Search Results: Fair Lending / Fair Servicing

CFPB and DOJ Reach $24.4 Settlement with Mortgage Originator for Alleged Lending Discrimination

On July 27, 2022, the Consumer Financial Protection Bureau (CFPB) and U.S. Department of Justice (DOJ) announced that they reached a settlement with a nonbank residential mortgage lender to resolve allegations of race-based lending discrimination in violation of the Fair Housing Act (FHA), 42 U.S.C. §§ 3601-3619; the Equal Credit Opportunity Act…

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Arizona AG Announces $1.6 Million Settlement with Debt Collectors

​On May 16, 2022, the Arizona Attorney General’s Office (Arizona AG) announced that it reached a settlement agreement with the owner of several debt collection companies regarding alleged deceptive debt collection practices in violation of state law. The agreement resolves a lawsuit by the Arizona AG filed in September 2020, alleging that the companies collected or attempted to collect payments…

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FTC Obtains Permanent Injunction Against For-Profit Medical School

FTC

On April 15, 2022, the Federal Trade Commission (FTC) announced that it obtained a permanent injunction against an Illinois-based, offshore, for-profit medical school for deceptive marketing practices. In its complaint ​and stipulated ​order​ filed same-day in the U.S. District Court for the Northern District of Illinois, the FTC alleged that the school violated the Telemarketing Sales Rule (TSR) when…

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DC AG Reaches $4 Million Settlement with Online Lender

On February 8, 2022, the Attorney General for the District of Columbia (DC AG) announced​ that a Delaware-based online lender has agreed to pay $3​.3 million to refund over 2,500 consumers who allegedly received misleadingly high-cost loans and lines of credit.  This agreement resolves​ a lawsuit filed by the DC AG in the Superior Court of the District of Columbia,…

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CFPB, DOJ, and OCC Reach Settlement with Bank for Alleged Lending Discrimination

CFPB sign

On October 22, 2021, the Consumer Finance Protection Bureau (CFPB) announced ​that the CFPB, Department of Justice (DOJ) and Office of the Comptroller of the Currency (OCC) collectively reached a joint settlement with a national bank that resolved allegations of mortgage lending discrimination in the Memphis metropolitan area in violation of the Fair Housing Act (FHA),…

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DOJ and OCC Obtain $5.5 Million Settlement, Resolving Allegations of Lending Discrimination

On August 30, 2021, the Department of Justice (DOJ) announced that, together with Office of the Comptroller of the Currency (OCC), it reached a settlement with a bank, resolving allegations that the bank engaged in lender discrimination in the Houston, Texas area. In 2017, the OCC initiated a fair lending examination…

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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…

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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…

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California DBO Settles with Point-of-Sale Lender Making Illegal Loans

​On January 16, 2020, the California Department of Business Oversight (DBO) announced it had reached a settlement with a point-of-sale lender​ to stop making illegal loans and refund $282,000 in fees it collected from almost 17,000 California consumers. In September 2019, the lender applied to the California DBO for a lender’s license.  Upon review of the lender’s product and information, the California…

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Finance Company to Pay $440,000, Banned from Selling Student Loan Services in Massachusetts

On August 7, 2019, the Attorney General for the Commonwealth of Massachusetts (“Massachusetts AG”) announced that it filed a complaint and consent judgment in Suffolk County Superior Court.  The consent judgment bans a purportedly unlicensed finance company from collecting on any active student loan debt relief accounts in Massachusetts, and requires the company to pay $340,000 to repair the…

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