The Federal Trade Commission (FTC) is sending refunds to customers deceived by LifeLock and to those defrauded by Pro Timeshare Resales, LLC.
According to the FTC, the total amount of the consumer refunds is $33.7 million including $31 million from LifeLock and $2.7 million from Pro Time Share Resales.
The refunds were part of the consumer watchdog’s settlement agreements with both companies.
LifeLock consumers will receive checks with an average amount $29
In 2015, LifeLock agreed to pay $100 million to settle the FTC’s lawsuit alleging that the identity theft protection provider violated a 2010 data security provider. The order required the company to secure its customers’ personal information and prohibited it from deceptive advertising.
The settlement amount included more than $67 million in refunds to consumers who were part of a class action lawsuit that made allegations similar to the accusations outlined in the FTC complaint. The remaining money will be given to consumers who were LifeLock members between 2012 and 2014 that did not receive payment from the class action lawsuit. LifeLock consumers will receive checks averaging around $29.
The FTC alleged that LifeLock failed to establish and maintain a comprehensive information security program to protect its customers’ sensitive personal information. It also accused the company of falsely claiming that it has high-level security similar to the one used by financial institutions and it is providing 24/7 alerts “as soon as” it received any indication of an identity theft.
Pro Timeshare Resales victims will get checks with an average amount of $332
Separately, in May 2018, a settlement order required Pro Time Share Resales to surrender assets worth approximately $3.4 million to the FTC.
As part of the settlement, FTC is sending refunds totaling almost $2.7 million to consumers who paid upfront fee to resell their unwanted timeshares. Consumers defrauded by the company will get checks with an average amount of $332.
In 2016, the FTC accused Pro Timeshare Resales of falsely claiming to consumers that it has a buyer or renter who is ready and willing to purchase or rent their properties for a specified price. The company also falsely claimed that it can sell the timeshare quickly or within a specified time period.
Pro Timeshare Resales charged property owners as much as $2,500 or more in advances but it failed to deliver its promises.