(COLUMBUS, Ohio) — Ohio Attorney General Andy Wilson today announced a $183.5 million multistate settlement with Acima Digital and its parent company, Acima Holdings, resolving allegations that the lease-to-own company misled consumers about the terms and costs of its rental-purchase agreements.
The settlement, which encompasses 43 states, includes $43 million in consumer restitution, $10.5 million in payments to participating states and $130 million in reductions in lease balances.
"Ohioans deserve to know exactly what they're paying for and what they're agreeing to," Wilson said. “Companies cannot use misleading advertising or hidden costs to take advantage of consumers.”
Ohio consumers will receive:
- Nearly $5 million in lease forgiveness across more than 4,000 leases.
- More than $900,000 in restitution for 3,000+ consumers.
Acima partners with retailers to offer rent-to-own agreements for merchandise. The state attorneys general alleged that Acima advertised its agreements as a 90-day payoff program without clearly disclosing that consumers could automatically be enrolled in agreements lasting up to 12 months, potentially paying twice the advertised cash price.
The states also alleged that Acima used misleading terms such as “credit,” obscured agreement terms during electronic signing, and made it difficult for consumers to return merchandise and end their agreements.
Under the settlement, the company must clearly disclose agreement terms; stop marking up retailers' cash prices; make it easier for consumers to return merchandise; and comply with requirements for deliveries, damaged merchandise and repairs. Acima also cannot report rental-purchase agreements to the three major credit reporting agencies for five years.
Eligible consumers need not take any action. Those eligible for restitution will be contacted by the settlement administrator, and consumers eligible for lease forgiveness will be contacted by Acima.
MEDIA CONTACT:
Hannah Hundley: 614-906-9113
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