The U.S. Department of Education (Department) recently forgave nearly $1 billion in student loan debt for those who were defrauded by their schools into taking out loans. The relief was granted under the Borrower Defense to Repayment program and will impact roughly 72,000 individuals. The loan forgiveness only applies to those student loan borrowers who
The Second Circuit Court of Appeals recently upheld a ruling that reporting a judgment as “satisfied” was accurate under the Fair Credit Reporting Act (FCRA) when the underlying lawsuit was dismissed by stipulation as “settled” without the prior judgment being vacated. The Second Circuit further held that entities alleged to have willfully violated the FCRA
On April 6, the Consumer Financial Protection Bureau (CFPB) issued a consent order against California-based debt collector Yorba Capital Management LLC and its sole owner Daniel Portilla, Jr. for violating the Consumer Financial Protection Act and the Fair Debt Collection Practices Act. The consent order permanently bans Yorba and Portilla from the debt collection business
Beam Financial, Inc. (Beam), a mobile banking app, will be banned from offering any service that may be used to deposit, store, or withdraw funds, and must give a full refund to users as part of a settlement with the Federal Trade Commission (FTC). It also is prohibited from misrepresenting the interest rates, restrictions, and
Join us on Tuesday, April 27 as a panel of Troutman Pepper class action litigators examine recent developments in class action litigation in 2021 and provide insights on what the future holds. The panel will dive into the major decisions that were rendered this past year and explore ways for class action practitioners and in-house
In early March, New York State Attorney General Letitia James and New York City Corporation Counsel John E. Johnson announced a $105 million settlement against a hedge fund manager for tax evasion. The New York authorities were alerted to the potential of fraud in October 2018 by a whistleblower lawsuit brought under New York’s False
Like most industries today, Consumer Finance Services businesses are being significantly impacted by the novel coronavirus (COVID-19). Troutman Pepper has developed a dedicated COVID-19 Resource Center to guide clients through this unprecedented global health challenge. We regularly update this site with COVID-19 news and developments, recommendations from leading health organizations, and tools that businesses can
David Anthony, a partner in Troutman Pepper’s Consumer Financial Services Practice Group, was recently elected a Fellow in the American College of Consumer Financial Services Lawyers. The College is a professional association of lawyers who have made significant contributions to the field of consumer financial services law, exhibit great skill and expertise in
In Moyer v. Patenaude & Felix, A.P.C., the Third Circuit Court of Appeals affirmed the dismissal of a putative class action complaint, alleging that including an invitation to call the debt collector to “eliminate further collection action” was deceptive and overshadowed the validation notice requiring disputes to be in writing in violation of the
The U.S. Supreme Court’s recent decision in Ford Motor Co. v. Montana Eighth Jud. Dist. Ct. held that a state has specific personal jurisdiction over out-of-state mega corporations that advertise, sell, and service their products in that state and whose products cause injuries to the state’s residents. Ford Motor Co. v. Montana Eighth Jud. Dist.