The Consumer Financial Protection Bureau (CFPB) has ordered Amerisave Mortgage Corp. to pay $19.3 million fine for deceiving borrowers about interest rates. The penalties include Amerisave’s affiliate Novo Appraisal Management Company and Patrick Markert, the owner of both firms.
Amerisave, which is an Atlanta-based online lending company operating in all 50 states, lured in borrowers
“Amerisave lured consumers in with deceptive advertising, trapped them with costly upfront fees, and then illegally overcharged them for services from an undisclosed affiliate,” said CFPB Director Richard Cordray. “By the time consumers could have discovered the advertised low rates were too good to be true, they had already committed to pay hundreds of dollars to Amerisave. Today’s action puts an end to Amerisave’s unacceptable bait-and-switch scheme and holds Patrick Markert personally responsible for his illegal actions.”
Read the press release on the Consumer Financial Protection Bureau‘s website.