Media Center

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

CFPB Proposes Strong Rules to Protect Payday Borrowers Yet Worrisome Loopholes Need Tightening

FOR IMMEDIATE RELEASE: JUNE 2, 2016 || Contacts: This email address is being protected from spambots. You need JavaScript enabled to view it. 202.595.7845; This email address is being protected from spambots. You need JavaScript enabled to view it. 617.542.8010

(WASHINGTON) The Consumer Financial Protection Bureau (CFPB) has proposed rules that make a strong start in improving the protections for high-cost payday and installment loans, according to advocates at the National Consumer Law Center (NCLC). But the rules need to be tightened up to close loopholes, and state interest rate caps will remain important to protect families from high-cost lending.

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Broad Coalition of Advocates Urges Support for Comprehensive Consumer Credit Reporting Reform Act of 2016

FOR IMMEDIATE RELEASE: MAY 19, 2016 || NCLC's contacts: Chi Chi Wu (This email address is being protected from spambots. You need JavaScript enabled to view it.) or Jan Kruse (This email address is being protected from spambots. You need JavaScript enabled to view it.); 617.542.8010

(BOSTON) A broad coalition of consumer, civil rights, labor, and community organizations issued a letter strongly urging members of the U.S. House of Representatives to support of H.R. 5282, the Comprehensive Consumer Credit Reporting Reform Act of 2016, introduced today by Congresswoman Maxine Waters.

Credit reports and credit scores are the gatekeeper for affordable credit, insurance, rental housing, and sometimes even a job. The reforms addressed in the bill are urgently needed in order to ensure that the American credit reporting system is accurate and fair to consumers..

In a 2012 study, the Federal Trade Commission found that 21% of consumers had verified errors in their credit reports, 13% had errors that affected their credit scores, and 5% had errors serious enough to be denied or pay more for credit.

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NCLC testifies at Senate hearing on TCPA and robocalls

FOR IMMEDIATE RELEASE: MAY 18, 2016 || NCLC's contacts: Jan Kruse (This email address is being protected from spambots. You need JavaScript enabled to view it.) or 617.542.8010; Margot Saunders (This email address is being protected from spambots. You need JavaScript enabled to view it.)

Surge in Invasive Robocalls Prompts Need for More Consumer Protections

(WASHINGTON) Today at 10 am EDT, the U.S. Senate Commerce committee will convene a hearing on “The Telephone Consumer Protection Act at 25: Effects on Consumers and Business.” National Consumer Law Center attorney Margot Saunders will testify on the need to strengthen the Telephone Consumer Protection Act (TCPA) to better safeguard consumers from invasive robocalls and texts to consumer landlines and cell phones.

Saunders will give testimony on behalf of the National Consumers Law Center’s low-income clients, Americans for Financial Reform, Center for Responsible Lending, Consumer Action, Consumer Federation of American, Consumers Union, National Association of Consumer Advocates, National Center for Law and Economic Justice, Public Citizen, and MFY Legal Services, collectively representing millions of consumers in the United States.

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FCC Proposes to Protect Student Loan Borrowers and Other Consumers from a Tidal Wave of Robocalls and Texts from Collectors of Federal Debts

FOR IMMEDIATE RELEASE: MAY 10, 2016 ||  CONTACTS: National Consumer Law Center: Margot Saunders, This email address is being protected from spambots. You need JavaScript enabled to view it. or 202.452.6252, ext.104; Jan Kruse, This email address is being protected from spambots. You need JavaScript enabled to view it. or 617.542.8010 || Consumers Union: Michael McCauley, This email address is being protected from spambots. You need JavaScript enabled to view it., 415-431-6747 x7606

(WASHINGTON) On May 6, 2016, the Federal Communications Commission (FCC) issued a Notice of Proposed Rulemaking (NPRM)to implement a provision allowing robocalls and texts to be made to a cell phone without the consumer’s consent “to collect a debt owed to or guaranteed by the United States.” This statutory exception to the Telephone Consumer Protection Act was proposed by the Obama Administration and jammed through Congress as part of the Bipartisan Budget Act of 2015(Section 301, signed 10/2/15). The exemption would permit these robocalls and texts by debt collectors of federal debt—primarily student loan borrowers that are delinquent on federal student loans, as well as taxpayers pursued by private collectors—subject to the regulations implemented by the FCC.

