My Credit Guy Class Action Lawsuit Alleges Co. Charged Consumers Before Credit-Repair Services Were Performed

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A proposed class action lawsuit alleges My Credit Guy, L.L.C. has broken the law by failing to include certain required information in its customer contracts and charging consumers before it fully performed the advertised credit-repair services.

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The 38-page complaint was filed by a Waterville, Minnesota, resident who sought out My Credit Guy’s services after his credit score took a hit upon losing out on a contract to buy a home in August 2023. The man claims he was having difficulties getting approved for financing and sought out My Credit Guy to correct any errors in his credit report and “prevent these types of disruptions from happening again,” the filing says.

Although My Credit Guy quoted the plaintiff a fixed price for purported credit-repair services and warranted in the contract that it would not charge the man before the completion of the initial services, the company “immediately proceeded to violate that clause” by charging the consumer $19.99 to obtain his credit report and then $325 for the credit services, apparently before they were performed, the lawsuit alleges.

From there, My Credit Guy, after charging the plaintiff a one-time fixed price of $325, then attempted to charge the man a recurring $100 monthly fee in order to continue the services, the suit claims.

“These amounts and charges were not agreed to in the Contract,” the complaint contests. “While the Payment Authorization form provided My Credit Guy with [the plaintiff’s] debit card information, it did not authorize any further or recurring payments.” 

Late last October, the plaintiff asked My Credit Guy for copies of the dispute letters it claims to have sent on his behalf, but the company refused to provide the documents, the case claims. Days later, the plaintiff informed My Credit Guy via email that he no longer needed the company’s services, yet on that same day the defendant again attempted to charge the man $100, “even though he still had not signed any agreement authorizing such a charge” and told the company he no longer needed it, the lawsuit shares.

Per the complaint, My Credit Guy attempted to charge the plaintiff $100 on at least eight occasions in October and November 2023.

“My Credit Guy’s failure to include the $100 recurring payments required for its services in the Contract was an untrue or misleading representation in the offer or sale of its credit services, and it operated as fraud or deception upon Harris in connection with the offer and sale of such services,” the suit alleges, noting that the plaintiff went so far as to remove money from his checking account for fear that My Credit Guy would try to take more of his money without authorization.

According to the complaint, My Credit Guy’s contract unlawfully failed to include the percentage of customers for whom the company has fully and completely performed the services that it agreed to perform for the plaintiff and illegally included an attempt to get the plaintiff to waive his right to assert certain legal claims.

The case accuses My Credit Guy of violating the federal Credit Repair Organizations Act and Minnesota Credit Services Organization Act.

The lawsuit looks to cover all consumers nationwide who have been charged fees by My Credit Guy for credit services before the company performed such services, have been charged fees for credit services when such fees were not authorized by contract or law, have entered into contracts with My Credit Guy that did not include the total amount for all payments to be made by the consumer, have entered into contracts with My Credit Guy but did not receive all of the promised services after paying the one-time fixed price, or who the defendant attempted to have waive certain rights under law.

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