- Companies that paid an early termination fee after canceling First American may be eligible for payment
March 01, 2024
By EPA
Washington, DC – (Highpoint Digest) – The Federal Trade Commission is launching a claims process for small businesses harmed by payment processing company First American Payment Systems’ undisclosed early termination fees.
The agency is mailing notices to 1,137 businesses that were customers of First American between June 2017 and April 2020 and later canceled their services. Businesses that have paid an early termination fee are eligible to request a payment. The deadline to file a claim is May 28, 2024. Eligible businesses can file a claim online at www.ftc.gov/FirstAmerican. Those who have questions or need help filing a claim can call 877-595-0114 or email info@FirstAmericanPaymentSettlement.com. The Commission never requires people to pay money
or provide account information to apply for a refund.
Under the terms of the settlement, First American and two of its sales affiliates were required to return $4.9 million, stop their deception, stop charging existing customers early termination fees, and make it easier for merchants to cancel their services.
The Commission’s interactive dashboards for refund data provide a state-by-state breakdown of refunds in FTC cases. In 2023, FTC actions led to $324 million in refunds to consumers across the country.
Source: FTC
Image courtesy of FTC
