On September 30, 2021, the Minnesota Attorney General (“Minnesota AG”) announced that a federal bankruptcy court had approved $23.6 million in student debt relief and $15.8 million in restitution for students of two for-profit universities that allegedly engaged in consumer fraud and illegal lending practices. The settlement, originally announced in March 2021, resolved allegations that the universities misled students…
On September 8, 2021, the Washington Attorney General’s Office (AG) announced that it had reached a settlement agreement with a debt collection company, resolving allegations that the company had violated the Washington Consumer Protection Act (CPA), RCW 19.86, and the Washington Collection Agency Act (CAA), RCW 19.16. The settlement concludes a lawsuit originally filed June…
On August 24, 2021, the Virginia Attorney General (“Virginia AG”) announced that it entered into settlement with a Virginia-based lender and its managing member over allegations that the lender violated §§ 6.2-303 and 6.2-1501(A) of Virginia’s consumer finance statute. The settlement was filed as a consent judgment in the Circuit Court for the…
On September 1, 2021, the Massachusetts Attorney General (“Massachusetts AG”) announced that an auto lending company had agreed to pay more than $27 million to resolve claims that it engaged in unfair and deceptive auto loan practices. The Massachusetts AG alleged that the company made high interest auto loans to borrowers, despite the…
On August 31, 2021, the Massachusetts Attorney General’s Office (Massachusetts AG) announced that it reached a settlement with a Massachusetts-based debt settlement company to resolve allegations that the company violated the Massachusetts Consumer Protection Act. The settlement resolves a lawsuit originally filed by the Massachusetts AG in 2018. In the complaint, the Massachusetts AG alleged that the…
On June 8, 2020 the Washington Attorney General’s office (Washington AG) announced that a consent order had been reached with a Colorado-based debt collection agency that would require the agency to pay $475,000 to approximately 5,000 Washington consumers to resolve a lawsuit originally filed in April 2020 in Washington state…
On May 28, 2021, Massachusetts Attorney General Maura Healy (Massachusetts AG) announced a settlement with a bank, acting as an agent for lenders, which requires the bank to permanently discharge debts and return payments made by certain former students of a regional for-profit university. The settlement requires the bank to refund over $30,000 in recent loan repayments made by certain Massachusetts borrowers…
On May 27, 2021, the Massachusetts Attorney General’s Office (AG) announced that it had reached a settlement with a subprime auto lender resolving alleged violations of the state’s unfair and deceptive acts and practices law. The Massachusetts AG alleged that the auto lender, in connection with its purchase of auto retail installment sales contracts from…
On April 13, 2021, the Minnesota Attorney General Office (Minnesota AG) announced that it reached a settlement with a California-based student-loan debt-relief company resolving alleged violations of Minnesota’s Debt Services Settlement Act, Prevention of Consumer Fraud Act, Minn. Stat. § 325F.69, et seq., and Uniform Deceptive Trade Practices Act, Minn. Stat. § 325D.43, et seq. The Minnesota…
On April 6, 2021, the Pennsylvania Attorney General (Pennsylvania AG) announced that it reached an agreement with a Texas-based debt buyer concerning a portfolio of student loan debt it purchased from a now-defunct for-profit college. According to the Pennsylvania AG, the debt purchaser purchased the portfolio of loans after the for-profit college abruptly closed in December 2018 due to…