Publishers Clearing House is known for giving money away in sweepstakes and other contests. Now it’s offering a different kind of payout — a refund for customers who may have been deceived by the direct marketing company.
The Federal Trade Commission said Wednesday that the agency has mailed checks totaling over $18 million to nearly 282,000 PCH consumers who the FTC says were misled by the Jericho, New York, company’s “deceptive and unfair” practices.
Specifically, regulators alleged in a 2023 lawsuit that PCH used “dark patterns” to trick customers into thinking they had to make a purchase to enter the sweepstakes, or increase their odds of winning. The FTC also said PCH sent emails to people with deceptive subject lines suggesting they were related to official government documents, like tax forms.
Christopher Irvin, vice president of consumer and legal affairs at PCH, noted in a statement to CBS MoneyWatch that, while refund checks are going out now, the FTC’s complaint and settlement are from two years ago.
“While we disagreed with the FTC’s assertions at the time, we were glad to have resolved the matter and move forward continuing to do what we do best — provide consumers fun entertainment and games powered by our famous chance to win,” he said.
In a 2023 consumer alert after the lawsuit was announced, the FTC reminded Americans that it is illegal for a company to tell people they are required to pay to enter a sweepstakes contest.
Only PCH customers who clicked on one of the allegedly misleading emails and ordered a product are eligible for a refund, the FTC said. Anyone with questions about the refund can visit ftc.gov/PCH or call the refund administrator at 1-888-516-0774.
Mary Cunningham is a reporter for CBS MoneyWatch. Before joining the business and finance vertical, she worked at “60 Minutes,” CBSNews.com and CBS News 24/7 as part of the CBS News Associate Program.
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