In October 2021, the CFPB penalized the prison financial services company JPay for violating the Consumer Financial Protection Act (CFPA) by charging consumers fees to access their own money on prepaid debit cards that consumers were forced to use. JPay also violated the Electronic Fund Transfer Act (EFTA) when it required consumers to receive their government benefits through a JPay debit card, including their “gate money,” which is money provided under state law to help people meet their essential needs as they are released from incarceration.
As part of the consent order, JPay was required to pay $4 million to the CFPB to be used to provide redress for eligible consumers. The CFPB will begin distributing redress payments to eligible consumers this month. Checks—sent from Epiq Systems—will be mailed to some eligible consumers on December 14, 2022. Other consumers who are eligible for redress may be contacted by Epiq Systems by email with information about how to submit their mailing address so they can be mailed a check.
If you have questions related to the case, you can call (855) 675-3086 or email email@example.com.
About payments to harmed consumers
Obtaining consumer redress is a top priority in any enforcement action, and when the CFPB enforces the law, we or a court may require the person or company to compensate its victims for this harm by providing consumer redress out of its own funds. Learn more about payments to harmed consumers.