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Violation Tracker Individual Record

Company: Tempoe LLC
Penalty: $35,649,417
Year: 2023
Date: September 11, 2023
Offense Group: consumer-protection-related offenses
Primary Offense: consumer protection violation
Violation Description: A multistate investigation, which included 41 attorneys general, concluded that Tempoe often misled consumers into believing they were buying products or services through an installment plan or buy now, pay later arrangement when they were in fact merely leasing them. The complicated, confusing structure of the agreements, along with a lack of required disclosures, often led to consumers paying 200%-300% of the purchase price of the product or service. Through this settlement, Tempoe is permanently banned from engaging in future consumer leasing activities. All existing leases will be canceled, and consumers will be able to keep the leased merchandise in their possession without owing any additional payments. This amounts to approximately $33 million of in-kind financial relief nationally to consumers, plus $1 million each to state attorneys general and the Consumer Financial Protection Bureau, which also announced the resolution (see separate entry).
Level of Government: state
Action Type: agency action
Agency: Multistate Attorneys General Case
Civil or Criminal Case: civil
Source of Data: (click here)
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Current parent company note: Parent-subsidiary relationship is current as of the most recent revision listed in the Update Log.