On June 10, the Federal Trade Commission (“FTC”) announced that it unanimously approved consent orders with two Georgia car title lenders that the FTC charged had failed to disclose important conditions about financing for their title loans. In its complaint, the FTC alleged that the car title lenders violated the…
The U.S. Department of Housing and Urban Development (HUD) reached a settlement agreement with Associated Bank concerning allegations that the Bank violated Section 804(b) of the Fair Housing Act. According to the conciliation agreement, HUD alleged that the Bank disproportionately denied loan applications of African-American and Hispanic applicants, and under-served…
On June 5, the Consumer Financial Protection Bureau (CFPB) announced that it entered a consent order with a state bank for alleged violations of the Loan Originator Compensation Rule under the Truth-in-Lending Act (TILA) and Consumer Financial Protection Act of 2010. The CFPB alleged that the bank paid loan originators based…
On June 5, the Federal Trade Commission (FTC) announced that it will mail over $467,000 to 2,653 consumers affected by a scheme whereby a law firm charged up-front fees for mortgage modification and other relief services that were never provided, in violation of Section 5 of the Federal Trade Commission…
On June 4, the Federal Reserve Board anounced an order assessing civil penalties against a state bank for violations of Regulation H, which implements the National Flood Insurance Act. The bank consented to a $5,000 civil penalty, paid to the National Flood Insurance Program.
On June 4, the Federal Reserve announced an order assessing civil penalties against a state bank in connection with violations of Regulation H, which implements the National Flood Insurance Act. The bank consented to pay a $7,500 civil penalty to the National Flood Insurance Program.
On June 5, the Consumer Financial Protection Bureau (CFPB) announced that it entered into a consent order with a state mortgage bank regarding alleged violations of the Loan Originator Compensation Rule and Consumer Financial Protection Act (CFPA). The CFPB alleged that the bank paid loan originators based on the interest rates charged on the…
On June 4, the Consumer Financial Protection Bureau (CFPB) announced that Director Richard Cordray issued a decision in the the first appeal of a CFPB administrative enforcement action. The appeal hearing was previously covered by Consumer Finance Enforcement Watch. The Director’s decision upheld in part and reversed in part an…
On June 3, a New York state jury acquitted a national bank of grand larceny and conspiracy charges. Following a two and a half year investigation, the Manhattan District Attorney indicted the bank and eleven former employees on charges of conspiracy, grand larceny, residential mortgage fraud and securities fraud, among…
On June 1, 2015, the Department of Justice announced a settlement with a regional bank over allegations that the bank originated and underwrote mortgage loans that did not meet applicable requirements of the Department of Housing and Urban Development’s (HUD) Federal Housing Administration (FHA) insurance program. The settlement was previously…
On May 29, 2015, the Office of the Comptroller of the Currency (“OCC”) entered into two consent orders with a National Bank regarding the bank’s non-home loan compliance with the Servicemembers Civil Relief Act (“SCRA”) and the bank’s practices in connection with non-home debt collection litigation practices. The OCC estimates…
On May 29, 2015, the United States District Court for the Southern District of Florida granted the Consumer Financial Protection Bureau (“CFPB”) and the State of Florida a final default judgment against a Florida Foreclosure Relief Company and its corporate affiliates based on the company’s failure to answer or otherwise…
On May 28, 2015, the Consumer Financial Protection Bureau (“CFPB”) and the Department of Justice (“DOJ”) filed a joint complaint and proposed consent order against a national mortgage lender in the United States District Court for Northern District of California. The complaint alleges that the lender violated the Equal Credit…
On May 22, 2015, the Michigan Attorney General (“AG”) and its Homeowner Protection Unit filed charges in Oakland County’s 48th District Court against a Michigan mortgage company and its owner alleging that the owner and mortgage company engaged in a scheme to defraud borrowers by promising to modify mortgages for…
The U.S. Department of Housing and Urban Development (HUD) announced that it reached a settlement agreement with a regional bank over a disparate treatment fair housing claim. HUD alleged that the bank engaged in racially discriminatory redlining by lending less in majority-minority census tracks than in other neighborhoods. Under the…
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 May 4, 2015, Comptroller of the Currency Thomas Curry, Federal Reserve Board (FRB) Governor Daniel Tarullo, and Federal Deposit Insurance Corporation (FDIC) Chairman Martin Gruenberg held the third in a series of outreach meetings to discuss with the public their efforts to reduce the regulatory burden on community banks…
The CFPB’s Request for Information On May 14, 2015, the Consumer Financial Protection Bureau (CFPB) held a field hearing on student loans in Milwaukee, Wisconsin and issued a Request for Information (RFI) about student loan servicing practices. The RFI is in response to a Presidential Memorandum that instructed the Secretary…
On May 19, 2015, the Consumer Financial Protection Bureau (CFPB) issued an announcement and released remarks prepared by Director Richard Cordray regarding a complaint filed by the CFPB against California and Maryland based online-payment services. The complaint, filed May 19 in the U.S. District Court for the District of Maryland,…
On Friday, May 15, 2015, the California Department of Business Oversight (DBO) announced that it filed a complaint in state court against an Ohio-based biweekly debt repayment firm and allegedly associated entities (collectively “Defendants”) claiming certain violations of licensing, fee, and consumer protection provisions of California’s Financial Code and Business & Professions…