CFPB Takes Action Against Fay Servicing for Illegal Foreclosure Actions and Violating Law Enforcement Order

On July 1, 2025, pursuant to its authority under 12 U.S.C. § 5563(b)(3), the Bureau terminated the order and waived any alleged noncompliance therewith. Fay Servicing fulfilled several obligations under the order, including, among other things, paying a civil money penalty of $2 million and paying $3 million to the Bureau for Bureau-administered consumer redress, which the Bureau will distribute to consumers consistent with the terms of the order.