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Report: HUD’s Sales of FHA-Defaulted Mortgage Loans Benefit the Big Mortgage Servicers and Hedge Funds While Homeowners Lose

FOR IMMEDIATE RELEASE: MAY 10, 2016 | Contacts: Jan Kruse (This email address is being protected from spambots. You need JavaScript enabled to view it.) or Geoff Walsh (This email address is being protected from spambots. You need JavaScript enabled to view it.), 617-542-8010

National Consumer Law Center Documents the Negative Impact on Homeowners and Recommends Improvements to Preserve Homeownership and Stable Communities

Full report, charts and tables (including the 10 largest buyers of DASP note sales), and web only materials are available at: http://bit.ly/1WTd5sW

(BOSTON) The U.S. Department of Housing and Urban Development’s (HUD’s) program for selling defaulted Federal Housing Administration (FHA) loans is the largest auctioning off of government-insured home mortgage loans in the nation’s history, yet the big winners are the large mortgage servicers who flout HUD rules while homeowners often unnecessarily lose their homes.

To date, under the Distressed Asset Stability Program (DASP), HUD has sold over 105,000 FHA-insured home loans valued at $17 billion, primarily to private equity companies and hedge funds that bought the loans at big discounts.

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Forced Arbitration: CFPB Issues Proposed Rules to Restore Consumers' Legal Rights

For Immediate Release:  May 5, 2016  Contacts: Lauren Saunders (This email address is being protected from spambots. You need JavaScript enabled to view it., 202.595.7845) or Jan Kruse (This email address is being protected from spambots. You need JavaScript enabled to view it., 617.542.8010)

NCLC Advocates Applaud CFPB Proposal to Curtail Bank, Payday Lender, Scammer Get-Out-of-Jail-Free Cards
Proposed Rule Would Give Consumers Access to Court for  Group Claims

(WASHINGTON) Advocates at the National Consumer Law Center (NCLC) applauded the Consumer Financial Protection Bureau’s (CFPB) proposal today to restore consumers’ right to join together and have access to the courts when financial service providers break the law.

“Forced arbitration is a get-out-of-jail-free card that lets banks, payday lenders, and debt relief scammers avoid accountability when they violate the law,” said Lauren Saunders, associate director of the National Consumer Law Center. “Forced arbitration and class action bans force consumers into a biased, secretive, and lawless forum, preventing either a court or an arbitrator from ordering a lawbreaker to repay all of its victims.”

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NCLC Sues Nationstar Mortgage for conducting unnecessary reverse mortgage inspections, May 4, 2016

FOR IMMEDIATE RELEASE: May 4, 2016 || Contacts: LCE: JoAnn Mangione, Communications Manager, LCE (This email address is being protected from spambots. You need JavaScript enabled to view it., 202.434.2074) or NCLC: Jan Kruse, (This email address is being protected from spambots. You need JavaScript enabled to view it., 617.542.8010)

CLASS ACTION SUIT CHARGES REVERSE MORTGAGE LENDER CONDUCTED UNNECESSARY AND UNREASONABLE PROPERTY INSPECTIONS

95-Year-Old Plaintiff Brings Complaint on Behalf of Herself and Other Seniors

(Washington, D.C.) Legal Counsel for the Elderly (LCE), an affiliate of AARP; National Consumer Law Center (NCLC®) and Tycko & Zavareei LLP (T&Z), filed a class action lawsuit Tuesday in the United States District Court for the District of Columbia, charging that Nationstar Mortgage LLP d/b/a Champion Mortgage and Compu-Link Corporation d/b/a Celink, conspired to order and charge unnecessary and unreasonable property inspections and fees.

Plaintiff Retha Floyd, a 95-year-old homeowner in the District of Columbia, who has a Home Equity Conversion (HECM), or reverse mortgage, loan with Nationstar Mortgage LLC, d/b/a Champion Mortgage Company (Champion). When Ms. Floyd fell behind on her real property taxes and insurance payments, totaling less than $2,000, Champion sued to foreclose on her home of 50 years. LCE was able to negotiate a repayment plan, and the lawsuit was dismissed.

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