New Jersey Consumers Could Lose Millions as Trump Appointee Jeopardizes Consumer Bureau Actions
Uncertainty Over 38 “Open” or “Active” Enforcement Actions Including 3 Cases on Behalf of New Jersey Consumers
WASHINGTON, D.C. – While courts consider the fate of Mick Mulvaney’s attempted “illegal,” “lawless” “coup” at the Consumer Financial Protection Bureau (CFPB), his directive that important work be frozen could have a disastrous impact on consumers awaiting relief after being screwed over by big banks, credit card companies, debt collections, payday lenders, and other financial predators. In New Jersey, the bureau is suing on behalf of 9/11 first responders and others who have been scammed out of court awarded settlements.
According to an Allied Progress analysis, there are currently 38 “open” or “active” CFPB enforcement actions nationally covering a broad range of consumer issues from illegal foreclosures and debt collection practices to deceiving payday loan borrowers about the cost of loans and charging students for financial aid that was never delivered.
“The Consumer Financial Protection Bureau has returned millions to consumers who have been taken advantage of by big banks and predatory financial institutions. But now that Trump appointee Mick Mulvaney has taken over, these bad actors may get a pass and New Jersey consumers could be denied the settlements they are owed. Thanks to Mulvaney, the fate of New Jerseyans wronged by scammers, payday lenders, and other financial bad actors is now in limbo,” said Karl Frisch, executive director of the consumer watchdog organization Allied Progress.
He continued, “Breaking every promise Trump made to voters, his administration has wasted no time going to bat for big banks, debt collectors, payday lenders, and other financial predators. Putting a ‘freeze’ on the important work of the CFPB may be popular with Wall Street, but it is consumers that have been put on ice. They are the ones who will pay the price for his callous abdication of responsibility.”
To speak with Karl Frisch about Mulvaney and the CFPB, please contact Annette McDermott at 202-697-4804 or annette@alliedprogress.org.
PENDING CFPB ENFORCEMENT ACTIONS IN NEW JERSEY
The below represent “open” or “active” CFPB enforcement actions in New Jersey. They are sorted by date with those started most recently appearing first. The designations come from the CFPB’s enforcement actions website. Each action is also tracked on Allied Progress’ CFPB Action Tracker: CFPBactiontracker.com
- NEW JERSEY: The CFPB has fined Pressler and Pressler LLP and New Century Financial Services for debt collection actions that were “based on flimsy or non-existent evidence.” [“CFPB – Pressler & Pressler, LLP, Sheldon H. Pressler, and Gerard J. Felt, New Century Financial Services, Inc.,” CFPB Action Tracker, accessed 11/28/17]
- NEW YORK and NEW JERSEY: The CFPB has sued RD Legal Funding, among others, for “scamming” 9/11 first responders and NFL players out of court awarded settlements. [“CFPB, Attorney General-NY v. RD Legal Funding, LLC, RD Legal Finance, LLC, and RD Legal Funding Partners, LP, and Roni Dersovitz,” CFPB Action Tracker, accessed 11/28/17]
- NEW JERSEY and PENNSYLVANIA: The CFPB has sued PHH Corporation, a mortgage lending company, for “collecting kickbacks from mortgage insurers as part of a scheme dating back to 1995.” [“CFPB – PHH Corporation,” CFPB Action Tracker, accessed 11/28/17]
>> Click Here for a Complete List of Pending Enforcement Actions <<
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