Family Dollar to pay $63 million to settle allegations that it routinely overcharged customers

(AP) Family Dollar will pay $63 million to settle state and federal allegations that it routinely charged customers more at the register than the prices displayed on its shelves or on its website and mobile app.

The Federal Trade Commission and 17 states filed federal charges against the company Thursday and announced the proposed settlement the same day. The settlement must still be approved by a federal judge.

According to the FTC’s complaint, consumers from across the country have been reporting price discrepancies at Family Dollar for years. Under the settlement, Family Dollar would establish a $40 million consumer redress fund as well as a $20 million discount program for its customers. Family Dollar has more than 8,000 U.S. discount stores.

(IMAGE: Property of Pexels / Polina Tankllevitch)