Exception Tracking Spreadsheet (TicklerTrax™)
Downloaded by more than 1,000 bankers. Free Excel spreadsheet to help you track missing and expiring documents for credit and loans, deposits, trusts, and more. Visualize your exception data in interactive charts and graphs. Provided by bank technology vendor, AccuSystems. Download TicklerTrax for free.
Bureau fines Discover Bank for student loan servicing practices
The CFPB has announced it has reached a settlement with Discover Bank and its affiliates, The Student Loan Corporation and Discover Products, Inc., (collectively, "Discover") and issued a consent order for payment of at least $10 million in consumer redress and a $25 million civil money penalty. Discover Bank is an insured depository institution headquartered in Greenwood, Delaware, that provides and services private student loans. The Student Loan Corporation and Discover Products, Inc., also service student loans.
The Bureau had issued an Order in 2015 based on the CFPB's finding that Discover misstated the minimum amounts due on billing statements as well as tax information consumers needed to get federal income tax benefits. The Bureau also found that Discover engaged in illegal debt collection practices. The Bureau’s 2015 Order required Discover to refund $16 million to consumers, pay a penalty, and fix its unlawful practices servicing and collection practices. The Bureau found that Discover violated the 2015 Order’s requirements in several ways. Discover misrepresented the minimum loan payments consumers owed, the amount of interest consumers paid, and other material information, such as interest rates, payments, due dates, and the availability of rewards, among other things. Discover also did not provide all of the consumer redress the 2015 Order required.
For more information on the Bureau's enforcement action, see "Discover Bank and affiliates pay $25 million CMP," in BankersOnline's Penalty Pages.