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Consumer Financial Protection Bureau Takes Action Against Payday Lender For Robo-Signing

Washington, D.C. – The Consumer Financial Protection Bureau (CFPB) today took its first enforcement action against a payday lender by buying money America Global, Inc. To refund consumers for robo-signing documents with debt collection lawsuits. The CFPB also discovered that Cash America – among the largest short-term, small-dollar lenders when you look at the country – violated the Military Lending Act by illegally overcharging servicemembers and their own families. Money America will probably pay as much as $14 million in refunds to customers also it shall spend a $5 million fine for those violations as well as for destroying documents prior to the Bureau’s assessment.

“This action brings justice towards the money America customers who have been suffering from unlawful robo-signing, and reveals that we're going to vigilantly protect the customer rights that servicemembers have actually earned, ” said CFPB Director Richard Cordray.Read more

by admin

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