Consumer Financial Protection Bureau drops lawsuit againt online predatory lender

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Consumer Financial Protection Bureau drops lawsuit againt online predatory lender

Post by sanfordandson » Mon Feb 12, 2018 11:07 am

https://www.npr.org/2018/02/12/58498069 ... n-watchdog
Within weeks of coming on board, Mulvaney has worked to make the watchdog agency less aggressive. Under his leadership, the CFPB delayed a new payday lending regulation from going into effect and dropped an investigation into one payday lender who contributed to Mulvaney's campaign. In another move that particularly upset some staffers, the new boss also dropped a lawsuit against an alleged online loan shark called Golden Valley Lending. The suit says the lender illegally charges people up to 950 percent interest rates. It took CFPB staffers years to build the case.

A key backer of Golden Valley was recently convicted of racketeering charges in a case involving another online lender, according to court documents. Given this history, Peterson wonders why Mulvaney dropped the lawsuit against Golden Valley.

Some see this as Mulvaney's way of paying back supporters of his campaign.

"As a congressman he took $62,000 plus from the payday lenders. And now at the CFPB he's doing their bidding," says Karl Frisch, executive director of the consumer group Allied Progress.
trump has the swamp overflowing... [-X

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