Cleo AI FTC Refund, $15.8 Million Going to 2,124,796 Customers – Eligibility, Payment Dates and How to Get Paid

The Federal Trade Commission (FTC) will begin sending 2,124,796 PayPal payments totaling more than $15.8 million on October 27, 2026 to people who paid Cleo AI for eligible instant cash advances. No claim form is required. Eligible people should receive an email from [email protected] between October 8 and October 26, 2026, and must accept the PayPal payment within 30 days.

Official FTC refund page: https://www.ftc.gov/enforcement/refunds/cleo-ai-refunds

Independent publisher notice: AllAboutLawyer.com is an independent legal information website. We are not a law firm, we are not affiliated with the FTC, Cleo AI, Inc. or Rust Consulting, Inc., we do not process refunds, and we will never ask for your bank or login details. This article is general information, not legal advice.

Quick Facts: Cleo AI FTC Refund Program

Item	Details
Official refund website	https://www.ftc.gov/enforcement/refunds/cleo-ai-refunds
Claim form	None. No claim form exists or is required. Payments are automatic.
Amount being distributed	More than $15.8 million
Number of payments	2,124,796 PayPal payments
Amount Cleo AI agreed to pay	$17 million (monetary judgment in the settlement)
Who may qualify	People who paid Cleo AI for eligible instant cash advances
Email notification window	October 8 – October 26, 2026
Official sender email	[email protected]
Payments begin	October 27, 2026, via PayPal
Deadline to accept payment	Within 30 days of receiving the PayPal payment
Individual payment amount	Not published by the FTC
Refund administrator	Rust Consulting, Inc. – 1-877-788-4958
Case	Federal Trade Commission v. Cleo AI, Inc., U.S. District Court for the Southern District of New York (No. 1:25-cv-02594)
Report scams	ReportFraud.ftc.gov

Who Qualifies for the Cleo AI FTC Refund?

The FTC says payments are going to people who paid Cleo AI for eligible instant cash advances. Eligibility is determined by the FTC and its administrator from available company payment records, not from an application you submit.

Likely to be included:

• Customers who paid an extra fee for an “instant” or express cash advance that the FTC treated as eligible.

Not automatically included:

• People who only downloaded the app or opened an account.
• People who only paid a monthly subscription fee. The FTC’s lawsuit raised subscription cancellation allegations, but the refund announcement describes recipients as people who paid for eligible instant cash advances.

If you paid Cleo AI and do not receive an email by October 26, check your spam folder, then contact Rust Consulting at 1-877-788-4958.

How to Get Your Cleo AI Refund (Step by Step)

Step 1: Watch your email (October 8–26, 2026). Look for a message from [email protected]. Check spam and junk folders.

Step 2: Confirm the program on the FTC website. Type ftc.gov into your browser yourself and open the Cleo AI refund page. Do not rely on links in unexpected messages.

Step 3: Watch PayPal from October 27, 2026. Payments are sent to eligible recipients through PayPal. An eligibility email is a notice, not the payment itself.

Step 4: Accept the payment within 30 days. The 30-day window is to accept a payment already sent to you. It is not a claim-filing deadline.

Step 5: Ask for help if needed. Call Rust Consulting, Inc. at 1-877-788-4958 if you believe you qualify but received nothing, or if your email or PayPal details have changed.

Related article: Drakeo the Ruler Estate Live Nation Settlement, What Was Settled, What Wasn’t, and What Happens Next

Cleo AI Refund Scam Warning

Refund programs attract impersonators. The FTC states it never asks you to pay to get a refund. Do not pay anyone who promises a refund for a fee, and do not give personal information to anyone who contacts you promising one.

Treat these as red flags:

• A request for a fee, gift card, wire or crypto payment to “release” your refund.
• A request for your Social Security number, bank password or full card number.
• Threats, pressure to act immediately, or a prize promise.
• A link that leads anywhere other than the official FTC website.

Report suspected scams at ReportFraud.ftc.gov.

How Much Will Each Customer Get?

The FTC has not published a per-person or average payment amount. The totals (more than $15.8 million across 2,124,796 payments) are overall figures, and dividing one by the other should not be treated as a promised payout. Individual amounts depend on the FTC’s refund methodology and each person’s eligible payments.

$17 million vs. $15.8 million: Cleo AI agreed to a $17 million monetary judgment. The FTC is currently distributing more than $15.8 million to consumers. The FTC has not itemized the difference on its refund page, so we do not assign it to any specific cost.

