National mortgage lender agrees to $48M settlement with DOJ

mortgage lender $48M settlement with DOJOn December 28, the US Department of Justice (DOJ) issued a press release announcing it reached a settlement with a national mortgage lender to resolve allegations that the lender violated the False Claims Act by originating mortgage loans that failed to meet applicable underwriting standards. United Shore Financial Services, LLC (USFS) will pay $48 million to the United States.

According to the settlement agreement, USFS endorsed loans for Federal Housing Administration (FHA) insurance that did not meet all FHA underwriting requirements.

CFPB enters into consent order for $125K with Arizona title lender

In September, the CFPB filed individual administrative lawsuits against five Arizona auto title lenders for deceptive online advertising practices. On December 20, the CFPB entered into a consent order with one of those lenders. Presto Auto Loans, Inc., an auto title lender operating in the State of Arizona, settled the charges by agreeing to pay a civil money penalty of $125,000 to the CFPB’s Civil Penalty Fund.

CFPB sues four Virginia pawnbrokers for deceptive practices

CFPB sues four Virginia pawnbrokersOn December 19, 2016, the CFPB filed four lawsuits in federal district court against four Virginia pawnbrokers for alleged violations of the Consumer Financial Protection Act (CFPA) and the Truth in Lending Act (TILA).

All four of the Bureau’s complaints are very similar in substance and format. In each complaint, the Bureau alleges that the four companies deceived consumers by failing to disclose an accurate annual percentage rate (APR) on closed-end pawn contracts.