Consumer watchdog agency sues two large credit-repair firms, alleging unlawful fees and deceptive practices

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Consumer watchdog agency sues two large credit-repair firms, alleging unlawful fees and deceptive practices
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Consumer watchdog agency sues two large credit-repair firms over unlawful fees, deceptive practices

The complaint alleges that both Lexington Law and CreditRepair.com relied on a shared network of marketing affiliates that used deceptive tactics to get consumers to enroll in their services.

The bureau is seeking to stop the upfront fees, end deceptive representations used through marketing the services and obtain relief for harmed consumers, the complaint states. The lawsuit says that at the time of enrollment with Lexington Law or CreditRepair.com, consumers are charged a fee for a copy of their credit report and told that the fee — which has ranged from $9.99 to $14.99 since July 2011 — is required to begin the credit-repair process, the complaint says. Ongoing monthly fees range from $79.95 to $129.95.

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