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 Enters Into $4.75 Million Consent Order With Subprime Auto Lender and Servicer for FCRA Violations

CFPB sign

On December 22, 2020, the Consumer Financial Protection Bureau (CFPB) announced that it had entered into a consent order with a national lender and originator of subprime auto loans over the company’s alleged violations of Section 623(a)(1)(A) of the Fair Credit Reporting Act (FCRA) (15 U.S.C. § 1681-s2(a)) and Regulation V, 12 C.F.R. § 1022.42(a). The…

Read More

CFPB Secures Consent Order Against Student Loan Servicer for Failure to Comply with 2015 Consent Order and Alleged Deceptive Acts and Practices

CFPB sign

On December 22, 2020, the Consumer Financial Protection Bureau (CFPB) announced​ that it had secured a consent order ​against a national student loan servicer based on its failure to comply with a 2015 consent order issued by the CFPB.  Specifically, the company misrepresented the minimum periodic payments owed by consumers on their student loans, misrepresented…

Read More

CFPB Announces Consent Order with Remittance Transfer Provider

CFPB sign

On December 21, 2020, the Consumer Financial Protection Bureau (CFPB) announced that it had entered into a consent order with a remittance transfer provider, with locations in 15 states and the District of Columbia.  Remittance transfers are transfers of money by consumers in the United States to individuals living abroad.  The consent order states that…

Read More

CFPB Enters Into Consent Order With Servicer Concerning Foreclosure-Related Practices

CFPB sign

On December 18, 2020, the Consumer Financial Protection Bureau (Bureau) announced that it had entered into a consent order with a mortgage servicing company (and its successor in interest) resolving allegations that the company’s conduct between 2014 and 2018 violated the Consumer Financial Protection Act (CFPA) and Regulation X, the implementing regulations of the…

Read More

Pennsylvania AG Halts Operations of Student Loan Forgiveness Company

​On December​ 16, 2020, the Pennsylvania Attorney General (Pennsylvania AG) announced ​a settlement with a California-based student loan forgiveness company for alleged violations of state consumer protection laws.  According to the Pennslyvania AG, the company used false advertising tactics and posted fraudulent customer reviews on the Better Business Bureau website.  Further, the company…

Read More

CFPB and Arkansas AG Settle with Home Security Company for Alleged FCRA and CFPA Violations

CFPB sign

On December 11, 2020, the Consumer Financial Protection Bureau (Bureau) and the Arkansas Attorney General (AG) announced that they filed a complaint and proposed stipulated judgment in the U.S. District Court for the Eastern District of Arkansas against a home-security company​.  The complaint alleges that the company—which provided credit to customers for its products and services—violated the Consumer…

Read More

CFPB Settles with Debt Collection Company for Alleged CFPA and FDCPA Violations

CFPB sign

​On December 8, 2020, the Consumer Financial Protection Bureau (Bureau) announced that it had entered into a consent order​ with a New Jersey debt collection company, resolving allegations that the debt collection company violated the Fair Debt Collection Practices Act (FDCPA) and the Consumer Financial Protection Act (CFPA). The debt collection company was engaged…

Read More

CFPB Files Suit Against Online Lender for Alleged Violations of Military Lending Act

CFPB sign

​On December 4, 2020, the Consumer Financial Protection Bureau (CFPB) announced that it filed suit against an online lender that offers single-payment and installment loans to consumers for alleged violations of the Military Lending Act (MLA).  The MLA contains protections associated with extensions of consumer credit for active-duty servicemembers, including a maximum allowable annual…

Read More

FTC Reaches Settlement With Debt Collection Company for “Debt Parking” Scheme

On November 30, 2020 the Federal Trade Commission (FTC) announced ​that it had reached a settlement with a debt collection company for its “debt parking scheme” (also known as “passive debt collection”)​​ in which the company allegedly placed bogus or questionable debts on consumers’ credit reports in an attempt to coerce them to pay the…

Read More