Brigit personal finance app to pay $18 million in US FTC settlement

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N.S. flood victim surprised by apartment makeover | SaltWireNEW YORK - Brigit, which operates a personal finance app, agreed to pay $18 million to settle U.S. regulatory charges it falsely promised instant cash advances of up to $250 to consumers who live paycheck to paycheck, and locked them into $9.99 per month memberships that were hard to cancel.

It calls for New York-based Brigit, also known as Bridge It, to stop its alleged deceptive marketing, improve its disclosures and make it easy to cancel. The $18 million would go toward refunds for consumers. The FTC claims"go against everything we have worked so hard to build on behalf of our customers," the spokesman said.

According to the FTC, just 1% of consumers who paid monthly fees for Brigit's"Plus" memberships could obtain $250 cash advances, and 20% were denied advances entirely, despite being told they could get money"when they need it."

 

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