CFPB Brings Action Over Health-Care Credit Enrollment Tactics
August 24, 2015
The CFPB last week ordered Springstone Financial LLC of Westborough, MA – now known as Lending Club Patient Solutions – to provide $700,000 in relief to roughly 3,200 victims of allegedly deceptive credit enrollment tactics. The bureau said the business practices at issue took place mostly before the company’s acquisition by LendingClub Corp., a $140 million transaction that took place back in April 2014 with financing provided from funds and accounts handled by T. Rowe Price Group Inc., Wellington Management Company LLP, BlackRock Inc. and Sands Capital, according to Bloomberg News. According to the CFPB, a number of consumers who signed up for Springstone’s deferred-interest loan product at dental offices to finance dental work were led to believe that the product was ...