CFPB Orders Citi Subsidiaries to expend $twenty-eight.8 Mil getting Giving the Runaround so you can Consumers Trying to Save Their houses
Washington, D.C. – An individual Economic Safety Agency (CFPB) today grabbed separate actions facing CitiFinancial Repair and you will CitiMortgage, Inc. having providing the runaround to troubled property owners trying to options to save your self their homes. The borrowed funds servicers left consumers in the dark on choices to stop property foreclosure otherwise strained these with excessively papers need for the using for property foreclosure recovery. Brand new CFPB is demanding CitiMortgage to pay an estimated $17 billion to compensate wronged people, and you may shell out a civil punishment out of $step 3 billion; and you may demanding CitiFinancial Properties to refund everything $4.cuatro billion to help you consumers, and shell out a civil punishment regarding $cuatro.4 mil.
“Citi’s subsidiaries gave the brand new runaround so you can individuals who had been currently battling making use of their mortgage repayments and you can seeking to save their houses,” told you CFPB Director Richard Cordray. “Consumers was kept in the ebony regarding their alternatives otherwise strained having a lot of files.