So, you probably checked your mail recently and found a check sitting there from something called JND Legal Administration. Or maybe you saw a notification about the CFPB Lexington Law settlement and wondered if it was just another elaborate phishing attempt. Honestly, with all the scams floating around, I don’t blame you for being suspicious. But here is the thing: this one is actually real.
The Consumer Financial Protection Bureau (CFPB) hasn’t just been sitting on its hands. They’ve spent years chasing down a massive credit repair operation involving names you definitely know, like Lexington Law and CreditRepair.com. We are talking about a $2.7 billion judgment that basically broke the back of these companies and forced them into bankruptcy.
If you're seeing terms like Class A CPF on your paperwork, you're looking at a distribution from the Civil Penalty Fund. This isn't just "found money." It's money that was taken from people through what the court called illegal upfront fees and deceptive marketing.
The Mess Behind JND Holdings and the CFPB Case
Let’s get into the weeds for a second because the details are kinda wild. Back in 2019, the CFPB sued PGX Holdings, its subsidiaries, and the John C. Heath, Attorney at Law PC firm (which everyone knows as Lexington Law). The government’s beef was simple: these companies were charging people for credit repair before actually doing the work.
Federal law—specifically the Telemarketing Sales Rule (TSR)—is very clear about this. You can't charge a dime for telemarketed credit repair until you provide a report, at least six months after the results are achieved, proving you actually fixed something. Lexington Law didn't do that. They charged fees upfront. They also used what the CFPB called "bait-and-switch" tactics, like fake rent-to-own housing ads, to lure in people who were already struggling with their credit.
By March 2023, a district court judge basically said, "Yeah, you guys definitely broke the law." This ruling sent shockwaves through the industry. PGX Holdings and its related companies filed for Chapter 11 bankruptcy almost immediately after. They laid off about 900 people and shut down 80% of their operations. It was a total collapse.
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What is a "Class A CPF" Payment?
When you see Class A CPF on a check or letter from JND Holdings, it’s a specific designation for the money’s source. CPF stands for the Civil Penalty Fund.
Think of the CPF as a giant bucket of money collected from various companies that broke federal financial laws. When a company like Lexington Law goes bankrupt—meaning they don't have enough cash left to pay back everyone they harmed—the CFPB can dip into this fund to make victims whole.
Because the defendants in this case were "financially insolvent" (legalese for "broke"), the CFPB Governance Board authorized $1.8 billion to be pulled from the Civil Penalty Fund to pay back the 4.3 million customers affected.
- Class A usually refers to the primary group of harmed consumers who paid those illegal fees.
- The Eligibility Window: Most people receiving checks paid for services between March 8, 2016, and August 30, 2023.
- The Distribution: JND Legal Administration started sending out these checks in waves. If you missed the first round in late 2024, many reissued checks were sent out as recently as September 2025.
Why the Amounts Might Seem Random
You might get a check for $50, or it might be for $500. It feels random, but there’s a formula. The payments are calculated on a pro-rata share. Basically, they look at the total "uncompensated harm" (the fees you paid that weren't already refunded) and distribute the available funds proportionally.
It’s rarely 100% of what you lost. But considering these companies were underwater, getting anything back is a win.
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Don't Fall for the Scams
Because this is a multi-billion dollar settlement, the scammers are out in full force. They are literally sharks in the water. You might get a call from someone claiming they can "expedite" your payment if you give them your Social Security number or pay a "processing fee."
Stop. The real JND Holdings and the CFPB will never ask you for money to receive a settlement check. You don't have to pay a fee, you don't have to provide your bank login, and you certainly don't need to buy a gift card to "verify" your identity. If the check is in your hand, you just take it to the bank.
If you have a check that feels "off," look for the official website: cfpb-lexlaw.org. You can also call the dedicated line at 1-855-680-8991.
Actionable Next Steps for Consumers
If you think you’re part of this class but haven't seen a check, here is what you need to do.
First, check your old bank statements. Did you pay monthly fees to Lexington Law or CreditRepair.com between 2016 and 2023? If yes, you are likely an eligible consumer. The CFPB used the companies' own records to identify victims, so you usually don't even have to file a claim form—the check should just show up.
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Second, if you moved recently, your check might be sitting in a dead-letter pile. Reach out to JND Legal Administration via the official portal to update your address. Be prepared to provide some basic identifying info, but again, never your full SSN or bank passwords.
Third, if you have a check, cash it immediately. These checks have expiration dates (often 90 days from issuance). If you let it expire, that money goes back into the fund, and getting it reissued is a bureaucratic nightmare you don't want to deal with.
Finally, keep an eye out for a "secondary distribution." The CFPB sometimes sends a second, smaller check if there’s leftover money from people who never cashed their first one. It’s not a guarantee, but it happens more often than you’d think.
This settlement represents the largest-ever distribution in CFPB history. It's a huge deal for consumer rights. While it won't magically fix a credit score, it's at least a bit of justice for a system that was essentially rigged to take money from the people who could least afford to lose it.