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On March 27, the FTC announced that a fintech company offering cash advances through a mobile app has agreed to pay $17 million to resolve allegations that it violated the FTC Act and the Restore Online Shoppers’ Confidence Act (ROSCA). The FTC alleged that the company misrepresented the availability and cost of its services and failed to obtain consumers’ express informed consent before charging recurring subscription fees.Continue Reading FTC Orders Fintech Company to Pay $17 Million for Allegedly Deceptive Subscription Practices

On February 19, 2025, President Donald Trump signed an executive order (the “Order”) mandating that independent agencies, including the SEC, the FCC, and the FTC, submit proposed regulations for presidential review before finalization. The order marks a significant shift in the regulatory process, altering the long-standing autonomy of these agencies by subjecting them to executive oversight.Continue Reading Trump Executive Order Requires Independent Agencies to Submit Regulations for Presidential Review

On January 24, 2025, the Fifth Circuit Court of Appeals struck down an FTC rule aimed at curbing deceptive advertising and sales practices in the auto industry. The rule, which sought to prohibit certain “junk fees” and misleading pricing tactics, was challenged by industry groups who argued that the FTC had exceeded its authority.Continue Reading Fifth Circuit Strikes Down FTC’s ‘Junk Fee’ Rule for Auto Dealers

On December 30, the Department of Justice (DOJ), at the Federal Trade Commission’s (FTC) referral, filed an amended complaint against an online cash advance provider. The complaint now names the company’s CEO as a defendant, alleging violations of the FTC Act, 15 U.S.C. §§ 45(a), and the Restore Online Shoppers’ Confidence Act, 15 U.S.C. § 8403. Continue Reading FTC and DOJ File Amended Complaint Against Cash Advance Fintech

On November 5, the Federal Trade Commission (“FTC”) filed a complaint against a company in connection with its mobile banking app, alleging violations of Section 5(a) of the FTC Act and Section 4 of the Restore Online Shoppers’ Confidence Act (“ROSCA”) for misleading customers through hidden fees and other deceptive practices. According to the FTC, the app targeted financially vulnerable individuals with surprise “tip” fees, amounting to 15% of cash advances, which was falsely marketed as a charitable donation. While customers were led to believe their tips funded meals for children, only a fraction of the funds was actually donated, while the rest was retained by the company as revenue. Between 2022 and mid-2024, this practice reportedly generated over $149 million for the company.Continue Reading FTC Takes Aim at Mobile Banking App for Deceptive Advertising Practices

On October 16, the FTC announced that it has finalized its “click to cancel” rule, that will require sellers to make it much easier for consumers to cancel subscriptions. The final rule is part of the FTC’s ongoing review of its 1973 Negative Option Rule, which the agency is modernizing to combat unfair or deceptive practices related to subscriptions, memberships, and other recurring-payment programs.Continue Reading FTC Finalizes ‘Click to Cancel’ Rule

On September 13, the CFPB filed a complaint against a nonbank corporation and its CEO, alleging that the company engaged in deceptive and abusive acts through misleading advertising and unjustified, exorbitant fees related to its credit card program. The CFPB claims these actions violate both the Consumer Financial Protection Act and the Truth in Lending Act.Continue Reading CFPB Cracks Down on Credit Services Provider for Gouging and Trapping Consumers

On August 5, the FTC announced a proposed settlement which included a $12 million fine in connection with a complaint it filed against operators of a credit repair operation in May of 2022. The initial complaint alleged that the company violated the Credit Repair Organizations Act, the FTC Act’s prohibition against unfair, deceptive, and abusive acts and practices, and the Telemarketing Sales Rule, by preying on consumers with low credit scores by deceptively promising credit building services they could not deliver on, and taking illegal advance fees. Continue Reading Allegedly Deceptive Credit Repair Scheme Settles with FTC for $12 Million

On July 29, the FTC filed a stipulated order settling claims against an online career-training company on the grounds that it engaged in deceptive advertising. In addition to injunctive relief barring the company from engaging in deceptive acts, the order requires the company to pay a $15.7 million fine and cancel approximately $27.8 in consumer debt. Continue Reading FTC Settles Action Against Online Career-Training Company for Deceptive Advertising