Washington, D.C. – June 4:
Credit One Bank has agreed to a $14 million class-action settlement to resolve allegations that it violated the Telephone Consumer Protection Act (TCPA) by making unauthorized robocalls to consumers without their prior consent. The lawsuit alleged that Credit One Bank used automated dialing systems to contact individuals, including those who were not its customers or had not consented to such communication.
The TCPA is a federal law in the United States that restricts telemarketing calls, including the use of automatic telephone dialing systems and prerecorded voice messages. The law requires businesses to obtain prior express consent before contacting individuals via these methods. In this case, the plaintiffs claimed that Credit One Bank made robocalls using autodialers to reach individuals who had not provided such consent, thereby violating the law.
According to court documents, the robocalls were allegedly placed to individuals regarding overdue payments, account activity, or promotions—even if the recipients were not customers of the bank. The lawsuit also pointed out that many of the recipients had previously registered their numbers on the National Do Not Call Registry, which offers protection against unsolicited calls.
Credit One Bank has denied any wrongdoing but agreed to the $14 million settlement to avoid further litigation. The settlement was preliminarily approved by the court and is now open for claims from eligible individuals who received robocalls between specific dates.
Eligibility Criteria:
To be eligible for a payout from the settlement fund, individuals must meet certain conditions:
- They must have received at least one non-consensual robocall from Credit One Bank during the period specified in the settlement agreement.
- The call must have been made using an autodialing system.
- Claimants must submit a valid claim form before the stated deadline.
The claim form can typically be filed online or submitted by mail. Claimants are advised to provide accurate contact information and any evidence or reference numbers related to the calls, if available.
Expected Compensation:
The exact amount each claimant will receive depends on the total number of valid claims filed. If fewer individuals file claims, each person could receive a larger portion of the settlement. If the number of claims is high, individual payouts may be lower. As of now, no fixed amount has been guaranteed per claimant.
In addition to financial compensation, the settlement requires Credit One Bank to review and improve its compliance procedures related to robocall practices. This includes strengthening its customer consent verification process and ensuring future communications adhere strictly to TCPA guidelines.
Next Steps:
Individuals who believe they may be eligible should visit the official settlement website or consult legal notices for more details on how to file a claim. The deadline to file is expected to be announced soon, following final court approval.
This case serves as a reminder for both companies and consumers about the importance of consent and legal compliance in telecommunication practices. Legal experts say the settlement could influence future enforcement of the TCPA and lead to more scrutiny of corporate communication methods.
