannot be reimbursed.
WHEN WILL YOU RECEIVE PAYMENT?
According to MoneyGram, it will take up to a year or more to review and verify applications.
You can check www.moneygramremission.com for updates on the status of the process.
In a 2009 settlement with the FTC, MoneyGram agreed to establish a fraud prevention program.
This would require the company to promptly investigate, restrict, suspend and terminate highly fraudulent agents.
The FTC accused MoneyGram of being aware of “continued fraud in its payments network post-settlement.”
It also said that the company “for years has turned a blind eye to numerous instances of suspicious payment activity by the company’s agents.”
Meanwhile, Americans only have a few days left to claim a one-time rebate worth up to $800.
It also makes monthly “lottery” direct payments ranging from $200 to $400 – see if you qualify for the boost.
https://www.the-sun.com/money/7362267/americans-eligible-payment-settlement-moneygram/ Americans eligible for a one-time payment of $115 million – check if you qualify for a cash refund