WASHINGTON, D.C. — A settlement reached between the Federal Trade Commission (FTC) and NetSpend, will allow the federal government to issue more than $10 million in refunds to NetSpend customers who were denied or delayed activation of their NetSpend prepaid debit cards after the company blocked customers from using the cards.
According to the FTC, NetSpend Corporation will notify its eligible customers regarding the refunds by early October. NetSpend will also give the FTC any fees the company collected from the debit cards that were not paid out during the customer redress period. The funds will be used to send checks to NetSpend customers who did not already receive a refund from the company, the FTC said.
Also, according to the FTC, NetSpend customers who receive the refund checks should deposit or cash them within 60 days. Customers affected by NetSpend's denial or delayed activation of the prepaid debit cards can visit www.ftc.gov/refunds for additional information.