Attorney General Daniel Cameron | Attorney General Daniel Cameron official photo
Attorney General Daniel Cameron | Attorney General Daniel Cameron official photo
FRANKFORT, Ky. – Attorney General Daniel Cameron and a coalition of 50 attorneys general announced a $10 million settlement with ACI Worldwide. Kentucky will receive $72,878.07 from the settlement. In 2021, an error by ACI Worldwide attempted unauthorized withdrawal of $2.3 billion from mortgage-holders.
“With white-hot inflation squeezing family budgets, every dollar matters,” said Attorney General Cameron. “This payment processor’s reckless error jeopardized thousands of Kentuckians’ finances. I appreciate our coalition righting this wrong.”
A subsidiary of ACI Worldwide is a payment processor for a variety of third-party clients, including mortgage servicers. While testing a new platform in 2021, the subsidiary erroneously submitted live consumer data into the system. This resulted in an automated attempt to withdraw mortgage payments from hundreds of thousands of customers.
1.4 million transactions totaling $2.3 billion were processed, impacting 477,000 customers. Some consumers could not access the funds in question, leading to overdrafts or insufficient funds fees.
Kentuckians who wish to submit claim forms for the related class action settlement must do so by November 13, 2023. More information on the class action settlement is available here.
Original source can be found here.
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