Are you owed money from the FTC’s $3.3M student loan scam settlement?

(NEXSTAR) – Earlier this week the Federal Trade Commission (FTC) announced that $3.3 million will go to tens of thousands of victims of a student loan debt relief scheme.

The FTC said troubled Arete Financial Group claimed to be affiliated with the U.S. Dept. of Education to dupe people desperate to rid themselves of monthly student loan payments.

Arete promised to reduce or eliminate the interest charges if borrowers sent them payments upfront, but “the scammers pocketed customers’ payments and never provided the promised relief,” the FTC said.

Arete Financial was one of several companies who launched publicity campaigns including radio, television, online ads and telemarketing calls promising loan forgiveness, consolidation and repayment, the FTC alleged in 2019.

The FTC said despite the promises Arete Financial “regularly failed to reduce or eliminate consumers’ loan balances or monthly payments.”

What we know about the payments

Checks to the 37,844 people who the FTC says were ripped off by Arete started going out on Thursday, FTC spokesperson Nicole Drayton told Nexstar.

The average check amount is $88, but the size of the payment is based on how much the recipient paid Arete.

If you’re wondering whether or not you’ll receive a payment, the FTC recommends calling a refund administrator at (855) 678-0558.

If you don’t immediately see a payment don’t worry, it may take several weeks for the checks to be delivered, Drayton said.

Once the check arrives, the FTC recommends cashing it within 90 days.

Have a question about FTC refund payments? See the Commission’s website.