On August 14, 2024, the Federal Trade Commission (FTC) announced a final rule banning fake reviews and testimonials. The rule follows a notice and comment process that began in November 2022, and covers a wide range of consumer reviews and testimonials including “consumer ratings regardless of whether they include any…
On April 2, 2024, a putative class action was brought against a wholesale mortgage lender alleging, among other claims, violations of Section 8(a) of the Real Estate Settlement Procedures Act (RESPA). Unlike conventional mortgage providers that analyze the borrower’s creditworthiness and then provide the mortgage, wholesale mortgage lenders receive mortgage…
In September 2023, the Consumer Financial Protection Bureau (CFPB) issued guidance on the use of artificial intelligence in issuing credit denials, a prevalent practice among lenders. The CFPB explained that when denying a credit application, lenders must provide a substantive reason behind the denial. The guidance further explains that the…