CFPB Tackles Mortgage Protections For Borrowers In The Armed Forces

CFPB Tackles Mortgage Protections For Borrowers In The Armed Forces

The CFPB last week unveiled a set of rules (PDF) to protect mortgage borrowers, especially those who are military servicemembers. [More]

CFPB Fines Lender For Hiding Mortgage Kickbacks As Rent Payments

CFPB Fines Lender For Hiding Mortgage Kickbacks As Rent Payments

The CFPB has ordered a Missouri mortgage lender to pay over $81,000 related to an illegal kickback scheme. [More]

Capital One Is The Most Complained-About Credit Card Company

Capital One Is The Most Complained-About Credit Card Company

Since the Consumer Financial Protection Bureau opened its credit card complaint portal in Sept. 2010, more than 25,000 complaints have been filed with the CFPB. And while the 10 largest credit card issuers account for 93% of all those complaints, one company is responsible for more than 1-in-5 of all complaints filed with the Bureau: Capital One. [More]

New Rule Requiring Banks To Make Sure Borrowers Can Actually Repay Mortgages Goes Into Effect This Week

New Rule Requiring Banks To Make Sure Borrowers Can Actually Repay Mortgages Goes Into Effect This Week

Want a mortgage? Go for it! But thanks to new rules from the Consumer Financial Protection Bureau, the banks are going to need some proof first that you can actually, you know, pay it back. [More]

American Express To Refund $59.5 Million Over Bad Billing & Deceptive Marketing

American Express To Refund $59.5 Million Over Bad Billing & Deceptive Marketing

About 15 months after getting slapped around by the Consumer Financial Protection Bureau to the tune of $112.5 million for a variety of bad business practices, the CFPB put another huge lump of coal in American Express’s Christmas stocking, spanking the credit card company for nearly $70 million, including $59.5 million in refunds to customers. [More]

The 10 Colleges That Received The Biggest Payouts From Credit Card Issuers Last Year

The 10 Colleges That Received The Biggest Payouts From Credit Card Issuers Last Year

Last year, a group of around 15 credit card issuers paid a total of more than $50 million to various schools and school-affiliated organizations in order to market credit cards to people at those educational institutions. Around 70% of that money came from a single Bank of America-owned credit card company, and though hundreds of schools received some sort of payment for helping introduce cards to college students, just the 10 largest single payments account for nearly 30% of the $50 million. [More]

Ally Bank To Pay $98 Million For Charging Higher Interest To Non-White Borrowers

Ally Bank To Pay $98 Million For Charging Higher Interest To Non-White Borrowers

Earlier today, the Justice Dept. and the Consumer Financial Protection Bureau announced the largest auto loan discrimination settlement in U.S. history with the news that Ally Bank has agreed to pay $98 million, including $80 million in refunds to settle allegations that it has been charging higher interest rates to minority borrowers of car loans. [More]

CashCall Tries To Collect On Illegal Payday Loans, CFPB Says “Nice Try”

CashCall Tries To Collect On Illegal Payday Loans, CFPB Says “Nice Try”

Collecting a debt from people who owe money is one thing. Collecting a debt from people who don’t legally owe because those loans should never have been written in the first place? That’s another problem altogether, and the Consumer Financial Protection Bureau is very upset with one company . [More]

CFPB Report Confirms That Banks & Credit Card Companies Are Taking Away Your Right To Sue

CFPB Report Confirms That Banks & Credit Card Companies Are Taking Away Your Right To Sue

In 2011, the Supreme Court held that it was A-OK to not only hide a complicated forced-arbitration clause in a novel-length contract for a consumer product or service, but that it was also just peachy that such a clause stripped the consumer of his/her right to bind together with other affected customers in a class action. Since then, sellers of everything from cellphone service to video games have added these complicated clauses in an attempt to keep complaining consumers out of court and into the unfair arena of arbitration. Today, the Consumer Financial Protection Bureau issued its first report on forced arbitration, and the results are, sadly, not shocking. [More]

