RMK Financial Corporation d/b/a Majestic Home Loans
Enforcement, Add-On Products, Credit Cards, Mortgages
In April 2015, the CFPB ordered RMK Financial Corporation to pay a $250,000 civil penalty, alleging it deceived consumers into believing it “was affiliated with the U.S. government” used “the names and logos of the Department of Veterans Affairs and the Federal Housing Administration” to falsely imply they were “sent or endorsed by” the federal government. The CFPB alleged RMK “mailed ads to more than 100,000 consumers, including thousands of military service members” tricking consumers into wrongly believing that certain mortgages “had fixed rates when the loans in fact had variable rates.”
The CFPB claimed that “the mailers used the names and logos of the Department of Veterans Affairs and the Federal Housing Administration in a way that falsely implied that the advertisements were sent or endorsed by the VA or FHA.” [E. Scott Reckard, “CFPB sanctions Inland Empire home lender over allegedly deceptive ads,” Los Angeles Times, 04/10/15]
Inactive or Resolved
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