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NCLC in the News

Select media clips. Journalists interested in speaking with an expert at the National Consumer Law Center should contact Jan Kruse (This email address is being protected from spambots. You need JavaScript enabled to view it. or 617.542,8010).

Press Releases

Class Actions Matter: Consumers Mislabeled as Terrorists Join in $60 Million Verdict against TransUnion for Violating Key Consumer Protection Law

For Immediate Release: June 21, 2017 : Contact: Jan Kruse (jkruse(at)nclc.org or 617.542.8010)

(BOSTON) A record-breaking verdict awarded yesterday by a California jury against the TransUnion credit reporting agency demonstrates the importance of class actions and of strong consumer protection laws, according to advocates at the National Consumer Law Center. The jury awarded a nationwide class of over 8,000 consumers nearly $60 million in statutory and punitive damages. The jury found that TransUnion violated the Fair Credit Reporting Act when it carelessly misidentified the consumers as terrorists and criminals in their credit reports, confusing the consumers with similarly named individuals on a government watch list. The verdict is the largest FCRA verdict to date. 

Advocates from National Consumer Law Center noted that the case demonstrates the importance of class actions and the civil justice system, including consumer protection laws that allow injured consumers to seek relief in court. They noted that Trans Union had defended its poor matching procedures by arguing that consumers weren't financially harmed by the inaccuracies.

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Congress Must Defend Service Members from Predatory Financial Scams

For Immediate Release: June 21, 2017 || Contacts

Consumer Groups Applaud Reform Applaud Legislation to Enforce Financial Protections for Military Personnel

WASHINGTON, D.C. – Public Citizen, Americans for Financial Reform, the Consumer Federation of America and the National Consumer Law Center applaud U.S. Sens. Jack Reed (D-R.I.), Sherrod Brown (D-Ohio) and their colleagues for reintroducing the Military Consumer Enforcement Act, which would empower the U.S. Consumer Financial Protection Bureau (CFPB) to oversee and enforce certain provisions of the Servicemember Civil Relief Act (SCRA).

Originally passed during World War II and modernized in 2003, the SCRA was intended to ease economic burdens on military personnel and ensure military readiness by protecting service members against common banking abuses.

“Predatory schemes frequently target service members and their families,” said Lisa Donner, executive director of Americans for Financial Reform. “This legislation grants the CFPB the authority it needs to effectively enforce crucial SCRA protections that make sure banks can’t put military families out on the street or seize their cars in violation of the law.”

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Department of Education Intends to Revisit Rules that Provide Relief and Protections to Students, Taxpayers from School Fraud

FOR IMMEDIATE RELEASE: JUNE 14, 2017 Contacts: Joanna Darcus, jdarcus(at)nclc.org, 617.542.8010, or Stephen Rouzer, srouzer(at)nclc.org, 202.595.7847

Secretary DeVos intends to delay borrower defense rule that would help students avoid unfair debt and holds predatory schools accountable.

BOSTON – Today, National Consumer Law Center advocates deplored the decision by Secretary of Education Betsy DeVos to revise rules designed to protect federal student loan borrowers—including a disproportionate share of low-income students, women, people of color, and veterans—and taxpayers from predatory schools and abrupt school closures.

Together, the borrower defense and gainful employment rules provide important safeguards for students and taxpayers. “These rules were created through robust negotiation processes,” said Persis Yu, director of the National Consumer Law Center’s Student Loan Borrower Assistance Project. “Starting over wastes taxpayer money and creates uncertainty for students who are wondering how to protect themselves from being ripped off by predatory schools.”

