On December 6, 2018, the Bureau of Consumer Financial Protection (“CFPB”) announced that it had entered into a consent order with a federal savings association headquartered in Bloomington, Ill. According to the consent order, the CFPB alleged that the savings association violated the Fair Credit Reporting Act, 15 U.S.C. § 1681 et seq.,…
On October 30, the Federal Trade Commission (FTC) announced that it had obtained a stipulated order for a permanent injunction and monetary judgment against two individuals for allegedly using fake rental property ads to lure consumers to visit websites promising “free” credit reports. When consumers visited those websites, the individuals allegedly deceived them…
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…
On June 27, 2017, the Consumer Financial Protection Bureau (CFPB) announced that it filed two complaints and proposed final judgments against four California-based credit repair companies for misleading consumers and charging illegal fees. The CFPB alleged that the companies charged illegal advance fees for credit repair services and misrepresented their ability to repair…
On March 23, 2017, the Consumer Financial Protection Bureau (CFPB) announced that it had entered into a consent order with a California-based credit reporting agency (CRA) and its subsidiaries, resolving allegations that the CRA deceived consumers by misrepresenting that the credit score reports that it marketed to consumers were used by lenders in determining a consumer’s credit worthiness….
On January 3, 2017, the Consumer Financial Protection Bureau (CFPB) announced that it had entered into two consent orders, available here and here, with two national credit reporting agencies over allegations that the agencies violated the Consumer Financial Protection Act by misrepresenting how lenders use certain credit scores that the agencies…
On December 21, 2016, the Arkansas Attorney General’s Office (“Arkansas AG”) announced that it had filed a lawsuit in the U.S. District Court for the Eastern District of Arkansas against a Florida-based credit repair company, stemming from allegations that the company made false and misleading representations to consumers. The Arkansas…
For the second quarter of 2016, Consumer Enforcement Watch tracked 46 enforcement actions taken against consumer finance providers. This represents a slight decrease from the 50 enforcement actions that were tracked last quarter, and a decrease from the 56 actions that we tracked in the second quarter of 2015. Approximately two-thirds of…
On October 19, 2016, Mississippi Attorney General (AG) Jim Hood announced that “the nation’s three major credit reporting agencies will overhaul their business practices and two of the agencies will offer Mississippians unlimited access to free credit reports over the next three years in order to resolve the Attorney General’s…
On September 23, the Consumer Financial Protection Bureau (CFPB) announced that it filed suit against a credit repair company in the United States District Court for the Central District of California, for alleged violations of the Consumer Financial Protection Act (CFPA), and the Telemarketing and Consumer Fraud and Abuse Prevention…
On August 19, the Attorney General’s Office for the State of Minnesota (Minnesota AG) announced that it had settled a lawsuit against a California-based online lender relating to an alleged “rent-a-tribe” scheme. The settlement bars the lender from doing business in Minnesota unless and until it complies with the state’s usury, lending,…
On January 20, the New York Attorney General’s Office (Attorney General) announced that it had filed a complaint against several New York auto dealerships over allegations that the dealerships sold deceptive “after-sale” products to consumers. The lawsuit alleges that the dealerships partnered with an independent credit repair company to charge 1,426 consumers…
On December 17, 2015, the CFPB announced a consent order and settlement with a Minnesota-based auto dealer and its affiliated financing company regarding their credit reporting practices in 15 states. The consent order asserts that the companies violated the Fair Credit Reporting Act (FCRA) and the Consumer Financial Protection Act…
On December 3, the Consumer Financial Protection Bureau (CFPB) entered a consent order with a national credit reporting company, resolving allegations that the company violated the Fair Credit Reporting Act (FCRA). The credit reporting company is in the business of compiling and reselling consumer credit reports to financial service providers, such as…
On November 3, 2015, the Consumer Financial Protection Bureau (CFPB) released its Supervisory Highlights report detailing the Bureau’s supervision efforts for May through August of 2015. The report summarizes the violations of consumer protection laws the Bureau observed during the four-month period and identifies the areas in which the Bureau has…
On September 16, the Federal Trade Commission (FTC) announced that it had entered a stipulated order with the financing arm of a Texas auto dealer to settle allegations regarding the auto dealer’s credit reporting practices. In its simultaneously filed complaint, the FTC alleged that the auto dealer violated the Federal Trade Commission Act, the Fair Credit…
On August 4, the Federal Trade Commission (FTC) announced that it had reached a settlement with a national credit repair company and its officers over allegations that they misrepresented the nature of the services provided to Spanish-language consumers. The complaint, filed on March 16, alleged that the company charged consumers up-front for credit repair services, falsely claimed…
On June 23, 2015, the Consumer Financial Protection Bureau (CFPB) released its Supervisory Highlights report detailing the Bureau’s supervision efforts for the first four months of 2015. The report summarizes the most common “illegal practices” uncovered by the Bureau and identifies the areas where the Bureau has focused on in its…
On May 20, 2015, Ohio Attorney General Mike DeWine, along with attorneys general of thirty other states (“the State AGs”), announced a $6,000,000 settlement with three major credit reporting agencies (“CRAs”). According to the announcement and the Settlement Agreement, the settlement is a culmination of a multistate investigation that the…
On March 9, 2015, the New York Attorney General announced a settlement with three national credit reporting agencies. The companies allegedly failed to maintain proper procedures for ensuring the accuracy of consumer credit information in violation of the Fair Credit Reporting Act. According to one study, allegedly 26% of consumers…