The Department of Financial Protection and Innovation (DFPI) of California entered a settlement agreement with Chime Financial, Inc. (Chime), a neobank company that is not licensed to operate as a bank or otherwise exempt from licensure, but works with banking partners to issue consumer banking products. The DFPI found that Chime potentially violated California Financial

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

On April 20, members of the Federal Trade Commission (FTC) testified before the Senate Commerce Committee to update lawmakers of their efforts to curtail scams and other fraudulent consumer abuses related to the novel coronavirus (COVID-19). In addition to highlighting the abuses consumers have faced during COVID-19, the FTC reiterated its call for Congress to

A district court judge in California has certified a FDCPA letter class involving billing and collection letters sent by a collection company used by Hertz car rental agency. The plaintiff in DeNicolo v. Hertz Corp. alleges that the letters, sent to consumers after Hertz allegedly discovered damage to the returned rental cars, were attempts

In Tinsley v. Fairway Collections, LLC, the Western District of Washington recently issued an opinion finding that dismissal of a consumer’s FDCPA claim was not warranted because she alleged not owing the underlying debt at the time a collection lawsuit was filed against her. The court also found that a consumer does not need

Judge James Teilborg of the U.S. District Court Judge for the District of Arizona awarded Thomas McDermott over $17,000 in damages and attorney’s fees after he obtained a default judgment against collection agency, Perfection Collection LLC (Perfection Collection), for violating the Fair Credit Reporting Act (FCRA) by furnishing inaccurate information when it reported a delinquent

In a panel decision on April 21, the Eleventh Circuit held that (1) a consumer had standing to bring a claim under the Fair Debt Collection Practices Act (FDCPA) because he alleged an invasion of privacy based on the spread of his debt-related information; and (2) a debt collector’s outsourcing of its letter process to

In Shepherd v. Debt Recovery Sols. of Ohio, Inc., No. 3:20-cv-520 (N.D. Ohio Apr. 22, 2021), the court dismissed a putative class action alleging violations of the Fair Debt Collections Practices Act, finding that the named plaintiff had not suffered a concrete injury, and therefore, he lacked standing to assert a claim.

The plaintiff,

In Uvaldo v. Germain Law Office PLC, an Arizona District Court denied a plaintiff’s motion for partial judgment on the pleadings in a Fair Debt Collection Practices Act case. In its holding, the court emphasized that the expectation that a car purchaser would read a collection letter and know that he/she is a “consumer”

We are pleased to announce that Troutman Pepper attorneys, Ashley Taylor and John Lynch, will be presenting during the virtual MBA LIVE – Legal Issues and Regulatory Compliance Conference 2021. This conference offers timely updates on emerging regulatory priorities resulting from the change in administration, including the delay of the mandatory compliance date of the