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Wednesday, February 21, 2024

FTC Sends More than $3.3 Million to Consumers Harmed by Passport Auto’s Illegal Junk Fees and Discriminatory Practices

The Federal Trade Commission is sending payments totaling more than $3.3 million to customers of Passport Auto, a Washington D.C.-area auto dealer. In October 2022, the FTC charged Passport with adding hundreds, or even thousands, of dollars in illegal junk fees to car prices and for discriminating against Black and Latino consumers by charging them higher fees and financing costs.

The FTC is sending checks to more than 18,000 consumers. Recipients should cash their checks within 90 days, as indicated on the check. Consumers who have questions about their payment should contact the refund administrator, Epiq, at 877-701-3692, or visit the FTC website to view frequently asked questions about the refund process. The Commission never requires people to pay money or provide account information to get a refund.

The FTC’s suit against Passport Auto, its president, Everett Hellmuth, and its vice president, Jay Klein, charged that the defendants’ junk fees caused consumers to pay more than the advertised price or lose any discounts they had negotiated.

The Commission’s interactive dashboards for refund data provide a state-by-state breakdown of refunds in FTC cases. In 2022, Commission actions led to more than $392 million in refunds to consumers across the country.

Official news published at https://www.ftc.gov/news-events/news/press-releases/2023/05/ftc-sends-more-33-million-consumers-harmed-passport-autos-illegal-junk-fees-discriminatory-practices

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