PayGOV class action alleges payment processor charges undisclosed junk fees

PayGOV class action lawsuit overview:

• Who: Plaintiffs Amy Burke and Angelia McGlade filed a class action lawsuit against PayGov.US LLC.
• Why: Burke and McGlade claim PayGOV charges hidden fees to consumers paying utility bills.
• Where: The PayGOV class action lawsuit was filed in Indiana state court.

A new class action lawsuit accuses PayGOV of charging consumers hidden junk fees when they pay utility bills with their credit or debit cards.

Plaintiffs Amy Burke and Angelia McGlade filed the class action complaint against PayGov.US LLC on Nov. 14 in Indiana state court, alleging violations of state consumer laws.

The lawsuit alleges that PayGOV is exploiting consumers by charging undisclosed and variable-rate “junk fees” when they pay their utility bills through the company’s payment processing platform.

PayGOV charges consumers a “convenience fee” each time they pay their bills, whether online, through the company’s app, or in person at a municipal building, the PayGOV class action lawsuit alleges.

Burke and McGlade say the average utility bill in Indiana has been rising, with residents paying significantly more for electricity in 2025 compared to previous years.

PayGOV, they claim, has taken advantage of this situation by imposing additional junk fees on consumers who are already struggling to pay their bills.

Class action: PayGOV misleads consumers into believing it’s a government entity

The class action complaint alleges the additional fees are not disclosed upfront and only appear at the final payment screen. The fees are also variable, increasing with the size of the payment, which disproportionately affects consumers with larger utility bills, they say.

The class action complaint further alleges that PayGov uses a domain name and branding that closely resemble official government websites, and its website features American flag imagery, which is intended to give the impression of a government affiliation.

Burke and McGlade argue that PayGOV’s practices are not only deceptive but also illegal, claiming the company has unjustly enriched itself at the expense of consumers and violated the Indiana Deceptive Consumer Sales Act.

The lawsuit seeks to represent all individuals who have paid a convenience fee to PayGOV. Burke and McGlade are demanding a jury trial and requesting damages, injunctive relief and attorney fees for alleged violations of state consumer laws.

Recently, hidden fees have also become an issue with online charity donations. If you’ve paid hidden fees on an online donation platform or automatically signed up for monthly donations, you may be able to take legal action for deceptive online donation practices.

Have you ever made payments via the PayGov porthole? Let us know in the comments.

The plaintiffs are represented by Tyler B. Ewigleben of Jennings & Early PLLC and Kevin Laukaitis and Daniel Tomascik of Laukaitis Law LLC.

The PayGOV class action lawsuit is Burke, et al. v. PayGov.US LLC, Case No. 49D01-2511-CE-054307, in the Marion Superior Court.

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