On November 21, 2017, the Consumer Financial Protection Bureau (CFPB) announced that it had entered into a consent order with a national bank, resolving allegations over the bank’s allegedly harmful student loan servicing practices and requiring it to pay millions in consumer relief and civil penalties. According to the CFPB, the bank engaged…
On September 28, 2017, the United States Attorney’s Office for the Southern District of New York (USAO), along with the U.S. Department of Housing and Urban Development (HUD) and HUD’s Office of the Inspector General (HUD-OIG), announced that they had reached a settlement with a national mortgage lender over alleged…
On September 25, 2017, New York’s Department of Financial Services (DFS) announced that it had entered into a consent order with a payday loan servicer and debt collector over the servicing and collection practices on usurious payday loan debts, resulting in nearly $12 million in relief for affected consumers. Payday loans are illegal in New York, and…
On August 2, 2017, the Consumer Financial Protection Bureau (CFPB) announced that it had entered into a consent order with a national bank, resolving allegations as to the bank’s allegedly unlawful credit reporting activities. According to the CFPB, the bank violated several federal laws with respect to its reporting practices, including the Fair Credit Reporting Act, 15…
On August 1, 2017, the Virginia Attorney General’s Office (AG) announced that it had entered into a consent order with a state pawnbroker, settling allegations that the company overcharged consumers and was “skirting laws.” According to the AG, the company was in the business of offering consumers small dollar loans in exchange for the…
On June 7, 2017, the Consumer Financial Protection Bureau (CFPB) announced that it entered into a consent order with a Chicago-based mortgage servicing company, settling allegations that it failed to provide borrowers with the foreclosure protections required by law. According to the CFPB, the mortgage servicer violated federal consumer protection laws in its…
On June 5, 2017, the Federal Trade Commission (FTC) announced that a federal district court had entered its eighth order against the remaining defendants in an illegal robocall ring in which defendants promised to help consumers lower their credit card interest rates. The FTC, in conjunction with the Florida Office of the Attorney…
On April 20, 2017, the U.S. Attorney’s Office for the Southern District of New York (USAO) announced that the president and chief executive officer of a Buffalo-based debt collection company was sentenced to 100 months in prison for engaging in illegal and abusive debt collection practices. According to the USAO, the defendant…
On April 12, 2017, the Massachusetts Attorney General’s Office (AG) announced that it had reached a settlement with a mortgage broker, its employee, and an insurance agent, resolving allegations that they had preyed on elderly consumers by causing them to take out reverse mortgages on their homes. The AG alleged that the broker and agent induced elderly…
On April 10, 2017, the California Department of Business Oversight (DBO) announced that it had entered into a consent order with a Michigan-based residential mortgage lender and servicer over allegations that the firm was overcharging consumers for interest on a number of loans. The DBO brought an enforcement action against the…