CFPB joins states in taking action against SoLo Funds for UDAAP, FCRA violations

A recent lawsuit filed by the Consumer Financial Protection Bureau against online lender SoLo Funds is an example of the bureau supplementing state regulators’ efforts in going after nonbank financial entities for unlawful practices. SoLo has been the subject enforcement actions across the country citing the company’s alleged deceptive advertising of its loan costs and its practice of masking fees as “tips” and “donations” for individual lenders, the bureau explained in a complaint filed with the U.S. District Court for the Central District of California.