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ARTICLE · 21 SEPTEMBER 2021

CFPB Sues Lender (Again!) Over Borrowing Claims

Frankfurt Kurnit Klein & Selz PC
Frankfurt Kurnit Klein & Selz PC
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Frankfurt Kurnit Klein & Selz PC

Frankfurt Kurnit Klein & Selz PC

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Earlier this month, the Consumer Financial Protection Bureau sued LendUp Loans, alleging that the company violated a 2016 consent order by misleading consumers...

United StatesMedia, Telecoms, IT, Entertainment

Earlier this month, the Consumer Financial Protection Bureau sued LendUp Loans, alleging that the company violated a 2016 consent order by misleading consumers in its advertising about the benefits of repeat borrowing from the company.  

In its complaint against LendUp, the CFPB alleged that the company advertised that it offered larger loans, at lower rates, to repeat borrowers who ascend its "LendUp Ladder."  Claiming that consumers could "Climb to a brighter financial future," LendUp advertised that, "Over time, you can earn points to climb the LendUp Ladder to apply for larger loans at lower rates . . . . Earning points is as simple as making on-time loan payments and taking our free financial education courses."  

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This post first appeared in Frankfurt Kurnit's Focus on the Data blog (www.focusonthedata.com). It provides general coverage of its subject area. We provide it with the understanding that Frankfurt Kurnit Klein & Selz is not engaged herein in rendering legal advice, and shall not be liable for any damages resulting from any error, inaccuracy, or omission. Our attorneys practice law only in jurisdictions in which they are properly authorized to do so. We do not seek to represent clients in other jurisdictions.

Originally published by the New York Legal Ethics Reporter

www.fkks.com

This alert provides general coverage of its subject area. We provide it with the understanding that Frankfurt Kurnit Klein & Selz is not engaged herein in rendering legal advice, and shall not be liable for any damages resulting from any error, inaccuracy, or omission. Our attorneys practice law only in jurisdictions in which they are properly authorized to do so. We do not seek to represent clients in other jurisdictions.

www.fkks.com

This alert provides general coverage of its subject area. We provide it with the understanding that Frankfurt Kurnit Klein & Selz is not engaged herein in rendering legal advice, and shall not be liable for any damages resulting from any error, inaccuracy, or omission. Our attorneys practice law only in jurisdictions in which they are properly authorized to do so. We do not seek to represent clients in other jurisdictions.

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