Despite Brigit’s promises that advances would be available with “free instant transfers,” the complaint notes that the company began charging consumers a 99-cent fee for an instant transfer. Consumers who did not pay the fee had to wait up to three business days for their advances. In addition, the complaint charges that while Brigit claimed to offer “non-recourse” advances with no fees or interest, the company prevented consumers who had an open advance from canceling their subscription and continued to withdraw $9.99 monthly from their bank account until the advance was paid off.

The proposed settlement order, which must be approved by a federal judge before it can go into effect, would require Brigit to pay $18 million to the FTC to be used to provide refunds to consumers. In addition, the order would prohibit Brigit from misleading consumers about how much money is available through their advances, how fast the money would be available, any fees associated with delivery, and consumers’ ability to cancel their service. The order would also require the company to make clear disclosures about its subscription products and provide a simple mechanism for consumers to cancel.

“Brigit trapped those consumers least able to afford it into monthly membership plans they struggled to escape from,” said Sam Levine, Director of the FTC’s Bureau of Consumer Protection. “Companies that offer cash advances and other alternative financial products have to play by the same rules as other businesses or face potential action by the FTC.”

The Commission voted to authorize the staff to file the complaint and the stipulated final order was 3-0. The FTC filed the complaint and final order in the U.S. District Court for the Southern District of New York.

Overall, the FTC’s action against Brigit serves as a reminder to companies offering alternative financial products to be transparent and truthful in their marketing promises and to provide clear mechanisms for consumers to cancel their services.

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In the Cash Management industry, Writer Safeguard – the Cash Management Business of Writer Corporation, has been providing comprehensive cash services including ATM cash replenishment and retail cash pick-up services to corporate clients in India since 2001. Writer Safeguard has a network of close to 40,000 touchpoints including ATMs and Retail spanning 25 states across 1,500 locations serviced by a workforce of over 10,000 people.

The acquisition will transform Hitachi Payments’ market standing by integrating the cash management business into its overall service offerings, positioning it as a one-stop payments and commerce solutions provider. It will enable Hitachi Payments to provide comprehensive ATM services to financial institutions, while on the merchant side, it would complement Hitachi Payments’ digital offerings. By offering a unified and single platform for all merchant-related payment and commerce needs, the acquisition will further strengthen Hitachi Payments’ value proposition to merchants and serve as a catalyst in accelerating digital adoption.

Tatsuro Ueda, Vice President and Executive Officer, CEO of the Financial Institutions Business Unit, Hitachi, Ltd. said “As the movement of digitalization accelerates globally, Hitachi is committed to providing future-ready solutions that effectively meet the varied needs of our customers especially in India, where digitalization is progressing rapidly in rural areas. This acquisition will enable us to expand our service offerings and further strengthen our position in the Indian market. Specifically for the merchant ecosystem, we will be able to provide a distinctive value proposition and further drive digital acceptance by becoming a one-stop solution provider, catering to the diverse needs of merchants.”

Sumil Vikamsey, Managing Director & Chief Executive Officer – of Cash Business, Hitachi Payment Services, said “The acquisition of the Cash Management Business of Writer Corporation will complement Hitachi Payments’ vision of becoming a leading payments and commerce solutions provider, offering holistic, reliable and cost-effective solutions across the payments value chain. In line with our overall strategy, the deal creates opportunities for us to broaden our service offerings and provides us a unique position to drive growth and innovation in the Indian payments landscape.”

Dayle de Souza, Managing Director, of Writer Business Services, said “Over the last two decades, Writer Corporation has created a rich legacy in the Cash Management Business through pioneering technologies, operational efficiencies, and superior risk management practices. As one of the founding members of the Cash Logistics Association, the company has played a pivotal role in bringing global standards to the Cash Management industry in India. We are confident that the transfer to Hitachi Payments will bring new possibilities for this business. We will continue to retain and grow the ATM Managed Services business as a part of the overall service portfolio to our corporate clients.”

Hitachi Payments is a pioneer in the payment industry in India, offering a comprehensive range of payment solutions including ATM Services, Cash Recycling Machines, White Label ATMs, POS Solutions, Toll & Transit Solutions, Payment Gateway Solutions, and innovative offerings such as SoftPOS, POS Value Added Services, and next-gen mobile based merchant platform enabling end-to-end services. The company is committed to delivering exceptional customer experiences and driving financial inclusion across India.

Completion of the acquisition is subject to customary closing conditions.

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