If you financed a purchase from a merchant that used Momnt, and that merchant failed to deliver what you paid for — or has gone out of business entirely — you’re probably wondering why you’re still stuck making monthly payments on a loan for something you never received. You’re not alone, and you may have legal options.
What is Momnt?
Momnt is a financial technology company based in Atlanta, Georgia. It operates as a platform that connects consumers with lenders to finance purchases from participating merchants. Momnt doesn’t lend the money itself — instead, it acts as the middleman between you, the merchant, and a bank or other financial institution that actually funds the loan.
The way it typically works is this: you go to a merchant for a service — maybe a home improvement project, a medical procedure, or some other big-ticket purchase. The merchant offers you financing through Momnt. You apply, get approved, and sign a loan agreement. Momnt’s platform processes the application and connects you with a lender, and the lender sends the money directly to the merchant. Then you make monthly payments to the lender.
The problem? If that merchant disappears, goes bankrupt, or simply never delivers what they promised, Momnt claims that you’re still on the hook for the loan. The lender doesn’t care that you never got what you paid for. They just want their money. And that’s where a lot of consumers are finding themselves right now.
What kinds of problems are consumers having?
We’ve been hearing from consumers who financed purchases through Momnt’s platform and then ran into serious problems with the merchants they were dealing with. Some of the issues include:
- The merchant never delivered the product or performed the services. You signed up and got a loan, but the merchant never actually did the work or gave you what you paid for.
- The merchant went out of business or filed for bankruptcy. The company you hired is gone, but your loan payments keep coming due every month.
- The work was defective or incomplete. Maybe the merchant showed up and did some work, but it was shoddy, incomplete, or not what was promised. Now you’re paying full price for a half-done job.
- The merchant won’t respond to your complaints. You’ve tried to resolve things directly, but the merchant is ignoring you, stalling, or refusing to make it right.
If any of this sounds familiar, you may have legal options — not just against the merchant, but potentially against the lender and the financing platform as well. Click here to fill out our short questionnaire below for a free case review.
Why should I have to keep paying for something I never received?
The short answer is: you shouldn’t have to. Federal law provides protections for consumers who are stuck in exactly this kind of situation.
Under the Federal Trade Commission’s Holder Rule, if a merchant that sold you goods or services arranged financing for you as part of the transaction, the lender may be subject to the same legal claims and defenses that you would have against the merchant. In plain English, that means if the merchant ripped you off, the company collecting your loan payments can’t just wash their hands of it. The whole reason the Federal Trade Commission created this rule is that lenders and financing platforms are in a much better position than you, a regular consumer, to vet the merchants they work with and make sure they’re actually doing what they’re supposed to do. If they choose to partner with bad merchants, the consequences shouldn’t fall entirely on the consumer.
How can Kneupper & Covey help?
Our firm is investigating claims on behalf of consumers who financed purchases through Momnt’s platform and experienced problems with the merchants they dealt with. We want to hear from you if:
- You took out a loan through Momnt and the merchant failed to deliver what was promised.
- The merchant you worked with has closed, gone bankrupt, or is no longer reachable.
- You’re still making loan payments for products or services you never received or that were defective.
- You’ve tried to resolve the situation with the merchant or with Momnt and haven’t gotten anywhere.
We represent consumers on a contingency basis, which means you don’t pay us anything unless we recover money for you. We’ll evaluate your situation for free and let you know if we think we can help.
What should I do next?
If you’re dealing with a situation like the ones described above, we’d like to hear from you. Fill out our short questionnaire below and one of our attorneys will review your information. You can also call us at 657-845-3100 for a free consultation.
The sooner you reach out, the better. There are time limits on legal claims, and the longer you wait, the harder it can be to recover what you’re owed. Don’t keep paying for something you never got without at least exploring your options.
Disclaimer: This post is for informational purposes only and does not constitute legal advice or create an attorney-client relationship. Every case is different, and results depend on the specific facts of your situation. Contact us for a free evaluation to discuss your individual circumstances.