Westlake Financial $1.2M Convenience Fees Settlement

Individuals who paid a convenience fee to ACI Payments Inc. when making a payment on their Westlake Financial Services account between June 20, 2022, and Aug. 18, 2025, may be eligible to claim a cash payment from a class action settlement.

Westlake Services LLC, doing business as Westlake Financial Services, agreed to pay $1.2 million to settle a class action lawsuit alleging it improperly charged borrowers fees when they made payments on their accounts through ACI Payments Inc.

Who can file a claim?

Class members must meet all of the following criteria:

• They are a natural person (not a business or other entity).
• They had a retail installment contract assigned to Westlake.
• They paid a convenience fee to ACI Payments Inc. in connection with a payment made on a Westlake account between June 20, 2022, and Aug. 18, 2025.
• They made the payment on the due date, after the due date or when the due date was unknown, according to Westlake’s records.

The settlement administrator is using Westlake’s records to identify eligible class members. If an individual received a notice about this settlement, it is because Westlake’s records indicate they may be included and eligible for a payment.

How much can class members receive?

The total settlement fund is $1,200,000. After deducting administrative costs, attorneys’ fees and expenses, and a service award to the class representative, the settlement administrator will distribute the remaining amount, called the net settlement fund, equally among all class members who submit valid claims.

The exact amount each claimant will receive depends on the number of valid claims submitted.

If there are funds remaining after the first round of payments and it is economically feasible, the settlement administrator will conduct a secondary distribution in the same manner as the initial payment,.

How to claim a class action payout

Class members can complete the online claim form or download, print, complete and mail the PDF claim form to the settlement administrator. The claim deadline is May 18, 2026.

Settlement administrator's mailing address: Westlake Settlement Administrator, P.O. Box 25226, Santa Ana, CA 92799

Required proof and documentation

• All class members must provide their contact information and any alternate names associated with their Westlake account.
• To file an online claim, class members must log in with the unique ID and PIN located on the settlement notice they received. Those who are unable to locate their ID and PIN should contact the settlement administrator by emailing info@KlareFeeSettlement.com or calling 833-417-4970 and providing their full name and mailing address.

Payout options

• Westlake account credit
• Direct deposit
• PayPal
• Venmo
• Zelle
• Paper check

$1.2 million settlement fund breakdown

The $1,200,000 settlement fund covers:

• Settlement administration costs: To be determined
• Attorneys' fees: Up to $300,000
• Attorneys' expenses: $36,500
• Service award to class representative: Up to $10,000
• Payments to eligible class members: Remaining net settlement fund

Important dates

• Opt-out deadline: Feb. 3, 2026
• Final approval hearing: April 16, 2026
• Claim deadline: May 18, 2026

When is the Klare v. Westlake Services LLC payout date?

The settlement administrator will distribute payments after the court resolves any appeals and grants final approval of the settlement.

Why is there a class action settlement?

The class action lawsuit alleged Westlake violated California debt collection laws by charging borrowers convenience fees when making payments through ACI Payments Inc.

Westlake denies any wrongdoing but agreed to settle to avoid the expense and uncertainty of further litigation.

Sources

1. Class notice
2. Claim form
3. Settlement agreement
4. Settlement FAQ