CFPB v. Access Funding, LLC
We are the Consumer Financial Protection Bureau (CFPB), a federal government agency that enforces laws that protect consumers. The CFPB sued Access Funding, LLC, and other defendants.
In November 2016, the CFPB sued Access Funding, its executive leadership, and an outside attorney Smith. The CFPB alleges that Access Funding was aware that the individuals from whom they purchased structured settlement payments were financially unsophisticated and in need of the funds the company could supply. The CFPB also alleges that the companies and their principals steered consumers to receive “independent advice” from Smith, who was paid directly by Access Funding and indicated to consumers that the transactions required very little scrutiny. The CFPB alleges that Smith’s conduct was unfair, abusive, and deceptive in violation of the Consumer Financial Protection Act of 2010 and that Access Funding and its leadership unlawfully aided Smith’s illegal conduct and engaged in abusive conduct.
On November 18, 2021, the court entered a stipulated judgment and order against Smith. On December 17, 2021, the court entered a stipulated judgment and order against Access Funding, LLC, et al., requiring the settling defendants to pay $40,000 in disgorgement and a $10,000 civil money penalty. On May 18, 2022, the court entered a consent order against Michael Borkowski requiring him to pay a $5,000 civil money penalty.
The December 2021 and May 2022 orders also prohibit the settling defendants from referring consumers to a specific individual or for-profit entity for advice concerning any structured-settlement transaction or taking unreasonable advantage of consumers’ lack of understanding of the material risks, costs, or conditions of any cash advance. The orders also prohibit the settling defendants from misrepresenting the relationship between themselves and providers of independent professional advice, and any other fact material to consumers (such as the material risks, total costs, or conditions of any Advance) in connection with the transfer of payment streams from structured-settlement holders.
Victim compensation
Payments have not started in this case. The CFPB has contracted RUST Consulting to administer payments for this case and answer consumers' questions. For questions related to this case, please:
- Call: 1 (833) 637-3133
- Email: accessfunding_info@rustcfpbconsumerprotection.org
- Write: CFPB v. Access – 8345,
P.O. Box 2561,
Fairbault, MN 55021-9561
Important dates
Payments are still pending. This section will be updated when payments are released.
More information about the case
Read the court order against Smith