CFPB v. Climb Credit, Inc.

Climb Credit, Inc. allegedly worked together in online student lending for short-term vocational programs at schools with whom Climb Credit, Inc. has partnered. The Bureau alleged the Climb Enterprise violated the Consumer Financial Protection Act of 2010 (CFPA) by engaging in abusive acts and practices in taking unreasonable advantage of consumers’ reliance on the Climb Enterprise’s representations as to the programs and schools; violated the CFPA through deceptive acts and practices regarding the Climb Enterprise’s vetting of schools and the outcomes for consumers who attended the schools; violated the Truth in Lending Act (TILA) and Regulation Z by failing to disclose finance charges on loan documents and annual percentage rates on advertisements; and violated TILA and Regulation Z by using the names, emblems, or logos of certain schools to imply that they endorsed Climb loans; and violated the CFPA by committing acts or practices in violation of TILA and Regulation Z.

Summary generated from official Consumer Financial Protection Bureau press release