Tagged as: CFPB

CFPB Secures $7.9 Million Trial Verdict Against Mortgage Loan Servicer

On September 8, a federal judge in California ordered a national mortgage services company to pay a $7.9 million civil penalty based on false or misleading marketing statements it allegedly made to consumers about its mortgage loan repayment services.  The court, however, denied the Consumer Financial Protection Bureau’s (“CFPB”) request for $74 million in restitution, finding that the…

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CFPB Orders National Bank to Pay $4.6 Million in Civil Penalties for Credit Reporting Practices

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…

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CFPB Lawsuit Targets High-Interest Online Lenders

On April 27, 2017, the Consumer Financial Protection Bureau (CFPB) announced the filing of a suit against four online lenders alleging that the lenders illegally collected debts on invalid loans.  The complaint alleged violations of the Consumer Financial Protection Act (CFPA), 12 U.S.C. §§ 5531(a), 5536(a), and 5564(a), and the Truth in Lending Act (TILA),…

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CFPB Fines Auto Lender $1.25 Million for Violations of Consent Order

​On April 26, 2017, the Consumer Finance Protection Bureau (CFPB) announced that it reached a consent order with an Ohio-based auto lender that allegedly violated a prior CFPB consent order by failing to properly return $1 million in refunds and credits to its customers.  According to the CFPB, the auto lender specializes in auto loans to servicemem​bers.  Under…

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D.C. Circuit Affirms Denial of the CFPB’s Investigation of a College Accrediting Organization

On April 21, 2017, the United States Court of Appeals for the District of Columbia Circuit affirmed the lower court’s decision denying the Consumer Financial Protection Bureau’s (CFPB) petition to investigate a college accreditation ​organization.  The Court limited its holding to the particular Civil Investigative Demand (CID), finding that the Notification of Purpose within…

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CFPB and New York Attorney General File Suit Against Settlement Company For Allegedly Defrauding 9/11 Responders and NFL Players with Illegal Loans

On February 7, the Consumer Financial Protection Bureau (CFPB) and the New York Attorney General (NY AG) jointly announced they filed suit in the U.S. District Court for the Southern District of New York against a settlement advance company and its founder.  The Complaint alleges that the company violated section 1054 of…

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Ninth Circuit Compels Tribal Lenders to Comply with CFPB Investigative Demand

On January 20, 2017, the Ninth Circuit affirmed a trial court ruling that ordered three tribal lending entities to comply with the Consumer Financial Protection Bureau’s (CFPB) civil investigative demands. The CFPB’s investigation concerns whether small-dollar online lenders or similar persons had engaged in illegal advertising, marketing, or collection practices in…

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CFPB Files Lawsuit Against Largest U.S. Student Loan Servicer Over Deceptive Practices

On January 18, 2017, the Consumer Financial Protection Bureau (CFPB) announced that it had filed a lawsuit in the U.S. District Court for the Middle District of Pennsylvania against a servicer of private and federal student loans, alleging that the servicer used deceptive practices related to borrower repayment. The student loan servicer is…

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