R M K Financial Corporation d/b/a Majestic Home Loans
On April 9, 2015, the CFPB issued an order against RMK Financial Corporation for deceptive mortgage advertising practices and failure to comply with the disclosure requirements for variable-rate mortgage products. The CFPB found that RMK Financial made material misrepresentations in its advertisements that improperly suggested that RMK Financial was, or was affiliated with, a United States government entity, or that the advertised mortgage credit products were endorsed or sponsored by a government program. In addition, RMK Financial’s ads contained misrepresentations about the loans’ interest rates and estimated monthly payments. The order required RMK Financial to pay $250,000 in civil money penalties and to comply with applicable federal laws.
CFPB Takes Action Against Mortgage Lender for Deceptive Advertising