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Home lender lied about loan specifics in addition to calling 5.4 million people on the national DNC registry

The Federal Trade Commission announced this week that it has won a massive civil penalty against Mortgage Investors Corporation for violating Do Not Call List statutes. The FTC says it won a $7.5 million civil penalty against the mortgage company for calling up 5.4 million numbers that are on the national Do Not Call Registry.

Mortgage Investors Corporation is said to be one of the largest financers of veteran's home loans. The FTC alleges that the mortgage company not only called consumers who were on the national Do Not Call Registry, but that it failed remove consumers from its call list when they asked and misstated terms of available loans during their telemarketing calls.

The people targeted were current and former U.S. military personnel, and the actions constitute a violation of the Telemarketing Sales Rule. The FTC says that the telemarketers misled consumers into believing that low interest, fixed-rate mortgages were available at no cost and often quoted rates to consumers that they implied by that would last the duration of their loan.

The FTC says that in reality the product the company was offering was an adjustable-rate mortgage where the payments would increase with rising interest rates and would require the consumer to pay closing costs. Mortgage Investors Corporation also allegedly misled consumers about its affiliation with the Department of Veterans Affairs.
 
The announcement of the $7.5 million fine came on the 10-year anniversary of the national Do Not Call Registry.

Source: Network World



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RE: "Massive"
By FaaR on 6/28/2013 8:58:42 AM , Rating: 2
Please dude, for your own sake if nothing else, stop making sense before you get arrested!

(Or at least mobbed by the corporate plutocracy apologists that always swarm blog comment columns like these.)


RE: "Massive"
By Snoop on 6/28/2013 9:33:59 AM , Rating: 3
The feds should be handing out these things weekly. I average 2 calls a day from solicitors. It doesn't seem like it would be very difficult to find the companies and put them out of business. The NSA can f&(*& intercept calls and emails, it seems like they could put this system to good use and find the scammers. Apparently they have other things to do though....


RE: "Massive"
By gman64 on 6/28/2013 1:56:42 PM , Rating: 2
Why are British lawyers calling you twice a day? Is your real name Todd Margaret?


RE: "Massive"
By Mint on 6/28/2013 10:05:57 PM , Rating: 2
That could be crossing a line we don't want to.

DT had an article about the public largely supporting spying in the name of national security, but would they want them doing the same for anything not related to terrorism?

A lot of telemarketers work through distributed work at home networks. Finding scammers is going to require some really rigorous spying of household-to-household calls.


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