Lexington Law Refund Checks: Who Got Paid and How to Spot Scams

Customers of Lexington Law and CreditRepair.com who paid illegal upfront fees were mailed refund checks from a roughly $1.8 billion CFPB distribution, and no one had to file a claim to get one. The checks were real. Scammers copied the news almost immediately, though, so it pays to verify a check before you cash it or answer anyone who calls about it.

The sources below are CFPB pages from December 2024, and the agency flags them as archived. Treat them as a record of what happened, and confirm anything current with the payment administrator.

Why the CFPB sent the checks

The checks came from a Consumer Financial Protection Bureau enforcement case against Lexington Law, CreditRepair.com and their parent companies. According to the CFPB's announcement, the companies charged illegal advance fees and allegedly used bait-and-switch advertising.

The advance-fee point is the heart of the case. Under the Telemarketing Sales Rule, a credit-repair company that sells by phone cannot collect a fee until it shows documentation that the promised results were achieved, and the results must have been in place for at least six months. In August 2023 a federal district court ruled that the companies violated that ban. The companies were ordered to pay $2.7 billion in redress and civil penalties, and they then filed for Chapter 11 bankruptcy, shutting down about 80 percent of their operations, including their telemarketing call centers.

If you want the consumer-side picture of the company itself, our (/lexington-law-reviews/) covers pricing, complaints and results.

Who got paid and how much

Eligibility

The CFPB identified eligible people from the companies' own records. In its (https://www.consumerfinance.gov/archive/blog/creditrepaircom-and-lexington-law-refund-checks-what-you-need-to-know/), it says plainly: "You do not need to take action to receive a check." The people covered were customers who were charged illegal upfront fees or who were affected by the allegedly deceptive advertising.

The numbers

The CFPB describes the payout as the largest distribution ever made from its victims relief fund. About $1.8 billion went to about 4.3 million people. The state-by-state table in the CFPB guide adds up to $1,849,480,214 across 4,313,921 consumers.

The agency did not publish one standard amount. Each payment was a pro-rata share of the fees that person paid, and the CFPB warns it "may not cover all of the fees you paid." So your check could be smaller than what you spent.

The timeline

Checks were mailed between December 5, 2024 and January 6, 2025. Replacement checks have gone out in scheduled runs about once every two months, starting in mid-February 2025. If money was left over after the first round, the CFPB says additional checks may go to people who cashed their first one.

How to tell a real check from a scam

Start with one fact from the CFPB: it never asks you to provide money and never charges a fee to cash or receive a check. Anyone who says otherwise is not part of this process.

The CFPB lists these as signs of a scam:

• Someone says they can "help" you get a check, money or a gift card.
• Someone asks for your bank account details, Social Security number, date of birth or card number.
• You are told to send money or gift cards before or after cashing a check.
• Someone offers to speed up the mailing for a fee.

The FTC's (https://consumer.ftc.gov/articles/refund-and-recovery-scams) adds two warnings that fit this case. First, legitimate agencies and organizations never charge a "retainer," "processing" or "administrative" fee to help you get a refund. Second, never deposit a check that is for more than you were owed. The classic version says there was a mistake and asks you to wire back the difference. A bank can take weeks to discover a fake check, and you are the one who has to repay the bank in the meantime. Payment by cash, gift card, cryptocurrency, wire transfer or payment app is another reliable sign of a scammer.

When someone contacts you about a check, do not use the phone number or link they give you. Look up the administrator's details yourself on the (https://www.consumerfinance.gov/enforcement/payments-harmed-consumers/payments-by-case/lexlaw/) and call from there. If you are targeted, report it at ReportFraud.ftc.gov and to your state attorney general. For a broader checklist, see our guide to (/credit-repair-scam-red-flags-ftc-warns-about/).

Cashing the check and taxes

You can deposit the check at a bank where you have an account, by app, at a teller or at an ATM. If you do not have a bank account, the CFPB says you can cash it for no fee at any domestic Wells Fargo branch with a valid ID that matches the name on the check. Check-cashing stores and retailers also work, but they charge fees.

On taxes, the CFPB says the check is considered a refund of payments you made, so it is unlikely to be taxable. It recommends checking with a tax advisor about your own situation. The CFPB guide does not state a cashing deadline, so if a check looks old, ask the administrator rather than guessing.

What to do if you did not get a check

Claims are not being accepted in this case. The (https://www.consumerfinance.gov/enforcement/payments-harmed-consumers/payments-by-case/lexlaw/) says victims were already identified and contacted, so a form or "claim service" you find online is not the official route.

If you believe you were eligible and never received a check, or you lost it or it expired, contact the administrator the CFPB hired, JND Legal Administration:

• Website: cfpb-lexlaw.org
• Phone: 855-680-8991 (TTY 855-680-6810)
• Email: info@cfpb-lexlaw.org
• Mail: Lexington Law Matter, c/o JND Legal Administration, P.O. Box 91015, Seattle, WA 98111

A reissue request needs your unique ID, your name and your current address. If you mail it, send copies only, never originals. If the check was made out to someone who has died, the sole beneficiary or the executor of the estate can request a reissue with the required documents. You can also file a complaint with the CFPB at (855) 411-2372.

If you hire a credit-repair company in the future

This case gives you a simple test for any company you consider. Under the Credit Repair Organizations Act (CROA), a credit-repair company cannot charge you before it has performed the services, must give you a written contract, and must give you three business days to cancel. If a company asks for money up front, that's your answer. Our guide to how to (/cancel-credit-repair-contract-refund-croa/) walks through the steps, and the (/lexington-law-alternatives-free-diy-route/) article covers other options, including a free do-it-yourself route.

When you are ready to compare companies, (/#top-companies).

Frequently Asked Questions

Do I need to file a claim for a Lexington Law refund check?

No. The CFPB identified eligible customers from company records and says no action was needed to receive a check. Claims are not being accepted in this matter, so anyone offering to file one for you is not working with the administrator.

How much was each Lexington Law refund check worth?

The CFPB did not publish a single amount. Each payment was a pro-rata share of the fees a customer paid, and it may not cover everything paid. The total distribution was about $1.8 billion to about 4.3 million people.

Who do I contact about a lost or missing check?

The administrator, JND Legal Administration, handles check questions and reissue requests through cfpb-lexlaw.org, by phone at 855-680-8991 or by email at info@cfpb-lexlaw.org. Look the contact up yourself on the CFPB case page.

Do I have to pay to cash the check?

No. The CFPB says it never asks you for money and never charges a fee to cash or receive a check. Without a bank account, a domestic Wells Fargo branch will cash it free with matching ID.

Are the refund checks taxable?

The CFPB says the check is a refund of fees you paid, so it is unlikely to be taxable, and recommends asking a tax advisor about your situation.