Category: Veterans and Military Families

Veterans and Military Families encompass individuals who have served in the armed forces and their relatives, who often experience unique challenges and needs due to their service. Veterans are those who have completed their military service and may face issues such as transitioning to civilian life, accessing healthcare, or securing employment. Military families, including spouses and children, often deal with the strains of frequent relocations, prolonged separations, and the stress of a loved one’s service. Support for Veterans and Military Families involves addressing issues like mental health, educational opportunities, and financial assistance to ensure their well-being and successful reintegration into civilian life.

CFPB-PR-240829-1

Cash-Out Refinance Loans Categories CFPB CFPB-24 CFPB-2408 Companies in the News Federal News Sources Mortgage Churning Mortgages New Day Financial LLC Veterans and Military Families

CFPB-PR-240829-1 (Aug. 29, 2024)

CFPB Orders NewDay USA to Pay $2.25 Million for Illegally Luring Veterans and Military Families into Cash-Out Refinance Loans – NewDay USA’s deceptive tactics came amid VA home loan “churning” scandal

WASHINGTON, D.C. – The Consumer Financial Protection Bureau (CFPB) today took action against repeat offender New Day Financial (NewDay USA) for deceiving active duty servicemembers and veterans seeking cash-out refinance loans. The CFPB found that NewDay USA gave misleading and incomplete cost comparisons to borrowers refinancing in North Carolina, Maine, and Minnesota, which made the company’s loans appear less expensive relative to their existing mortgages. The CFPB is ordering NewDay USA to pay a $2.25 million civil penalty to the CFPB’s victims relief fund.

CFPB News Release - CFPB-PR-240829-1

CFPB-PR-240829-1

Date: Aug. 29, 2024

Accessed: Aug. 31, 2024

Source URL:  https://www.consumerfinance.gov/about-us/newsroom/cfpb-orders-newday-usa-to-pay-2-25-million-for-illegally-luring-veterans-and-military-families-into-cash-out-refinance-loans/

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CFPB-PR-240829-1