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 4, the Consumer Financial Protection Bureau (CFPB) announced that it had entered a consent order with a regional residential-mortgage lender over allegations that the lender paid bonuses and higher commissions to loan officers for steering consumers into mortgages with higher interest rates. The complaint, also filed on June 4, alleged that the company…
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 Northern District of California granted AOL’s motion to dismiss a class action Telephone Consumer Protection Act (TCPA) suit premised on four text messages received by the named plaintiff in Derby v. AOL, Inc. The plaintiff’s claims arose from two different types of text messages: the first consisted of a…
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 21, the Federal Trade Commission (FTC) announced that its “Messaging for Money” enforcement campaign resulted in the U.S. District Court for the Western District of New York issuing a temporary restraining order against a debt collector who, according to the FTC’s complaint filed on May 11, allegedly told consumers via text messages that legal actions had been filed…
On May 21, the Federal Trade Commission (FTC) announced that its “Messaging for Money” enforcement campaign resulted in the U.S. District Court for the Western District of New York issuing a temporary restraining order against a debt collector who allegedly sent misleading text messages trying to trick consumers into telephoning the company. The FTC’s complaint, filed on May…
On May 21, the Federal Trade Commission (FTC) announced that its “Messaging for Money” enforcement campaign resulted in the U.S. District Court for the Northern District of Georgia issuing a temporary restrining order against a debt collecter who allegedly sent threatening text messages to consumers. The FTC’s complaint, filed on May 11, alleged…