…late fees that exceeded the amount allowed in the loan agreement” and (b) “in some instances servicers charged late fees even though consumers had entered into loss mitigation agreements.” According…
…late fees that exceeded the amount allowed in the loan agreement” and (b) “in some instances servicers charged late fees even though consumers had entered into loss mitigation agreements.” According…
…consent agreement, with a duration to be negotiated, case-by-case. Under the new rule, a proposed consent agreement will continue to be enclosed with the Notice and an agreement can also…
…The CFPB also noted that it has received customer complaints concerning remittance transfer providers marketing their services as “no fee” or burying the fact that the “no fee” was only…
…In addition to paying a $2.5 million penalty, the company also agreed to (1) provide customer service support 24 hours a day, seven days a week; (2) provide sufficient customer…
…AI-generated human voice is indeed “an artificial or prerecorded voice.” In November, the FCC sought comment on the regulatory implications of emerging AI technologies, including emulating human speech during customer…
On January 17, 2024, the United States Attorney’s Office for the Western District of Tennessee (“USAO”) announced that it entered into a consent agreement with a full-service bank, resolving allegations…
…misuse of customer data by third-party vendors. Misuse, whether intentional or negligent, could violate privacy rights, alienate customers, and expose the financial institutions to liability for a third party vendor’s…
…from customer accounts than they were entitled to, required personal guarantees from the owners of small business while advertising that such guarantees were not required, and withheld undisclosed up-front fees….
…penalties to the state attorneys general, take steps to avoid future incidents such as using artificial customer data in system tests, and segregate any development and testing work from its…
On August 28, the CFPB announced it reached a proposed settlement agreement with a credit repair conglomerate for $2.7 billion. The parties await approval of the proposed settlement by the…
…to do so. Id. at 54. If a customer says they want to return the merchandise, Snap representatives are told not to offer the customer the “Right to Terminate” process…
…information. Diminished Customer Service and Trust. When a financial institution uses chatbots to handle customer service inquiries, the institution risks diminishing their relationships with their customers if the chatbot fails…
…debt information to consumer reporting companies after failing to conduct reasonable investigations of disputes. As part of the agreement, the debt collector will: (1) cease unlawful collection and credit reporting…
…that its optional add-on products have a cost-free “Full Refund Period, during which the Customer could consider whether to keep or cancel” the product. The CFPB alleged that the lender…
…with credit card transactions. The CFPB alleged that the bank “failed to properly manage and respond to customers’ credit card disputes and fraud claims.” The settlement brings to an end…
…DOB, where they are issued an individual mortgage lender license. The DOB alleged that the mortgage lender entered into an agreement in October 2019 that allowed the separate entity to…
…(3) the terms of the deposit agreement. And, as to the last prong, the Bureau notes that any minimal harm to the consumer in not receiving a deposit is outweighed…
…a borrower’s other “payment obligations,” is deemed to know of a customer’s simultaneous PACE loans if the creditor has access to any existing database or registry of PACE transactions which…
…communicates that it will act in its customers’ best interest, or otherwise holds itself out as acting in the customer’s best interest. Reasonable reliance may also exist where an entity…
…materials failed to identify an actual FDIC-insured depository institution with which the company had a direct or indirect relationship for the placement of its customer’s deposits where customer funds would…