The Federal Trade Commission announced on Wednesday that Publishers Clearing House has agreed to send $18.5 million in payments to customers "harmed by misleading claims made" by PCH.
The company, known for its sweepstakes, filed for bankruptcy earlier this year. PCH aired commercials featuring sweepstakes winners receiving giant checks delivered to their homes along with flowers and champagne.
The FTC stated that PCH targeted older and lower-income consumers by "deceiving them into thinking either that consumers could not enter into sweepstakes without purchasing a product or that their chances of winning would be increased by purchasing products."
RELATED STORY | Trump says he'll name Andrew Ferguson head of Federal Trade Commission
The FTC indicated that it is sending checks to 281,724 affected PCH consumers, and refunds will be automatically sent to these consumers in the next 90 days.
Those with questions regarding the refunds can contact Rust Consulting at 888-516-0774 or by email at info@PCHRefunds.com.
PCH stated that it intends to continue awarding sweepstakes amid its bankruptcy. The company mentioned that it recently awarded someone $50,000 and will continue to provide weekly $10,000 awards.
PCH is shifting away from its direct mail, retail merchandise, and magazine subscription campaigns to focus on a purely digital advertising business.
