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.

CFPB Announces $236,000 Settlement With Illinois Debt Collector

On August 28, 2019, the Consumer Financial Protection Bureau (CFPB) announ​ced a settlement with an Illinois-based debt collection company, resolving allegations that the company engaged in deceptive practices in violation of the Consumer Financial Protection Act (CFPA), 12 U.S.C. §§ 5531 and 5536, and the Fair Debt Collection Practices Act (FDCPA), 15 U.S.C. §…

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FTC Announces $30 Million Settlement With Operator of For-Profit Post-Secondary Schools

FTC

On August 27, 2019, the Federal Trade Commission (FTC) announced it had reached a $30 million settlement with an Illinois-based operator of for-profit post-secondary schools and related subsidiaries resolving allegations that the company used lead generators who engaged in deceptive conduct to market its schools in violation of Section 5(a) of the Federal Trade Commission…

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Minnesota AG Settles Lawsuit with Minnesota Financier

​On August 21, 2019, Minnesota Attorney General Keith Ellison (“Minnesota AG”) announced a settlement with a Minnesota based lender that finances sales of door-to-door products, such as vacuum cleaners and air purifiers. This settlement resolved allegations that the lender hid high interest rates from consumers, failed to provide complete financing agreements to consumers, and failed to give borrowers…

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CFPB and Arkansas AG Settle with Brokers Over Illegal Credit Contracts

On August 14, 2019, the Consumer Financial Protection Bureau (CFPB) and the Office of the Arkansas Attorney General (AG) entered into a proposed stipulated final judgment with three corporations that brokered extensions of credit to consumers, and the co-founder and owner of one of the corporations.  The simultaneously filed complaint, filed…

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CFPB Announces Settlements with Higher-Learning Institution and Lender Over Private Student Loans

On August 12, 2019, the Consumer Financial Protection Bureau (CFPB) announced a proposed settlement with a for-profit higher-education institution. The CFPB filed a complaint against the institution in the U.S. District Court for the Southern District of Indiana on February 26, 2014, alleging that the institution had violated the Consumer…

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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 credit of…

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New York AG Announces Settlement with Student Loan Debt Relief Company

​On August 8, 2019, New York Attorney General Letitia James (“New York AG”) announced a settlement and consent order with a student loan debt relief company, resolving the complaint’s allegations that the company deceived borrowers into paying for debt relief services that are available to the public for free from the federal government…

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