The CFPB brought suit against five title lenders. The CFPB is alleging the lender companies failed to disclose their annual percentage rate in their online advertisements. Under the Truth in Lending Act the annual percentage rate (APR) must be disclosed in almost all consumer credit transactions.[1] The CFPB claims one company went so far as to advise the consumer to take their interest rate and multiply it by twelve, but failed to disclose that was the annual percentage rate.
[1] Consumer Financial Protection Bureau, CFPB Rules and Regulation TILA, Truth in Lending Act (2015) at 14, available at: http://files.consumerfinance.gov/f/201503_cfpb_truth-in-lending-act.pdf
