USA Service Finance, LLC
On November 25, 2019, the Consumer Financial Protection Bureau (Bureau) issued a consent order against USA Service Finance, LLC (USASF). The action was filed concurrently with a consent order issued against Edmiston Marketing, LLC, also known as Easy Military Travel; and Brandon Edmiston, the owner and operator of Easy Military Travel, in which the Bureau found that Easy Military Travel and Edmiston violated the Consumer Financial Protection Act of 2010 (CFPA) by misrepresenting the true cost of credit for loans for airline tickets. The Bureau found that USASF engaged in deceptive practices in violation of the CFPA by overcharging servicemembers and their families for a debt-cancellation product that was offered in connection with the Easy Military Travel loans for airline tickets, which USASF purchased and serviced. The Bureau also found that USASF violated Regulation V, which implements the Fair Credit Reporting Act, because it never established, reviewed, or updated any written policies or procedures regarding the accuracy and integrity of the consumer information it furnished to consumer reporting agencies.
The consent order issued against USASF requires it to provide redress to borrowers who were overcharged for the debt-cancellation product, including paying $54,625 in restitution to borrowers with no outstanding balance on their loans and issuing additional restitution in the form of account credits to borrowers with outstanding balances. The consent order also requires USASF to pay a civil money penalty of $25,000 to the Bureau. The consent order prohibits USASF from collecting on or selling the loans purchased from Easy Military Travel. The consent order also requires USASF to establish and update reasonable written policies and procedures for the accuracy and integrity of consumer information it furnishes to consumer reporting agencies.