In the wake of the financial crisis and with the advent of the Consumer Financial Protection Bureau (CFPB), federal and state enforcement officials have increasingly scrutinized consumer financial products and services. In many situations, these officials and agencies coordinate to advance common or similar claims and actions. Against this backdrop, we created the Consumer Finance Enforcement Watch blog – the marketplace’s first resource for real-time reporting on the full range of public federal and state consumer finance enforcement activity. Here, you will also find links to enforcement documents, statistics on the volume and nature of enforcement actions as well as reports and comments on significant enforcement trends and issues.

Consumer Financial Protection Bureau Issues Policy Statement Concerning Credit Reporting and COVID-19

Today, the Consumer Financial Protection Bureau (CFPB or Bureau) issued a policy statement for credit reporting companies and furnishers concerning credit reporting guidance during the COVID-19 pandemic. This announcement comes in the wake of the interagency statement encouraging financial institutions to work constructively with borrowers and other customers affected by…

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CFPB Files Suit Against National Bank Concerning Alleged Unauthorized Accounts

On March 9, 2020, the Consumer Financial Protection Bureau (CFPB) filed a lawsuit against a national bank in the U.S. District Court for the Northern District of Illinois alleging that the bank opened unauthorized accounts and enrolled customers in unauthorized products and services without consumers’ knowledge or consent.  According to the CFPB’s complaint, the…

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Massachusetts AG Enters Consent Judgment with Used Car Company Resolving Predatory Lending Lawsuit

On March 9, 2020, the Massachusetts attorney general’s office (Massachusetts AG) announced ​that it had entered into a consent judgment with a national used car company resolving allegations that the company’s local Massachusetts franchise engaged in predatory lending and deceptive sales of defective vehicles. According to the Massachusetts AG’s complaint​, filed in September 2017, the company sold…

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Massachusetts AG Settles with Online Company for $1.25 Million for Allegedly Charging Illegal Interest Rates

On January 21, 2020, the Massachusetts attorney general’s office (Massachusetts AG) announced that it has secured $1.25 million from one of the country’s largest online lending companies to resolve allegations that the company charged excessive interest rates to Massachusetts borrowers in violation of M.G.L. ch. 93A and Massachusetts’ Small Loan Statute, M.G.L. c. 140 s. 96, which prohibits any personal loan…

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FTC Settles with Several Individual and Corporate Defendants Involved in Credit Repair Scheme

FTC

On January 17, 2020, the Federal Trade Commission (FTC) settled with several operators of a credit repair scheme for alleged violations of sections 13(b) and 19 of the FTC Act, 15 U.S.C. §§ 53(b) and 57b, Section 410(b) of the Credit Repair Organizations Act (CROA), 15 U.S.C. § 1679h(b), Section 6(b) of the Telemarketing and…

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New York Department of Financial Services Announces Settlement with Unlicensed Mortgage Lender

​On January 10, 2020, the New York Department of Financial Services (DFS) announced that, in concert with the New York Attorney General (New York AG), it had entered into a consent order and settlement with an unlicensed mortgage-lending business to resolve allegations that the business illegally made predatory, subprime loans in…

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CFPB Files Suit Against Companies for Allegedly Funneling Credit Reports to Student-Loan Debt-Relief Scheme

​On January 9, 2020, the Consumer Financial Protection Bureau (CFPB) announced that it had filed a complaint against a constellation of companies for allegedly requesting credit reports without a permissible purpose in order to deceptively market sham student-loan debt relief services to consumers, in violation of the Consumer Financial Protection Act…

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