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NCLC Leads Consumer Groups in Urging FCC to Initiate Enforcement Action Against Navient for Violations of the TCPA

FOR IMMEDIATE RELEASE: June 14, 2017 : CONTACTS: Margot Saunders, msaunders(at)nclc.org or 202-595-7844; Stephen Rouzer, srouzer(at)nclc.org 202-595-7847

WASHINGTON, D.C. – In an unprecedented letter to the Federal Communication Commission (FCC), six national consumer groups asked the FCC to initiate an enforcement action against the student loan debt servicer Navient Solutions, LLC., for its multiple and repeated violations of the Telephone Consumer Protection Act’s (TCPA’s) prohibitions against robocalls to cell phones without consent. The letter cites numerous examples of repeated robocalls by Navient to student loan debtors and others, even after consumers had made multiple requests for the calls to stop. The groups urged the FCC to bring an enforcement action against Navient to stop robocalling consumers who have not provided consent to be called or who have revoked their consent.
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NCLC Calls on Congress to Restore Federal Protections Against Abusive Debt Collection

FOR IMMEDIATE RELEASE: June 13, 2017 || Contacts: April Kuehnhoff (akuehnhoff(at)nclc.org), Margot Saunders (msaunders(at)nclc.org) or Stephen Rouzer (srouzer(at)nclc.org), 202-595-7847

WASHINGTON–Yesterday, in a decision authored by Justice Neil Gorsuch, the Supreme Court ruled in Henson v. Santander Consumer USA, Inc. that the Fair Debt Collection Practices Act (FDCPA)—the key federal law that prohibits late night debt collection calls, threats, harassment of neighbors, and contacts after the consumer tells the debt collector to stop—did not apply to Santander. Because Santander was collecting debts it bought from a different lender, the Supreme Court held that it did not qualify under one of the FDCPA’s definitions of debt collector, which covers companies that regularly collect debts owed or due another.

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Congress Makes the Wrong Choice with Financial Reform Rollback Legislation

FOR IMMEDIATE RELEASE:  June 8, 2017 ||  Contact: Stephen Rouzer, srouzer(at)nclc.org, 202.595.7847 or 850.603.9216

NCLC Statement on the Financial CHOICE Act of 2017, “an assault on ordinary Americans.”

WASHINGTON, D.C.– Today, the U.S. House of Representatives passed a bill that would gut essential financial reforms enacted under the 2010 Dodd-Frank Wall Street Reform and Consumer Protection Act, as well as longstanding financial protections that go back decades, according to advocates at the National Consumer Law Center.
Alys Cohen, staff attorney at the National Consumer Law Center, made the following statement:

“The Financial CHOICE Act of 2017 is breathtaking in its assault on ordinary Americans, responsible companies who want a level playing field, and safeguards for the economy as a whole.
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NCLC Applauds CFPB Plan to Issue Regulations Protecting Consumers from Abusive Debt Collection Communications

FOR IMMEDIATE RELEASE: June 8, 2017 || Contacts: April Kuehnhoff (akuehnhoff(at)nclc.org), Margot Saunders (msaunders(at)nclc.org) or Stephen Rouzer (srouzer(at)nclc.org), 202.595.7847

WASHINGTON, D.C.– Today, Richard Cordray, director of the Consumer Financial Protection Bureau (CFPB), announced that the CFPB is moving forward with  debt collection regulations implementing the Fair Debt Collection Practices Act (FDCPA). The proposed regulations will place limits on collection communications and require debt collectors to provide critical information to consumers about their rights.

These regulations will be a continuation of the CFPB’s critical work protecting consumers and will follow directly from the CFPB’s recently released report of the results of a national survey of consumer experiences with debt collection. The survey found that of the 70 million Americans who were contacted about a debt in the previous year, almost 12 million people were contacted by collectors eight or more times a week.  

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Court to Consider Constitutionality of CFPB in PHH v CFPB

For Immediate Release: May 23, 2017 || Contacts

Consumer Agency Was Structured to Ensure It Would Represent Main Street, Not Be Influenced by Wall Street

Washington - On Wednesday, the U.S. Court of Appeals for the D.C. Circuit hears arguments in a case challenging the constitutionality of the law that established the U.S. Consumer Financial Protection Bureau (CFPB), created in the wake of the 2008 financial crash to protect Main Street consumers against Wall Street predators.

The legal question is whether the statute that created the CFPB violates separation-of-powers principles by providing that the CFPB director can be removed by the president only for cause. A divided lower court in October held that the agency’s leadership structure is unconstitutional.

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