Oak Park Real Estate & Estate Planning Blog

If you have student loan debt and your servicer is Navient, it is important to be aware of recent allegations of deceptive and unfair lending practices against this entity. According to a recent article in The New York Times , the Consumer Financial Protection Bureau (CFPB) has filed a complaint against what the newspaper calls “the nation’s student loan serving behemoth,” alleging that the lender took unnecessary shortcuts in addition to deceiving and cheating borrowers. According to the CFPB’s complaint, Navient “failed customers at every stage of repayment.” What else should you know about the CFPB’s complaint against Navient? If your student loans are serviced through Navient, how might the complaint impact you? Specific Deceptive and Unfair Lending Practice Allegations Against Navient As the article clarifies, the allegations against Navient, a accompany that “oversees $300 billion in student loans for 12.5 million borrowers,” are numerous. The complaint a...

If you are a consumer in the Chicago area, it is important to understand your rights when it comes to deceptive lending practices and the risks associated with certain types of loans. What rights do you have as a consumer? And what kinds of lending services can put consumers at risk ? Recent Report Indicates that Installment Loans May Be as Harmful as Payday Loans According to an article in the Chicago Tribune , a study conducted by Pew Charitable Trusts has warned the public that payday loans are not the only path along which deceptive lending practices can occur. Installment loans, the study suggests, also can put consumers at risk of harm. As the article explains, “as the federal government clamps down on traditional payday loans that cripple low- and moderate-income borrowers with unaffordable payments, lenders are shifting their businesses to installment loans that can be just as harsh on struggling people.” Installment loans, the article argues, similarly ...

Under the Fair Debt Collection Practices Act (FDCPA), debt collectors cannot harass or threaten debtors in order to collect payments, and they cannot engage in false or deceptive debt collection practices with the aim of collecting money owed. Yet creditors and debt collectors do not always abide by the FDCPA. What happens in the event that a debt collector uses deceptive collection practices in order to recover on a debt? The Consumer Financial Protection Bureau (CFPB) can take action against that collector. According to a recent news release from the CFPB, the Bureau has cited both Encore Capital Group and Portfolio Recovery Associates for buying “debts that were potentially inaccurate, lacking documentation, or unenforceable.” How Does the FDCPA Define Deceptive Debt Collection Practices? It is important for consumers to know their rights and to understand that certain federal laws were designed to protect them from unfair practices by debt collectors. Specifically, ...