Some employees added the products to paperwork without verbally informing the consumer that the products were included or optional, a practice referred to internally as “pre-packing.” In other cases, employees obscured written disclosures from consumers’ view, or verbally contradicted them. Tricked borrowers into signing up for optional products: OneMain customers were led to believe that they could not receive a loan without signing up for an add-on product.“We are ordering OneMain to refund borrowers it cheated and to clean up its business practices.”
“OneMain pressured its employees to load up its loans with extra charges through false promises of easy cancellation with full refunds,” said CFPB Director Rohit Chopra. OneMain will pay $10 million in refunds to consumers it harmed, and an additional $10 million penalty to the CFPB’s victims relief fund. deceiving borrowers about needing to purchase add-on products to receive a loan.failing to refund interest charged to 25,000 customers who cancelled purchases and.The Consumer Financial Protection Bureau (CFPB) has ordered OneMain Financial to pay $20 million for:
