Cash4Gold is facing a class action lawsuit alleging that the company makes false claims and defrauds their customers of the real value of the gold jewelry they send to the company for cash.
Specifically, Cash4Gold and its parent company Green Bullion Financial Services, claim to have an ironclad 12-day return policy, however the suit alleges that they often melt the gold they get before the period has elapsed.
The lawsuit further alleges that Cash4Gold often claims that the US Postal Service 'loses' jewelry. "Once the customer sends the jewelry, the company takes it either by 'losing it or by providing low appraisal rate the customer has no choice but to accept due to the expiration of the return period," states the complaint. "In each case the company wins, the customers loses."
The class demands punitive damages for consumer fraud, false and misleading statements and false advertising.