Fact Check: Credit One Bank Class Action Settlement 2024 – Eligibility, Payment Date & Amount

Claim: Credit One Bank is paying a class action settlement due to fraudulent activities.

✅ Verdict: Partially True Credit One Bank faced a class action lawsuit due to allegations of fraudulent credit card billing practices. Consumers reported unexpected high charges and difficulty contacting the bank for dispute resolution. While the lawsuit exists, the claim that the bank engaged in outright fraud remains unproven in court. The settlement was reached, but Credit One Bank has not admitted wrongdoing—a common legal practice in class action lawsuits.

Claim: Over 1,400 companies filed complaints against Credit One Bank.

❌ Verdict: False There is no verified record of 1,400 companies filing complaints against Credit One Bank. However, a significant number of individual consumers filed disputes regarding high credit card charges and unauthorized fees. The Consumer Financial Protection Bureau (CFPB) and Federal Trade Commission (FTC) have investigated similar cases against financial institutions, but no widespread corporate lawsuit against Credit One Bank has been reported.

Claim: Affected customers need to register for the lawsuit to claim their settlement.

✅ Verdict: True Consumers affected by excessive charges need to file a claim to receive a share of the settlement funds. To be eligible, individuals must:

• Have held a Credit One Bank credit card and incurred unfair charges.
• Provide supporting documents such as bank statements, identification, and transaction records.
• Submit their claim before the deadline of November 27, 2023.

Claim: Customers must have a Capital One account to receive the payment.

❌ Verdict: False There is no requirement that claimants have a Capital One account. While Capital One is another financial institution that has faced lawsuits, it is not related to the Credit One Bank settlement. Eligible customers can receive their payment via:

• Direct deposit (if registered).
• Check by mail.

Claim: The settlement payment date will be decided by the court.

✅ Verdict: True As of now, the court has not announced a final payment date. Settlement distributions usually occur months after final approval. Consumers should check the official settlement website or contact the court-appointed administrator for updates.

Claim: Each eligible consumer will receive $1,000 from the settlement.

🔶 Verdict: Partially True The article states that every individual will receive around $1,000, but this amount depends on several factors:

• Total settlement amount available.
• Number of valid claims submitted.
• Court approval of the final payment breakdown.

Final payouts may be higher or lower than $1,000 per person.

Fact Check Summary:

• ✅ Credit One Bank faced a lawsuit over questionable billing practices, but it did not admit to fraud.
• ❌ The claim that 1,400 companies sued Credit One Bank is false—only consumers were involved.
• ✅ Eligible customers must file a claim before November 27, 2023 to receive a settlement.
• ❌ A Capital One account is NOT required to receive payment.
• ✅ The court has not yet announced the final payment date.
• 🔶 The $1,000 compensation amount is an estimate and may vary based on total claims.

Next Steps for Consumers:

✔ Check if you were affected and submit your claim before November 27, 2023. ✔ Monitor official settlement updates for payment date announcements. ✔ Beware of scam websites—only use official channels to file your claim. ✔ Ensure your banking or mailing details are correct to receive the payment. For the most reliable information, refer to official court documents, government agencies (CFPB, FTC), or the Credit One Bank settlement website.