If you applied for a payday loan online, you may have been tricked into signing up for a debit card and charged more than $50 in the process.
On Thursday, the Federal Trade Commission forced some payday loan marketers to pay more than $800,000 to settle the charges that they did just that.
The FTC said two men operated Swish marketing and VirtualWorks, a service matching borrowers with potential lenders online. When consumers filled out the application form for the payday loan, it allegedly tricked them into ordering a debit card.
As a result, the FTC alleges that consumers were improperly charged up to $54.95 each.
The FTC has charged Swish Marketing and VirtualWorks with deceptive business practices. The FTC says these marketers tricked hundreds of thousands of payday loan applicants into unknowingly buying the prepaid debit cards.
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