Washington, D.C. — The Federal Trade Commission (FTC) is distributing nearly $1.9 million in refunds to consumers who were victims of fraudulent rental ads and deceptive offers of “free” credit reports from Credit Bureau Center LLC, formerly known as MyScore LLC. The refunds come after a lengthy legal battle over the company’s misleading practices, which entangled thousands of unsuspecting consumers.
The FTC initially filed a lawsuit against Credit Bureau Center in 2017, accusing the company of running fake rental ads for properties that did not exist or that they were not authorized to rent. Consumers who responded to the ads were misled into providing their personal information to access “free” credit reports and scores. However, the fine print of the offer enrolled them into an expensive credit monitoring service that charged $29.94 a month, often without the consumers’ knowledge. Many individuals only discovered the charges after seeing unexpected fees on their bank or credit card statements, sometimes months after the initial enrollment.
“This case underscores the FTC’s commitment to holding fraudsters accountable and returning money to consumers who have been harmed,” said Samuel Levine, Director of the FTC’s Bureau of Consumer Protection. “However, it also highlights the need for Congress to restore the FTC’s authority to obtain monetary relief, so we can more efficiently and effectively protect consumers from deceptive practices.”
The complaint, filed in 2017, detailed how Credit Bureau Center operated fake Craigslist ads, offering property tours in exchange for consumers obtaining their credit reports. Yet, despite promises of property tours, consumers reported that their attempts to contact the company or arrange property viewings were ignored, leaving them without any rental opportunities.
In 2018, a federal judge ordered Credit Bureau Center to pay restitution for its violations of the FTC Act. However, in 2021, the Supreme Court ruled that the FTC could no longer seek monetary relief under a key provision of the law (Section 13(b)), complicating efforts to return funds to consumers. In 2021, the court found that Credit Bureau Center violated another section of the FTC Act (Section 19), and the monetary award was reinstated. After a lengthy legal process, the case was resolved in June 2024, and refunds are now being issued to 42,849 affected consumers.
Consumers eligible for a refund will receive checks in the mail, which should be cashed within 90 days. For questions about the refund process, individuals can contact the refund administrator, Simpluris, at 1-844-804-5464 or visit the FTC’s website for more information.