GE’s CareCredit To Refund $34.1 Million To Misled Consumers

GE’s CareCredit To Refund $34.1 Million To Misled Consumers

CareCredit is a medical financing service operated by the folks at GE Capital. For almost all of its 4 million customers, CareCredit is a deferred interest loan, meaning cardholders who don’t pay off their balances in full by the end of the initial promotional period are hit with all of the interest that had been accruing during those months. That would be fine (and is quite common in retail credit cards), if the company hadn’t misled consumers into thinking CareCredit was an entirely interest-free product. [More]

CFPB Adds Oversight Of Largest Student Loan Servicing Companies

CFPB Adds Oversight Of Largest Student Loan Servicing Companies

While many banks offer student loans, much of the servicing of that $1 trillion in loans is actually done by non-bank, third-party companies, some of which have been criticized for being difficult to deal with and having byzantine repayment rules. Today, the Consumer Financial Protection Bureau, which already oversees student loan servicing by large banks, issued a new rule giving the agency the authority to supervise certain non-bank servicers in an effort to further ensure borrowers are being treated fairly and to rein in abusive loan servicing practices. [More]

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Payday Lender To Pay $19 Million For Robo-Signed Collections & Overcharged Servicemembers

Last week, the Consumer Financial Protection Bureau took a big step toward reining in irresponsible, predatory lenders by taking its first enforcement action against a large payday loan operation accused of robo-signing court documents related to debt-collection lawsuits, illegally overcharging military servicemembers and their families, and trying to cover these actions up by destroying documents before the CFPB could investigate. [More]

CFPB Looking Into “Confusing Rules” Of Credit Card Rewards Programs

CFPB Looking Into “Confusing Rules” Of Credit Card Rewards Programs

As we mentioned earlier this week, credit card rewards programs can be overly complicated and come with rules and limits that drain their value. Now the Consumer Financial Protection Bureau says it is looking into these programs to determine if cardholders are being misled about the costs and benefits of these offers. [More]

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From Start To Finish, The Student Loan Industry Is In Need Of Massive Overhaul

Student loan debt in the U.S. has passed the $1 trillion mark while the cost of an education continues to outpace inflation, meaning tomorrow’s students will need to take on even more debt than the millions of graduates who already owe money. A new report from our coworkers at Consumers Union shows just how screwed up and unbalanced the student loan system is at every step of the way. [More]

Getting Ahead On Paying Down Student Loans Is A Good Plan, But Not Without Problems

Getting Ahead On Paying Down Student Loans Is A Good Plan, But Not Without Problems

For people looking to get out from under student loan debt before they have grandchildren, paying more than is owed each month has traditionally been an option. But according to a new report from the Consumer Financial Protection Bureau, questionable practices and a lack of transparency at loan servicing companies have resulted in prepayment causing undue headaches. [More]

Regulators Ask Banks To Not Be Jerks To Customers Affected By Shutdown

Regulators Ask Banks To Not Be Jerks To Customers Affected By Shutdown

The shutdown of the federal government is now a week old, meaning a growing number of furloughed workers — and employees of businesses whose income depends on government contracts — are having trouble keeping up with their bills. In a joint statement today, five regulators have asked banks and other financial institutions to be mindful of customers who are directly impacted by the current staring contest. [More]

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Consumers Saved $4 Billion In Credit Card Fees Last Year, But Fewer Have Access To Credit

It’s been four years since lawmakers passed the CARD Act, a massive set of reforms for the credit card industry. As a result, consumers have saved billions in fees and other charges, but access to credit has also become more difficult for some people. [More]

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Chase To Pay $389 Million Over Illegal Charges For Credit-Monitoring Services

It’s not been a banner week for JPMorgan Chase, which has agreed to pay out nearly a billion dollars to close investigations related to the 2012 “London Whale” trading fiasco, and now is told it must pay out $309 million in refunds and $80 million in penalties over illegal credit card charges for ID and fraud-protection services customers never ordered. [More]