What the FTC Alleged Against Cleo AI

In March 2025, the FTC sued Cleo AI, Inc., an online cash advance company, in federal court in the Southern District of New York and filed a proposed settlement order at the same time. The FTC alleged that Cleo AI:

1. Overstated cash advance amounts. Marketing promised advances of hundreds of dollars (figures such as $250 were cited for some subscription tiers), but the FTC alleged very few customers received anything close. According to the complaint, only about 0.3% of Cleo Plus customers in the period examined received the advertised $250, and most received far less.
2. Misrepresented speed. The FTC alleged customers were promised instant or same-day money, paid an additional express fee, and still sometimes waited multiple days.
3. Made cancellation difficult. The FTC alleged some subscribers could not easily cancel Cleo Plus or Cleo Builder subscriptions, including while an advance balance was outstanding.

These are allegations. Under the stipulated order, Cleo AI did not admit or deny the complaint’s allegations except as stated in the order, so it is inaccurate to say Cleo AI admitted wrongdoing.

Future conduct rules in the order: The proposed order restricts Cleo AI from misrepresenting material terms of its advances and requires clear disclosure of subscription terms, express informed consent before charging, and a simple cancellation method.

Case status note: At the time of writing, the FTC’s case page still lists the matter as “Pending,” and the publicly posted stipulated order does not display a judge’s signature. The FTC’s refund page nonetheless confirms the consumer payment program described above. We will update this article if a signed final order is posted.

Laws Involved in the Cleo AI Case

Section 5(a) of the FTC Act, 15 U.S.C. § 45(a). Prohibits unfair or deceptive acts or practices in or affecting commerce. This is the core consumer-protection statute the FTC relied on for the advertising claims about advance amounts and delivery speed.

Restore Online Shoppers’ Confidence Act (ROSCA), 15 U.S.C. §§ 8401–8405. Covers online negative-option sales, where charges continue unless the consumer acts. Section 3 (15 U.S.C. § 8403) requires, for such offers, clear and conspicuous disclosure of material terms, express informed consent before charging, and a simple way to stop recurring charges. Section 5 (15 U.S.C. § 8404) treats a ROSCA violation as a violation of an FTC rule, which is the route that generally allows the FTC to seek consumer redress.

FTC Act Sections 13(b) and 19, 15 U.S.C. §§ 53(b) and 57b. Section 13(b) authorizes federal court injunctions. In AMG Capital Management, LLC v. FTC (2021), the U.S. Supreme Court held that Section 13(b) does not authorize the FTC to obtain equitable monetary relief such as restitution. Since then, the FTC has relied on other provisions, including Section 19 and ROSCA’s enforcement structure, when seeking money for consumers.

FTC Negative Option Rule (“Click-to-Cancel”), 16 C.F.R. Part 425. The FTC finalized amendments in 2024, but the U.S. Court of Appeals for the Eighth Circuit vacated that rule in July 2025. ROSCA therefore remains a central federal tool for subscription-cancellation problems.

Federal Rule of Civil Procedure 23. Governs private class actions. This matter is an FTC enforcement action, not a private Rule 23 class action, so there is no claim form, opt-out period or objection process.

State consumer-protection laws. Every state has laws against unfair or deceptive practices, and state attorneys general can bring their own actions. An FTC refund does not by itself decide any separate state-law claim you may have.

Opt-Out, Objection and Your Legal Rights

No opt-out or objection process has been announced for this FTC refund program. The FTC’s general refund FAQ states that accepting an FTC refund does not require you to give up rights you may have under federal or state law. Whether you have any additional claim depends on your facts, applicable law and any agreements you accepted with Cleo AI. If you need advice about a specific dispute, consult a licensed attorney.

Attorney Fees and Administration Costs

This is a government enforcement action brought by FTC staff attorneys, not a private class action with a class-counsel fee award. The FTC’s refund page does not itemize administrative costs or explain the gap between the $17 million judgment and the $15.8 million distribution, and we do not speculate on it.

Are Cleo AI Refunds Taxable?

The FTC has not issued tax guidance specific to this program. As a general rule, money returned to you as reimbursement of amounts you previously paid is often not treated as new income, but tax treatment can differ, for example if you previously deducted the fees. Check IRS guidance or ask a qualified tax professional about your situation. PayPal or the administrator may provide reporting information if applicable.

