The Consumer Finance Protection Bureau said that Chase sold “zombie debts” to third-party debt buyers, which include consumer accounts that were inaccurate, settled, discharged in bankruptcy, not owed, or otherwise not collectible.
Many U.S. consumers don’t know that the agency can step in and help if they believe that a lender has committed a wrongdoing.
“We are still finding that thousands of consumers paid for add-on benefits they were promised but never received.”
The U.S. Consumer Finance Protection Bureau said Wednesday that it asserting its authority to oversee what are called “non-bank” auto finance companies — the lenders who write many of the subprime loans for low-income car buyers.
The U.S. Consumer Financial Protection Bureau Wednesday issued an advisory warning consumers that many reverse mortgage ads do not tell the full story.
“Today’s actions will put $120 million back into the pockets of harmed consumers and require these companies to improve their billing practices going forward.”
This means that one in 10 Americans have little to no credit, creating financial barriers to getting a credit card, earning an education, buying a home or starting a small business.
Very few consumers individually seek relief through arbitration or the federal courts, while millions of consumers are eligible for relief each year through class action settlements, the CFPB said.
The CFPB said it has filed suit against Sprint for allowing third parties to “cram” tens of millions of dollars in unauthorized charges on customers’ mobile-phone accounts.
The U.S. Consumer Financial Protection Bureau, along with the Florida’s Attorney General, has shut down a student “debt relief” provider College Education Services, and separately filed a lawsuit against Student Loan Processing for illegal marketing, agency officials said.