The Federal Trade Commission has stopped an online program that allegedly lured consumers with “free” access to their credit scores and then billed them a recurring fee of $29.95 per month for a credit monitoring program they never ordered. The defendants are One Technologies LP (also doing business as ScoreSense, One Technologies Inc., and MyCreditHealth);
On November 10, the Supreme Court declined to review an appeal by debt collection law firm Phelan Hallinan & Shmieg LLP over a Third Circuit decision in a class action that held that debtors are not required to dispute a debt under the Fair Debt Collection Practices Act before filing an FDCPA lawsuit.
On June
On November 13, the Consumer Financial Protection Bureau unveiled a comprehensive slate of consumer protections for prepaid debit cards that could increase the customer base for the financial product. The proposed rules (found here) are the most comprehensive set of federal standards for the fast-growing prepaid industry. Consumers are expected to load nearly $100
On November 13, the U.S. District Court for the Eastern District of New York ruled that a debt collector’s voicemail message did not violate the Fair Debt Collection Practices Act when it never mentioned that plaintiff owed a debt or conveyed any information about the debt, despite being overheard by the plaintiff’s son. In Zweigenhaft
On November 13, Doug Bower, President and Director of the Network Branded Prepaid Card Association (NBPCA), issued the following statement regarding the CFPB’s comprehensive slate of consumer-protection rules for prepaid debit cards:
We appreciate the CFPB’s earnest efforts to gather information, analyze data, and draft a proposed rule that acknowledges that prepaid cards are a
Last week, the U.S. Supreme Court heard argument in an appeal from the U.S. Court of Appeals for the Eighth Circuit that involves an interpretation of a provision under the Truth-in-Lending Act that has caused a split among the lower courts. The Supreme Court has to determine whether a borrower exercises his right to rescind
On November 7, the Rosen Law Firm, P.A. announced that it had filed a class action lawsuit against national chain Jimmy John’s Gourmet Sandwiches relating to a security breach involving customers’ credit and debit cards earlier this year. The lawsuit alleges that the company’s grossly inadequate information systems and network security oversight led to an
By this time next year, the CFPB’s new TILA-RESPA Integrated Disclosures rule will be in effect. Is your company prepared to comply with the new rule?
On Tuesday, November 18, the CFPB and the Federal Reserve will host an hour-long webinar beginning at 2:00PM EST to address frequently asked questions on how to complete the
On October 22, the CFPB published in the Federal Register the compliance bulletin and policy guidance regarding mortgage servicing transfers that it issued on August 19, 2014 (link to full text can be found here). It states that “[t]his bulletin is effective October 23, 2014 and applicable beginning August 19, 2014.” The bulletin
On October 28, the Consumer Financial Protection Bureau issued the latest edition of its “Supervisory Highlights” report, covering illegalities it discovered in the debt collection, student loan servicing, and mortgage collection markets between March and June 2014. Although the Bureau acknowledged increased efforts by covered entities to ensure regulatory compliance, the report nevertheless