( SarahMcGowen)

More Than 100 National Consumer Groups Urge The CFPB To Issue Rules Over Forced Arbitration Clauses

Just weeks after the Consumer Financial Protection Bureau released a report showing that tens of millions of Americans have clauses in their credit card, checking account, student loan and wireless phone contracts that take away their rights to sue those companies in a court of law, more than 100 consumer groups have signed a letter urging the Bureau to address the use of forced arbitration clauses by issuing rules forbidding the clauses. [More]

While fewer than 8% of all banks put arbitration clauses on deposit accounts, those few banks account for nearly half of all insured deposits in the U.S. (source: CFPB)

In Wake Of Arbitration Report, Consumer Advocates Ask CFPB To Revoke Banks’ “License To Steal”

This morning, the Consumer Financial Protection Bureau released its final report on forced arbitration, showing how banks and credit card companies use contractual clauses to short-circuit class-action lawsuits from their customers. Now that the Bureau has done its research, consumer advocates are calling on regulators to use their authority to end the practice. [More]

Banks & Credit Card Companies Saving Millions By Taking Away Your Right To Sue

Adam Fagen

Tens of millions of American consumers have clauses in their credit card, checking account, student loan, and wireless phone contracts that take away their rights to sue those companies in a court of law, and more than 93% of these people have no idea they’ve had this right taken away from them. The companies involved are presumably quite happy about this lack of awareness, as it results in millions of dollars in savings that aren’t being passed on to you. [More]

( photographynatalia )

ECMC Completes Purchase Of Everest University, WyoTech Campuses

Shortly after the Consumer Financial Protection Bureau reported that it secured $480 million in student loan relief for current and former students of embattled Corinthian Colleges Inc., Education Credit Management Corporation – the company seeking to purchase more than 50 campuses from the for-profit giant – announced it had completed the controversial $24 million transaction. [More]

Deal Provides $480 Million In Debt Relief To Current & Former Corinthian Colleges Students

Deal Provides $480 Million In Debt Relief To Current & Former Corinthian Colleges Students

When student-loan servicing company Educational Credit Management Corporation revealed it would purchase 56 campuses belonging to embattled for-profit college chain Corinthian Colleges, regulators and consumer advocates began working to ensure that students affected by CCI’s collapse would be protected under the deal. Today, the Consumer Financial Protection Bureau and the U.S. Department of Education announced some students would receive the help they deserve in the way of $480 million in debt relief. [More]

(photo: Other98.org)

Marching Band Delivers Petition To Citi Asking Banks To “Revoke License To Steal”

In a handful of recent decisions, the U.S. Supreme Court has affirmed the right of businesses to effectively break the law by putting a few carefully worded sentences into their contracts and user agreements. But just because you can add these clauses doesn’t mean you have to do so, which is why pro-consumer advocacy groups gathered more than 100,000 signatures on a petition that was delivered, with a little bit of music, to Citigroup HQ in Manhattan this morning. [More]

(sparkle-motion)

Will New Owner Of Everest University, WyoTech Continue With Old Owner’s Sketchy Practice?

When students apply to one of the for-profit schools owned by Corinthian Colleges Inc., they sign away their right to seek any legal action against the company if they’re wronged. Now that CCI is selling off 56 of its Everest and WyoTech campuses, the new owners have a chance to end this anti-consumer practice, but will they? [More]

Comcast Customer Says Company Pulled Credit Report Even After He Paid It Not To

Comcast Customer Says Company Pulled Credit Report Even After He Paid It Not To

When a Chicago man recently contacted Comcast to set up a new broadband account, he was told the company would have to run a credit check — or he could pay a $50 deposit to waive that requirement. But the customer claims that Comcast went ahead and pulled his credit anyway, which is why he’s now suing the nation’s largest consumer broadband provider. [More]

(Hammerin Man)

Protecting Military Servicemembers From Predatory Loans Is A National Security Issue

In recent years, we’ve written a number of stories about laws aimed at protecting active-duty servicemembers and their families from predatory loans and the businesses that try to take advantage of loopholes in these rules. Some readers have asked why members of our armed forces merit protections not available to civilians. But this isn’t about just doing something nice for our soldiers; it’s about removing a threat to national security. [More]

