On October 8, 2021, the Consumer Financial Protection Bureau (“CFPB”) announced the filing of a complaint and proposed consent order against a reverse mortgage lender in the U.S. District Court for the Central District of California. In the complaint, the
Consumer Finance Enforcement Watch
Consumer Finance Enforcement Watch, published by Goodwin Procter, focuses on regulatory enforcement and litigation developments in the consumer finance sector. The blog covers topics such as compliance with the Real Estate Settlement Procedures Act (RESPA), Federal Trade Commission Act (FTC Act) violations, Fair Credit Reporting Act (FCRA) issues, and the Home Mortgage Disclosure Act (HMDA). It reports on enforcement actions by agencies like the Consumer Financial Protection Bureau (CFPB) and the Federal Deposit Insurance Corporation (FDIC), settlements involving financial institutions, and regulatory scrutiny of mortgage lending, debt management, remittance services, and consumer protection laws. The blog provides updates on legal risks and regulatory trends affecting financial service providers and lenders.
Latest from Consumer Finance Enforcement Watch - Page 6
DOJ Reaches $134,000 Settlement with Auto Lender Over Alleged SCRA Violations
By Viona Harris
On September 30, 2021, the Department of Justice (DOJ) announced that it reached a settlement with an auto lender, resolving allegations that the lender violated the Servicemembers Civil Relief Act (SCRA).
Following an investigation which began in 2019, the DOJ…
Minnesota AG Announces Approval of $38 Million in Student Loan Debt Relief and Restitution
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.…
DOJ Reaches $1.5 Million Settlement with Auto Lender Resolving Alleged SCRA Violation
By Viona Harris
West Virginia AG Files Suit to Block New York Debt Collection Company from Doing Business in West Virginia
California DFPI Issues $375,000 Sanction Against Debt Collector
By Viona Harris
On September 22, 2021, the California Department of Financial Protection and Innovation (DFPI) announced that it issued its first enforcement action against a debt collection company for various practices, including threatening to sue consumers and garnish wages, and for submitting negative information…
CFPB Sues Software Company for Allegedly Supporting Illegal Credit-Repair Fees
By Viona Harris
DOJ Reaches $50,000 Settlement with NJ Higher Education Student Assistance Authority
By Viona Harris
On September 20, 2021, the Department of Justice (DOJ) announced that it reached a settlement with the New Jersey Higher Education Student Assistance Authority (HESAA), resolving allegations that the state agency unlawfully obtained default judgments against two military servicemembers for student loan debt in
…
CFPB Sues Online Lender Over Alleged CFPA and ECOA Violations
By Jackie Odum
On September 8, 2021 the Consumer Financial Protection Bureau (CFPB) announced that it filed a complaint against an online lender for alleged violations of a 2016 consent order, the Consumer Financial Protection Act (CFPA), 12 U.S.C. §§ 5564, the Equal…
OCC Issues $250 Million Penalty Related to Bank’s Loss Mitigation Practices
On September 9, the Office of the Comptroller of the Currency (OCC) announced that it issued a $250 million civil money penalty against a national bank for alleged deficiencies in the bank’s home lending loss mitigation program, and for purportedly…