Family Dollar to Pay $63 Million to Settle Upcharging Claims

By Katherine Hamilton

Family Dollar has agreed to pay $63 million to settle allegations from the government that it charged customers more at the register than what it displayed on shelves and price tags.

The Federal Trade Commission and some states alleged that the dollar store overcharged shoppers and failed to correct the issue despite being warned about it.

Consumers across the company have reported widespread pricing discrepancies and regulatory inspections have confirmed that price labels are lower than what is charged at registers, the FTC said.

Family Dollar also allegedly charged more at the register than the prices listed on its website and mobile app, according to the FTC. Customers reported that they didn't receive discounted prices shown on the company's digital coupons because the app didn't work at the register, the FTC said.

Under the proposed order, Family Dollar will be required to establish a $40 million consumer fund payable to eligible customers and a $20 million discount program for customers. Payments exceeding $3 million will also be made to the states involved in the suit.

The company must also establish a pricing accuracy program aimed at ensuring that it monitors and verifies prices.

In the past five years, Family Dollar has been fined $3 million related to pricing violation claims, the FTC said. The company has entered multiple settlements over the past three years, paying $800,000 in penalties for inaccurate pricing, the agency said.

The FTC also filed a complaint against Dollar General in October, alleging similar claims about pricing. That litigation is ongoing.

Write to Katherine Hamilton at katherine.hamilton@wsj.com

(END) Dow Jones Newswires

November 12, 2026 15:06 ET (20:06 GMT)