What is the Village Capital Lawsuit?
In 2020, the Consumer Financial Protection Bureau (CFPB) filed a complaint against Village Capital & Investment LLC, a Nevada-based mortgage lender. The CFPB alleged that Village Capital violated the Consumer Financial Protection Act by misleading veterans about the benefits of refinancing their mortgages.
Specifically, the CFPB alleged that Village Capital:
- Overstated the amount of money that veterans could save by refinancing their mortgages.
- Misrepresented the terms and conditions of its refinancing loans.
- Pressured veterans to refinance their mortgages even when it was not in their best financial interests.
What is the outcome of the Village Capital lawsuit?
In 2021, Village Capital agreed to settle the CFPB’s lawsuit. The settlement required Village Capital to pay a $260,000 civil penalty and $268,869 in restitution to consumers. The settlement also prohibited Village Capital from misrepresenting the terms or benefits of mortgage refinancing.
Who was affected by the Village Capital lawsuit?
The Village Capital lawsuit affected veterans who refinanced their mortgages with Village Capital between 2017 and 2020. It is estimated that thousands of veterans were affected by the lawsuit.
What can veterans do if they were affected by the Village Capital lawsuit?
Veterans who were affected by the Village Capital lawsuit may be eligible for restitution. To learn more about their rights and options, veterans can contact the CFPB at 1-855-411-CFPB (2372) or visit the CFPB’s website at https://www.consumerfinance.gov/.
FAQs
Q: What is the Consumer Financial Protection Bureau (CFPB)?
A: The CFPB is a federal agency that protects consumers from unfair, deceptive, or abusive financial practices. The CFPB was created by the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010.
Q: What is the Consumer Financial Protection Act (CFPA)?
A: The CFPA is a federal law that prohibits unfair, deceptive, or abusive financial practices. The CFPA was created to protect consumers from financial harm.
Q: What is restitution?
A: Restitution is money that is paid to a victim to compensate them for their losses. In the context of a lawsuit, restitution is often ordered by a court.
Q: How do I know if I was affected by the Village Capital lawsuit?
A: If you refinanced your mortgage with Village Capital between 2017 and 2020, you may have been affected by the lawsuit. You can contact the CFPB at 1-855-411-CFPB (2372) or visit the CFPB’s website at https://www.consumerfinance.gov/ to learn more about your rights and options.
Q: What should I do if I think I was affected by the Village Capital lawsuit?
A: If you think you may have been affected by the Village Capital lawsuit, you should contact the CFPB at 1-855-411-CFPB (2372) or visit the CFPB’s website at https://www.consumerfinance.gov/ to learn more about your rights and options.
Q: How can I protect myself from unfair, deceptive, or abusive financial practices?
A: There are a number of things you can do to protect yourself from unfair, deceptive, or abusive financial practices. You can learn more about your rights and options by visiting the CFPB’s website at https://www.consumerfinance.gov/. You can also report any financial abuses to the CFPB by calling 1-855-411-CFPB (2372) or visiting the CFPB’s website at https://www.consumerfinance.gov/.
Conclusion
The Village Capital lawsuit is a reminder of the importance of protecting veterans from unfair, deceptive, or abusive financial practices. If you are a veteran who has refinanced your mortgage, it is important to review your loan documents carefully and to understand your rights and options. If you have any questions or concerns, you should contact the CFPB for assistance.
References
- https://www.consumerfinance.gov/about-us/newsroom/bureau-consumer-financial-protection-files-complaint-and-proposed-settlement-village-capital-investment-llc/
- https://casetext.com/case/anagonye-bentley-v-vill-capital-inv
- https://www.consumerfinance.gov/