Financial Services Company Fined $15 Million For False Advertising, Improper Commercial Practices Targeted At Military Families
Recently, the Consumer Financial Protection Bureau (CFPB) ordered TitleMax—a private title lending company that is licensed to operate in many states—to furnish $5 million in direct consumer relief and pay a $10 million civil penalty for false advertising and other improper commercial practices. Here, our West Palm Beach FDUTPA lawyer explains the enforcement action in more detail and highlights the steps you should take if you suffered losses due to deceptive/unfair business practices in Florida.
CFPB Enforcement Action: Military Families Targeted By Unfair Business Practices
The Consumer Financial Protection Bureau (CFPB) has taken legal action against a network of corporate entities operating under TMX Finance. The company is known to the public more commonly as the “TitleMax.” According to the enforcement action, the company unlawfully took advantage of military members and their families in a number of different states, including in Florida. A CFPB investigation revealed that the company made title loans to military members in violation of the requirements of the Military Lending Act, which strictly caps the annual interest rate at 36 percent. TitleMax loans often carried an interest rate nearly. Further, the company used false advertising and other deceptive practices to get military families to take out these loans.
Three Steps to Take If You Were Damaged By Deceptive/Unfair Practices in Florida
Deceptive and otherwise unfair practices by businesses can cause serious harm to consumers. The losses associated with false advertising or other types of improper commercial conduct can put a serious financial strain on the victim and their family. As stressful as dealing with this type of situation can be, there is some good news. You have options available under Florida law. Here are three key steps to take to protect your rights and your interests.
- Prevent Additional Losses: First and foremost, it’s essential to stop any ongoing damages as soon as possible. Make sure you protect yourself—and your accounts—from any other improper practices by the business.
- Document Everything: Keep a record of all the communications, transactions, and evidence related to the deceptive or unfair practice. Detailed information will be essential if you need to take legal action against the business.
- Consider an FDUTPA Claim: The Florida Deceptive and Unfair Trade Practices Act (FDUTPA) is designed to protect consumers from fraudulent, deceptive, or unfair business practices. If you believe you have been a victim of such practices, you can file a claim under FDUTPA.
Contact Our West Palm Beach Deceptive Practices Lawyer Today
At Pike & Lustig, LLP, our West Palm Beach business and consumer fraud lawyers have the skills and experience to take on the full spectrum of FDUTPA claims. If you have any questions about false advertising, we are here as a legal and professional resource. Contact our firm today to arrange your completely confidential, no obligation initial appointment. From our offices in West Palm Beach and Miami, we help clients navigate FDUTPA matters throughout all of South Florida.
Source:
consumerfinance.gov/about-us/newsroom/cfpb-orders-titlemax-to-pay-a-10-million-penalty-for-unlawful-title-loans-and-overcharging-military-families/