(Hammerin Man)

CFPB Urges DoD To Close Loopholes That Cost Military Personnel Millions Of Dollars

Nearly three months ago the Obama administration and the Department of Defense announced a proposed overhaul of the Military Lending Act that would aim to close loopholes regularly exploited by predatory lenders in order to sink their hooks into military borrowers. Now, a new report from the Consumer Financial Protection Bureau highlights just how devastating – and costly – those loopholes can be for servicemembers. [More]

Assassin’s Creed Season Pass Owners Who Take Free Game Offer Give Up Right To Sue Ubisoft

Assassin’s Creed Season Pass Owners Who Take Free Game Offer Give Up Right To Sue Ubisoft

Right before Thanksgiving, Ubisoft acknowledged that it botched the launch of the much-anticipated game Assassin’s Creed: Unity, and that people who bought the title early would be offered make-goods of free content. Now that the first of those freebies has gone live, users are realizing it comes with a catch — give up your right to sue. [More]

(David Transier)

Verizon Customer Gets Police Involved After Phone Disappears Into FedEx Vortex

So Verizon sends you a new phone worth hundreds of dollars. FedEx claims it was delivered and that you signed for it, though that’s impossible because you were miles away from home when the delivery allegedly occurred. Neither company will do anything about the issue and both blame you. What’s a decent human being to do? [More]

Consumer Advocates Warn Sale Of Corinthian Campuses To Loan Servicer Company Could Further Hurt Students

Consumer Advocates Warn Sale Of Corinthian Campuses To Loan Servicer Company Could Further Hurt Students

Nearly a month ago embattled for profit-college group Corinthian Colleges Inc. announced it had found a buyer for 56 of its campuses under the Everest and WyoTech brands. But the proposed $24 million sale to Educational Credit Management Corporation has drawn the ire of consumer advocates for its lack of protections to students and the possibility that all liabilities related to litigation or private student loans carried by CCI would be waived. [More]

(Colin)

Petition Demands Big Banks Give Consumers Back Our Right To Sue

Since 2011, when the U.S. Supreme Court affirmed that it was perfectly okay for companies to take away a consumer’s right to sue — and their ability to join other wronged consumers in a class action — by inserting a paragraph or two of text deep in lengthy, unchangeable contracts, the rush has been on for almost every major retailer, wireless provider, cable company, and financial institution to slap these mandatory binding arbitration clauses into their customer agreements. Now one petition is gathering signatures, calling on the nation’s largest banks to put an end to the practice. [More]

(Hammerin Man)

Service Members Deserve More Transparency From On-Base Banks, Credit Unions

The Military Lending Act attempts to shield military personnel and their families from some predatory lending practices, but a new report from the Pew Charitable Trusts claims that some traditional banks on military bases are nickel-and-diming members of the armed forces with excess overdraft fees, and a general lack of transparency.

[More]

(Mike Mozart)

AT&T Sued By Feds For Throttling “Unlimited” Wireless Customers

A few years back, AT&T ticked off a lot of wireless customers with so-called “unlimited” plans by announcing that it would throttle data speeds for users who passed certain monthly thresholds. Though customers tried to sue in response, AT&T’s terms of service generally prevent class action suits from customers and force users into private, binding arbitration. But even though millions of customers can’t sue, the federal government can. [More]

(Brad Clinesmith)

Frontier Customers Sue, Alleging They Don’t Get Advertised Internet Speeds

In a recently filed class-action suit, Frontier Communications customers in West Virginia allege the cable/Internet company advertised high-speed broadband packages but then failed to deliver, only providing a fraction of what customers were promised. [More]

(Hammerin Man)

Defense Dept. Aims To Close Predatory Lending Loopholes For Military Personnel

While the Military Lending Act aims to protect military personnel and their families from predatory lenders’ often unsavory lending practices that include high interest rates and excessive fees, it still allows for clever lenders to get their hooks into borrowers. That’s why the Obama Administration and the Department of Defense announced a proposed overhaul of the rules – much to consumer advocates’ delight. [More]