In September 2017, the CFPB “imposed a $100,000 fine on California company Zero Parallel LLC” for “steering borrowers into illegal and bad debts.” Zero Parallel, a “lead aggregator” that “identifies potential borrowers and then sells their information,” sold short-term loan “applications to lenders it knew did not follow states’ usury laws, interest-rate restrictions and prohibitions on who can make the loans, and kept borrowers in the dark about risks and costs.” The company agreed to “pay the fine without admitting or denying the allegations.
- On September 6, 2017, the CFPB issued a consent order to Zero Parallel, LLC. [CFPB – Zero Parallel, LLC, Case no. 2017-CFPB-0017]
- The CFPB “imposed a $100,000 fine on California company Zero Parallel LLC” “for steering borrowers into illegal and bad debts.” According to the CFPB, Zero Paralell, “which as a ‘lead aggregator’ identifies potential borrowers and then sells their information,” “sold applications to lenders it knew did not follow states’ usury laws, interest-rate restrictions and prohibitions on who can make the loans, and kept borrowers in the dark about risks and costs.” The company said it would “pay the fine without admitting or denying the allegations.” [Lisa Lambert, “Web site steered U.S. borrowers into bad, illegal payday loans: CFPB,” Reuters, 09/06/17]
Status
Inactive or Resolved