-U.S. FTC: FTC settlement with General Electric Capital Corp.

0 Comments | M2 Presswire, August, 1998

M2 PRESSWIRE-10 August 1998-U.S. FTC: FTC settlement with General Electric Capital Corp. (C)1994-98 M2 COMMUNICATIONS LTD RDATE:070898 * Will safeguard $60 million in redress to consumers -- 50-state settlement resolves charges over collection of "reaffirmed debts" from consumers in bankruptcy A settlement agreement that the Federal Trade Commission has negotiated with General Electric Capital Corporation and its wholly-owned subsidiary, Montgomery Ward Credit Corporation (collectively, "GE Capital"), would ensure that GE Capital makes full refunds totaling at least $60 million to consumers who faced illegal collection.

According to the FTC, GE Capital regularly sought out consumers who filed for bankruptcy protection to persuade them to "reaffirm" credit account...