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February 10, 2021

CFPB Investigating Digital-Payment Company’s Collection Practices

​On February 5, 2021, a digital-payment company disclosed in a filing with the Securities Exchange Commission (SEC) that they received​ a Civil Investigative Demand (CID) from the Consumer Financial Protection Bureau (CFPB) on January 21, 2021.  The CID requests documents and answers to written questions concerning allegedly unauthorized funds transfers and collections processes relating to one of the company’s products.  The company​ states that it is cooperating with the CFPB in connection with the CID.

The CFPB’s investigation follows the company’s 2018 ​settlement with the FTC over allegations that the same product allegedly misled customers as to the availability funds and privacy of transactions.  ​

The post CFPB Investigating Digital-Payment Company’s Collection Practices appeared first on Consumer Finance Enforcement Watch.