WASHINGTON — The Federal Trade Commission has petitioned and received from the U.S. District Court for the Central District of California a temporary restraining order and asset freeze against four companies and two individuals in the prepaid card business.
The agency charged the companies have been debiting consumers checking and other accounts without notice and or permission in connection with their cards. Among the debits the agency charged had taken place included $159 application fee.
The agency also charged that the Web sites the companies used to market the cards said thing like "no annual fee" and failed to disclose the $159 fee. All the cards which the agency said were involved in the alleged wrongdoing carried the Visa or MasterCard brand.
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