LendingClub Hidden Fees FTC Settlement

LendingClub, an online lender, has agreed to a settlement with the Federal Trade Commission (FTC).

More than 15,700 borrowers will be receiving PayPal payments worth a total of $10.2 million from the FTC. 

The FTC had accused LendingClub Corp. of falsely promising loan applicants that they’d receive a certain loan amount with “no hidden fees,” even though the company deducted up to thousands of dollars in hidden up-front fees from these loans.

In addition, the FTC alleged LendingClub told consumers they were approved for loans when they were not and took money out of consumers’ bank accounts without obtaining authorization.

LendingClub customers who took out loans before Jan. 6, 2017, and repaid those loans should have received the FTC email explaining the process for requesting a refund. Those who believe they are eligible but did not receive an email should contact settlement administrator Rust Consulting at 1-833-630-1417.

Many PayPal payments have already gone out, and must be accepted within 30 days. Those who would prefer to receive a check should contact the settlement administrator.

In addition, the FTC is encouraging other consumers who believe they may be eligible for compensation under the LendingClub settlement to submit a claim form for a refund.

The amount of each claimant’s refund will depend on how much that individual paid in hidden fees and the number of people who submit claims.

The deadline to apply for a refund under the LendingClub settlement is Feb. 16, 2022.

Who’s Eligible

LendingClub customers who took out loans before Jan. 6, 2017, and repaid those loans should have received the FTC email explaining the process for requesting a refund. Those who believe they are eligible but did not receive an email should contact settlement administrator Rust Consulting at 1-833-630-1417.

Potential Award

Varies

Proof of Purchase

No proof of purchase applicable

Claim Form

NOTE: If you do not qualify for this settlement do NOT file a claim.

Remember: you are submitting your claim under penalty of perjury. You are also harming other eligible Class Members by submitting a fraudulent claim. If you’re unsure if you qualify, please read the FAQ section of the Settlement Administrator’s website to ensure you meet all standards (Top Class Actions is not a Settlement Administrator). If you don’t qualify for this settlement, check out our database of other open class action settlements you may be eligible for.

Claim Form Deadline

02/16/2022

Case Name

Federal Trade Commission v. Lending Club Corp., Case No. 3:18-cv-02454 in the US District Court for the Northern District of California

Final Hearing

N/A

Settlement Website

FTC.gov

Claims Administrator

Rust Consulting
833-630-1417

Class Counsel

N/A

Defense Counsel

N/A