My Loan Doctor LLC and Edgar Radjabli
On July 6, 2020, the Consumer Financial Protection Bureau (Bureau) filed a lawsuit against My Loan Doctor LLC, a Delaware company operating in West Palm Beach, Florida and New York City and doing business as Loan Doctor (Loan Doctor), and its founder, Edgar Radjabli. The Bureau alleged that Loan Doctor and Radjabli made several false, misleading, and inaccurate marketing representations in advertising Loan Doctor’s “Healthcare Finance (HCF) Savings CD Account,” in violation of the Consumer Financial Protection Act of 2010’s prohibition against deceptive acts or practices. The Bureau alleged that, starting in August 2019, Loan Doctor took millions of dollars from at least 400 consumers who opened and deposited money into Loan Doctor’s deceptively advertised product. On December 9, 2022, the court entered a stipulated final judgment and order which requires defendants to pay a civil money penalty of $391,530, of which $241,530 will be remitted because of defendants’ satisfaction of their obligation to pay that amount in penalties to the Securities and Exchange Commission for related conduct in SEC v. Radjabli et al., 2:21-cv-01761. The order also requires redress to consumers in the form of a refund of all the deposits made with defendants, including all interest due to consumers under the advertised terms of the purchased financial products and services. Defendants have represented to the Bureau that they have already satisfied the obligation to provide redress because they already refunded the full amount received from consumers, plus all interest due to consumers under the terms advertised. The Bureau estimates the redress amount to be approximately $19 million, but an exact calculation has not yet been completed. The order also permanently bans the defendants from engaging or assisting others in any deposit-taking activities.