CFPB v. Freedom Debt Relief, LLC

The Bureau alleged that Freedom violated the CFPA by charging consumers without settling their debts as promised, charging consumers after having them negotiate their own settlements with creditors, and misleading consumers about the company’s fees and ability to negotiate directly with all of a consumer’s creditors. Under a Stipulated Final Judgment and Order entered by the U.S. District Court (N.D. Cal.), Freedom must pay $20 million in restitution to affected consumers and a $5 million civil money penalty.