CFPB v. SettleIt, Inc.

SettleIt, Inc. allegedly violated the Telemarketing Sales Rule and engaged in abusive acts and practices under the Consumer Financial Protection Act. According to CFPB, SettleIt failed to disclose to consumers its relationship to certain creditors and then regularly prioritized those creditors in settlements; claimed that its programs could be completed without borrowing more money, while steering consumers into high-cost loans to pay off third-party creditors; failed to clearly and conspicuously disclose the costs of its services; and required consumers to pre-authorize settlements so that SettleIt could settle consumers’ debts without their express consent.

Summary generated from official Consumer Financial Protection Bureau press release