NetSpend prepaid debit cards FTC settlement

The Federal Trade Commission (FTC) is returning money to consumers who were unable to access funds on their NetSpend prepaid debit cards.

The settlement benefits consumers who got a NetSpend card between Jan. 1, 2010, and Aug. 31, 2016, who did not activate the card before Aug. 31, 2016, and who had fees deducted from their card balance. 

According to the FTC, NetSpend denied or delayed the activation of its prepaid debit cards — causing consumers to be unable to use their prepaid funds. In addition, NetSpend allegedly charged consumers fees that reduced the balances on their prepaid cards. 

NetSpend is a prepaid debit card company that offers “alternative financial services.”

NetSpend agreed to resolve the FTC lawsuit with a settlement. In June 2022, the FTC sent over $10 million in refund money to more than 430,000 NetSpend consumers. 

Now the FTC is accepting claim forms from consumers who did not previously receive a refund payment to issue the remaining funds. 

Claimants can receive a full refund of the fees they had deducted from their card balance. 

There is no exclusion or objection deadline.

The court approved the NetSpend FTC settlement April 10, 2017.

In order to receive refund money from the NetSpend settlement, consumers must submit a valid claim form by Sept. 21, 2023. Consumers who already received a refund payment from the FTC should not file a claim.

Who’s Eligible

Consumers who got a NetSpend card between Jan. 1, 2010, and Aug. 31, 2016, who did not activate the card before Aug. 31, 2016, and who had fees deducted from their card balance. 

Potential Award

Varies

Proof of Purchase

N/A

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

09/21/2023

Case Name

FTC v. NetSpend Corp., Case No. 1:16-cv-04203-AT, in the U.S. District Court for the Northern District of Georgia

Final Hearing

04/10/2017

Settlement Website

FTC.gov/enforcement/refunds/NetSpend-refunds

Claims Administrator

Analytics Consulting LLC
888-684-4858

Class Counsel

N/A

Defense Counsel

N/A