Enforcement

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On August 21, the CFPB filed a complaint and stipulated final judgment in the U.S. Bankruptcy Court for the Central District of California against a fintech service provider in Chapter 11 proceedings. The Bureau alleged violations of the Consumer Financial Protection Act (CFPA), asserting the company engaged in unfair acts and practices by failing to maintain accurate custodial records of consumer funds. The stipulated order, entered with the consent of the Chapter 11 Trustee, permanently bars the company from participating in a range of consumer financial activities.

Continue Reading CFPB Secures Permanent Ban on Fintech Service Provider for Alleged Unfair Practices

On August 18, the OCC terminated its 2022 consent order against a national bank. The order was issued under the Bank Secrecy Act and related anti-money laundering regulations, and required the bank to implement corrective measures in areas such as customer due diligence, suspicious activity monitoring, and governance.

Continue Reading OCC Terminates 2022 Consent Order Against National Bank

On August 19, Massachusetts Attorney General Andrea Joy Campbell announced a $795,000 settlement with a property management company for alleged violations of the Massachusetts Consumer Protection Act, and the Massachusetts Data Security Law and Data Security Regulations. The AG alleged that the company failed to maintain reasonable data security practices and delayed required notifications to both regulators and consumers following multiple cybersecurity breaches.

Continue Reading Massachusetts AG Secures $795,000 Settlement for Alleged Data Security and Breach Notification Failures

On August 8, the U.S. District Court for the District of Maryland issued an opinion partially granting an earned wage access (EWA) provider’s motion to dismiss that challenged whether the company operated as an unlicensed lender in violation of the Maryland Consumer Loan Law (MCLL), charged unlawful fees, and failed to comply with disclosure obligations under the Truth in Lending Act (TILA). Plaintiffs also alleged the company violated the Maryland Consumer Protection Act’s (MCPA) prohibition on unfair or deceptive trade practices with respect to extensions of credit.

Continue Reading District Court Allows Federal TILA and Maryland Consumer Loan Law Claims to Move Forward Against Earned Wage Access Provider

On August 18, the California Department of Financial Protection and Innovation (DFPI) announced a $2.3 million settlement with a former mortgage lender and servicer for alleged violations of the California Residential Mortgage Lending Act and California Financing Law. According to the DFPI, the company improperly charged thousands of California borrowers per diem interest in excess of what is permitted under state law.

Continue Reading DFPI Orders Mortgage Lender to Pay $2.3 Million for Per Diem Interest Overcharges

On July 14, the U.S. District Court for the District of Arizona granted the Federal Trade Commission’s request for a temporary restraining order against multiple defendants operating a nationwide debt relief scheme. The defendants are alleged to have violated the FTC Act, the Telemarketing Sales Rule (TSR), the Fair Credit Reporting Act (FCRA), the Gramm-Leach-Bliley Act (GLBA), and the FTC’s Impersonation Rule. The court’s order imposed an asset freeze, appointed a temporary receiver, and suspended the defendants’ business operations.

Continue Reading FTC Halts Alleged $100M Debt Relief Scam Under Impersonation Rule

On July 23, the U.S. District Court for the Eastern District of Pennsylvania denied the Department of Justice’s motion to terminate a consent order requiring a Pennsylvania bank to implement a five-year fair lending remediation program. The DOJ had previously alleged that the bank violated the Fair Housing Act and the Equal Credit Opportunity Act by redlining majority-Black and Hispanic neighborhoods in the Philadelphia metropolitan area.

Continue Reading Federal Court Rejects DOJ’s Request to End Oversight of Pennsylvania Bank’s Redlining Settlement

On July 10, Massachusetts Attorney General Andrea Joy Campbell announced a $2.5 million settlement with a student loan company to resolve allegations that its underwriting practices violated the Massachusetts Consumer Protection Act and the Equal Credit Opportunity Act, including through the use of artificial intelligence models that produced disparate impacts on protected groups.

Continue Reading Massachusetts AG Settles with Student Loan Lender on AI-Based Fair Lending Violations

On July 18, the CFPB terminated a 2024 consent order against a credit union after concluding that the entity had satisfied certain monetary and compliance-related requirements. The original order, issued in October 2024, alleged violations of the Consumer Financial Protection Act arising from the credit union’s 2022 banking platform conversion, which left members unable to access their online and mobile accounts for extended periods of time.

Continue Reading CFPB Terminates Consent Order Against Credit Union Early

On July 11, 2025, the Consumer Financial Protection Bureau (CFPB) announced a proposed $9 million settlement resolving its November 2021 lawsuit against a national pawn lender and its subsidiaries. The company and its subsidiaries operated more than 1,000 retail pawnshops across the United States and offer short-term, collateralized loans through a network of wholly owned subsidiaries.

Continue Reading CFPB Orders Pawn Lender to Pay $9 Million for Alleged Military Lending Act Violations