On June 21, 2019, the Federal Trade Commission (FTC) announced that it had filed a lawsuit against affiliated companies offering services to repair consumers’ damaged credit. The FTC’s Complaint, filed in the U.S. District Court for the District of Connecticut, alleged that the companies used deceptive marketing campaigns that promised to eliminate derogatory credit from consumers’ credit reports and raise…
On May 30, 2019, the Fourth Circuit upheld a $61 million Telephone Consumer Protection Act (TCPA) judgment in Krakauer v. Dish Network, L.L.C., No. 1518. The plaintiff, Dr. Thomas Krakauer (Plaintiff), placed his name on the Do-Not-Call registry in 2003. In 2009, he received calls from Satellite Systems Network (SSN),…
On June 18, 2019, the California Department of Business Oversight (DBO) announced that it entered into a settlement and consent order with a mortgage servicer over an alleged failure to pay interest on escrow impound accounts for 94,483 residential mortgage loans. Servicers are required to pay interest on such accounts under…
On May 13, 2019, petitioner Kevin Rotkiske submitted his brief to the United States Supreme Court in Rotkiske v. Klemm, No 18-328. As noted in a previous post, the Court accepted Rotkiske’s appeal back in February to resolve a circuit split between the Third Circuit and the Ninth and Fourth…
On June 14, 2019, the Consumer Financial Protection Bureau (CFPB) announced a settlement with a private student loan provider that issued and managed student loans at the now-defunct for-profit ITT Technical Institute. Forty-five states including Kansas, Florida, Nevada, North Carolina, Iowa, Missouri, Kentucky, Ohio, Oregon, and New York also settled with the loan…
On June 13, 2019, the Department of Justice (DOJ) announced that it filed a complaint and settlement agreement in the U.S. District Court for the Southern District of Indiana resolving allegations against a Midwestern bank based in Indiana. The DOJ alleged that the bank engaged in lending discrimination through “redlining,” or intentionally avoiding providing services in predominantly…
On June 5, 2019, the Consumer Financial Protection Bureau (CFPB) announced that it has reached a settlement with one of the nation’s ten largest Home Mortgage Disclosure Act (HMDA) reporters, a for-profit mortgage lender based in New Jersey. The consent order resolves alleged violations of the HMDA, 12 U.S.C. §§ 2801–2810, and its implementing regulation,…
On May 7, 2019, the Consumer Financial Protection Bureau (CFPB or Bureau) released a Notice of Proposed Rule Making (Notice) to implement the Fair Debt Collection Practices Act (FDCPA). The Bureau’s stated purpose for the proposed rules, which would be placed in the existing Regulation F, is to “set clear,…