WASHINGTON, D.C. — The Federal Trade Commission (FTC) has announced the disbursement of nearly $1.9 million to thousands of consumers who were affected by fraudulent rental advertisements and misleading credit report offers from Credit Bureau Center LLC, formerly known as MyScore LLC. The payments mark the conclusion of a lengthy legal process aimed at addressing deceptive practices carried out by the company.
Details of the Case
The FTC’s original complaint, filed in 2017, alleged that Credit Bureau Center engaged in deceptive practices that misled consumers into enrolling in a costly credit monitoring service. According to the FTC, the company posed as legitimate property owners, advertising rental properties for which they had no authorization. Consumers were promised access to property tours on the condition that they obtain credit reports and scores through certain websites operated by the company.
These websites falsely claimed to offer “free” credit reports and scores, but consumers were instead unknowingly enrolled in a credit monitoring service with recurring monthly fees of $29.94. Many did not realize they were being billed until identifying unexpected charges on their bank or credit card statements, often after several billing cycles.
Legal Proceedings
The case against Credit Bureau Center resulted in a notable legal trajectory. In June 2018, a federal judge determined that the company had violated Section 13(b) of the FTC Act and ordered the payment of monetary relief. However, in April 2021, the U.S. Supreme Court’s ruling curtailed the FTC’s authority under Section 13(b) to obtain monetary relief, effectively vacating the original award.
Despite this setback, the FTC pursued additional legal avenues. By September 2021, a federal judge found that Credit Bureau Center had also violated Section 19 of the FTC Act, leading to the reimposition of the financial penalty. The defendants subsequently challenged the decision but ultimately lost on appeal. The final resolution of the lawsuit came in June 2024, allowing the FTC to begin the process of distributing refunds.
Consumer Restitution
The FTC has issued checks to 42,849 consumers who were affected by the company’s practices. Consumers are advised to cash their checks within 90 days, as indicated on the payment. This restitution effort represents a key measure in addressing the financial harm caused by the deceptive business activities of Credit Bureau Center LLC.
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