Chargebacks911 resolves dispute with FTC

Back in April Payments Cards & Mobile reported that Chargebacks911 had attracted the ire of the Federal Trade Commission (FTC) which filed a suit against Chargebacks911 for unfairly thwarting consumers who were trying to dispute credit card charges through the chargeback process.

           Chargebacks911 resolves dispute with FTC

Today, Chargebacks911 announced it has reached a settlement with the FTC  and the state of Florida after nearly six months since the complaint was filed against the company.

The complaint was issued in the wake of legal actions taken against three former customers of Chargebacks911, where regulators noted Chargebacks911’s role as the customers’ chargeback platform provider, whose services were misused to manipulate chargeback data.

As part of the settlement, Chargebacks911 has agreed to pay $150,000 to regulators and limit service offerings to certain registered high-risk merchants that have a proven history of poor consumer-related conduct.

While an agreement has been reached between all parties, the company maintains it has and will continue to uphold its commitment to transparency and compliant business practices.

According to an official statement released by Chargebacks911, the company states, “We want to emphasize that this settlement is not an admission of wrongdoing but rather a resolution that reaffirms our dedication to serving as responsible participants in the industry.

Our ongoing efforts aim to achieve the highest standards within chargeback and dispute management, and we will continue to support the ever-evolving wants and needs of stakeholders industrywide.”