Allegations Against Credit One Bank
Credit One Bank, a well-known credit card issuer catering primarily to subprime borrowers, is at the center of multiple class action lawsuits that allege widespread misconduct. Consumers have accused the bank of misleading practices including excessive fees, inaccurate loan reporting, unreasonably high interest rates, and a lack of transparency in handling customer complaints.
Alongside financial misconduct allegations, the bank also faced legal action for violating the Telephone Consumer Protection Act (TCPA). The core of this complaint stems from the use of unauthorized robocalls and automated debt-collection calls to consumers’ mobile phones—actions that reportedly continued even after requests to stop.
These combined legal challenges have resulted in a significant class action settlement now being disbursed.
Credit One Bank TCPA Settlement Details
One of the key outcomes of the lawsuits is the Credit One Bank TCPA settlement, a $14 million fund established to resolve claims from consumers who received robocalls without their express consent.
This settlement covers calls made between 2014 and 2019 by Credit One Bank or its third-party debt collectors using auto-dialing systems or prerecorded messages. Consumers who were contacted during this period and did not give prior express consent may be eligible for compensation.
Early estimates suggest individual payouts could range from $100 to over $2,000 depending on the number of valid claims submitted. The bank has not admitted wrongdoing but agreed to the settlement to resolve the matter without further litigation.
Additional Settlement for Financial Misconduct
In a separate but related case, Credit One Bank has also proposed another settlement—this time aimed at consumers who suffered financial harm due to deceptive or inaccurate reporting and unfair fee structures.
This portion of the settlement provides up to $1,000 in compensation to eligible individuals who can show documentation of losses such as unexplained charges, inflated interest rates, or credit reporting errors. This class action highlights long-standing concerns about transparency in the credit card industry, particularly for vulnerable consumers with limited credit access.
So Who Is Eligible?
TCPA Settlement Eligibility:
You received one or more robocalls or prerecorded calls from Credit One Bank or affiliated collectors between 2014 and 2019.
The calls were placed to your mobile phone without prior express consent.
You may have received a notice by mail, but eligibility is not limited to those who received a notification.
Financial Harm Settlement Eligibility:
You held a Credit One Bank account during the period in question.
You experienced financial harm such as excessive fees, high interest rates, or inaccurate reporting.
You can provide supporting documentation (e.g., account statements, credit reports, complaint correspondence).
Both personal and business account holders may qualify, provided they meet the requirements.
How to File a Claim
Eligible individuals must submit a formal claim. Filing is not automatic. The general process includes:
Visit the official Credit One Bank settlement website.
Select the appropriate category: TCPA robocall claims or financial misconduct claims.
Provide your personal details and documentation (such as a Claim ID, if applicable).
Submit your claim before the deadline, which typically falls within 60 to 90 days of notice issuance.
Choose a preferred method of payment—check, direct deposit, or PayPal.
Failure to file within the designated timeframe will result in forfeiture of compensation. Individuals may also opt out or object to the terms, but must follow specific procedures outlined in the settlement notice.
When Can You Expect The Payout and Court Pending?
The TCPA-related payments are expected to be disbursed as early as June 2025, pending final court approval. Claims related to financial misconduct may take longer, as they require detailed documentation review.
Claimants are encouraged to monitor the official settlement website and check for updates regarding deadlines, payment processing, and status verification.
The Credit One Bank class action settlement underscores the importance of consumer protection and accountability in the banking sector. Whether you were affected by unlawful robocalls or experienced financial harm due to unfair practices, this is an opportunity to seek compensation.
This case also reaffirms the role of the Telephone Consumer Protection Act (TCPA) and similar regulations in safeguarding consumers from corporate overreach. If you believe you qualify for compensation under either aspect of the settlement, act promptly to confirm your eligibility and file a valid claim.
