Doxo to pay $2.1M in settlement with Federal Trade Commission for allegedly misleading customers

SAN FRANCISCO (KGO) -- Have you used online bill payment platform Doxo?

The company is paying $2.1 million for allegedly misleading thousands of customers and charging unnecessary add-on fees.

The complaint filed to the Federal Trade Commission alleges Doxo of buying search engine ads and disguising itself as the official payment platform for many billing companies --- as customers searched online to pay their utilities, car loans and other bills.

However, the FTC says Doxo did not have a relationship with a majority of them.

According to the complaint, tens of thousands of consumers complained about its practices.

Doxo also allegedly added additional "delivery fees" when customers used the platform, and signed consumers up for a recurring subscription program without clear consent.

Now, Doxo must be clear with any charges, and their affiliation with billers when promoting or offering bill payment services, and lastly, not use the logo or website of a company that could be possibly misleading.

7 On Your Side reached out to Doxo, and in a statement, it told us:

"Doxo's all-in-one bill pay service greatly simplifies one of the most fragmented corners of consumers' financial lives, and many of the rules governing online payments were written for a different era. Expectations are rightly rising, and doxo intends to be at the forefront of meeting them rather than defending long-standing industry norms. The company will continue working cooperatively with the FTC, and its full focus remains on the households and billers that rely on its platform every day."

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