Fast cash for a monthly fee with Brigit app? Not so fast

Image

Paying a monthly membership fee to get instant cash advances of up to $250 with no hidden fees might sound like a great idea. But what if most people who enroll don’t get anything close to $250, get stuck with a hard-to-cancel membership, and are charged hidden fees? That’s deceptive, according to an FTC lawsuit and settlement with Bridge It, Inc. — a personal finance app also known as Brigit.

Using ads on Facebook, Instagram, YouTube, and other social media sites, the company promised that people who enrolled in Brigit’s “Plus” membership could get up to $250 whenever they needed it. But the FTC says the promise of money melted away after people signed up, gave their bank account numbers, and agreed to let Brigit automatically debit their accounts $9.99 a month. In fact, Brigit denied some people any cash advance, says the FTC, and many couldn’t get the amount they were seeking. Only about one percent of customers got the $250 shown in the ads. And if you tried to cancel your membership, the FTC says, you ran into a confusing process designed to stop you from cancelling and to keep you paying.

All of the above? It’s illegal. The law says businesses have to make it easy for you to cancel automatically billed paid subscriptions. What do you do if a business charges you without your consent, and if the company won’t refund your money? Dispute the charge right away with your credit or debit card company. Ask for your money back. And if you think a business isn’t following the law, report it at ReportFraud.ftc.gov.