Key Dates

Date	Event
March 27, 2025	FTC files complaint in the Southern District of New York and announces Cleo AI’s agreement to pay $17 million
October 8, 2026	FTC announces the refund distribution of more than $15.8 million
October 8–26, 2026	Eligibility emails sent from [email protected]
October 27, 2026	PayPal payments begin (2,124,796 payments)
Within 30 days of receipt	Deadline to accept your PayPal payment

Frequently Asked Questions

Do I need to file a claim form for the Cleo AI FTC refund?

 No. There is no claim form. Payments are sent automatically to eligible people identified from records.

When will I get my Cleo AI refund? 

PayPal payments begin October 27, 2026. Eligibility emails are sent between October 8 and October 26, 2026.

How much will I receive? 

The FTC has not published an individual or average amount.

Is every Cleo AI user eligible? 

No. The FTC describes recipients as people who paid Cleo AI for eligible instant cash advances. Downloading the app or having an account does not by itself qualify you.

What email address will the FTC use? 

[email protected]. Verify the program through the official FTC refund page rather than clicking links in any message.

I did not get an email. What should I do?

 Check spam and junk folders, then call Rust Consulting, Inc. at 1-877-788-4958.

What if my PayPal account changed? 

Contact the administrator at 1-877-788-4958 to ask how to update your details.

What happens if I do not accept the payment in 30 days? 

The FTC asks recipients to accept the payment within 30 days. The FTC refund page does not say what happens afterward, so contact the administrator promptly if you miss the window.

Did Cleo AI admit it broke the law?

 No. Under the stipulated order, Cleo AI neither admitted nor denied the allegations except as stated in the order.

Is the Cleo AI refund email a scam? 

The FTC has announced that it is notifying eligible people from that address, but scammers imitate real programs. Never pay a fee or share passwords or bank details to receive a refund.

Are some headlines calling it “Clio AI”?

 Yes, some do. The company and the official FTC documents use Cleo AI.

Does the settlement affect current Cleo AI users? 

The order requires clearer disclosures, informed consent for subscriptions and an easy cancellation method going forward.

Is the settlement $17 million or $15.8 million?

 Cleo AI agreed to a $17 million monetary judgment. The FTC is distributing more than $15.8 million to consumers.

Related FTC Refund Coverage on AllAboutLawyer.com

• FTC Refunds Issued in January 2026: $4.5 Million NGL Settlement, $1.5 Billion Amazon Prime Payouts, and More – Who’s Getting Paid?
• FTC Refunds August 2026: Who’s Getting Paid?

Sources

1. Federal Trade Commission, Cleo AI Refunds (October 2026): https://www.ftc.gov/enforcement/refunds/cleo-ai-refunds
2. Federal Trade Commission, press release, “FTC Returns More than $15.8 Million to Consumers Misled by Cash Advance App Company Cleo AI” (October 8, 2026): https://www.ftc.gov/news-events/news/press-releases/2026/10/ftc-returns-more-158-million-consumers-misled-cash-advance-app-company-cleo-ai
3. Federal Trade Commission, case page, Cleo AI, Inc., FTC v.: https://www.ftc.gov/legal-library/browse/cases-proceedings/cleo-ai-inc-ftc-v
4. Federal Trade Commission, press release, “Cash Advance Company Cleo AI Agrees to Pay $17 Million As Result of FTC Lawsuit Charging It Deceives Consumers” (March 27, 2025): https://www.ftc.gov/news-events/news/press-releases/2025/03/cash-advance-company-cleo-ai-agrees-pay-17-million-result-ftc-lawsuit-charging-it-deceives-consumers
5. Complaint, FTC v. Cleo AI, Inc. (S.D.N.Y.): https://www.ftc.gov/system/files/ftc_gov/pdf/Cleo-COMPLAINT.pdf
6. Stipulated Order for Permanent Injunction, Monetary Judgment, and Other Relief: https://www.ftc.gov/system/files/ftc_gov/pdf/cleo_order_-executed-_for_press_release.pdf
7. FTC Refund Programs: Frequently Asked Questions: https://www.ftc.gov/enforcement/cases-proceedings/refunds/refund-programs-frequently-asked-questions
8. 15 U.S.C. § 45 (FTC Act § 5); 15 U.S.C. §§ 53(b), 57b; 15 U.S.C. §§ 8401–8405 (ROSCA): https://uscode.house.gov
9. AMG Capital Management, LLC v. FTC, 593 U.S. 67 (2021)
10. 16 C.F.R. Part 425 (Negative Option Rule)

Disclaimer: This article provides general consumer information, not legal or tax advice. Refund eligibility, amounts and procedures are controlled by the FTC and the refund administrator. Verify current details on the official FTC refund page before acting.