Figure Lending faces a consumer protection lawsuit alleging deceptive practices and TILA violations in its home equity loans. The lawsuit and BBB complaints raise concerns about hidden costs, misleading disclosures, and potential harm to borrowers.
Details:
- Lawsuit: Ward v. Figure Lending, LLC (Case No. 1:2023cv00516), filed in March 2023 in the U.S. District Court for the Northern District of Georgia.
- Allegations:
- Deceptive Practices: Failing to disclose variable rates, high monthly payments, and foreclosure risks.
- Misleading Disclosures: Exaggerating accessible equity and using bait-and-switch tactics with introductory rates.
- Excessive Fees: Origination, appraisal, and closing costs significantly increasing loan costs.
- Claims: Damages for harmed borrowers and injunctive relief to stop the alleged unlawful practices.
- Additional Concerns: Over 100 BBB complaints citing similar deceptive practices.
- Figure Lending’s Response: Denies wrongdoing and claims loan compliance with all laws.
Current Status:
- Lawsuit ongoing, outcome uncertain.
- BBB complaints raise independent concerns.
Implications for Borrowers:
- Carefully review Figure Lending loan terms and understand potential risks.
- Consult an attorney with any questions or concerns.
| Complete Date | Case | Citation | Court | Short Summary |
|---|---|---|---|---|
| March 2023 | Ward v. Figure Lending, LLC | Case No. 1:2023cv00516 | U.S. District Court for the Northern District of Georgia | Consumer protection lawsuit alleging deceptive practices and TILA violations in home equity loans. |
| N/A | N/A | N/A | Better Business Bureau | Over 100 complaints alleging similar deceptive practices as the lawsuit. |
