Millions owed to Publishers Clearing House customers after agreement with FTC: 'Misleading claims'

The Federal Trade Commission (FTC) announced Wednesday that Publishers Clearing House (PCH) has agreed to send $18.5 million in payments to customers "harmed by misleading claims made" by the company known for its sweepstakes promotion and prize patrol delivery to winners.

You could be among thousands of people due a refund from the company. If you are part of the settlement, the checks are on the way, but don't expect the Prize Patrol to pull up to your front door with the check and balloons. The FTC says they'll likely be delivered through the US Postal Service.

How we got here

The refunds stem from an FTC lawsuit and settlement involving allegations that Publishers Clearing House (PCH) targeted older and lower-income people. The FTC says the company deceived them into thinking that they could not enter into the sweepstakes without purchasing a product or that their chances of winning would be "increased" by purchasing products.

PCH was also accused of misleading consumers by sending emails with 'deceptive' subject lines-- that led recipients to believe the email was related to official documents, such as tax forms.
The lawsuit also claimed PCH added deceptive shipping and handling fees.

Settlement check is in the mail

The FTC is now sending checks to nearly 282,000 people who ordered from Publishers Clearing House after receiving and clicking on one of the emails.
Consumers are urged to cash their checks within 90 days of issue.

In addition to paying the $18.5 million settlement, Publishers Clearing House has agreed to significant changes in how it operates online. This includes clearer disclosures about sweepstakes rules, order terms, and refund policies.

A representative for PCH said that while they disagreed with the FTC's assertions at the time of the settlement agreement, they were glad to resolve the matter and move forward.

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