Money Management International Class Action Settlement

A class action settlement was reached in September 2010 to partially end a proposed class action lawsuit brought by consumers against Money Management International, Inc. (MMI) and others. If you paid fees or contributed to MMI within the last eight years, you may be eligible to receive money from the $6.5 million MMI settlement.

According to the MMI class action lawsuit, entitled Abat v. Money Management International, Inc., MMI operated like a for-profit organization, that it was in the business of credit repair but failed to follow the requirements of the Credit Repair Organizations Act and that it was improperly collecting debts due to financial institutions. Plaintiffs further alleged that MMI’s close relationship with these financial institutions caused it to fail to act with complete candor towards consumers, thereby violating fiduciary duties it owed to them. Plaintiffs also alleged that MMI was a debt collector within the meaning of the Fair Debt Collection Practices Act, and failed to disclose that status to consumers, and otherwise misrepresented itself to them.

One of the financial institutions named in the class action, but not named as a defendant, is Chase Bank, which the MMI class action alleges received private benefits from MMI. The $6.5 million MMI class action settlement will resolve all claims against MMI, and part of the case against Chase.

Class members of the MMI class action lawsuit settlement are all individuals nationwide who have paid initial or monthly fees and/or made contributions to MMI for debt management plan services at any time from December 28, 2002 through November 4, 2010. If you received a short form notice or email notice of this case with a unique Class Member Identification Number, then you are automatically treated as a class member. If you believe you have been incorrectly identified as a class member, notify the Claims Administrator by calling (888) 813-7480.

To participate in the MMI class action settlement, you do not have to do anything. You will automatically be included in the settlement and receive your share of the settlement benefits- – if the court approves it — unless you exclude yourself. It’s estimated that out of the $6.5 million settlement, approximately $4,695,000 will be available for payment to the settlement class members. In the unlikely event that all 415,000 class members participate in the settlement, the average recovery would be just over $11.

The deadline to exclude yourself or object to the MMI class action lawsuit settlement is February 17, 2011.

For more information about your rights in the Money Management International Class Action Lawsuit Settlement, visit the Claims Administrator website at www.AbatClass.com.