Mortgage Lead Generator Will Pay $225,000 to Settle FTC Charges
GoLoansOnline.com, a Houston-based mortgage lead generator, will pay $225,000 to settle Federal Trade Commission charges that it deceived consumers about the terms of their loans.
The FTC accused the company of falsely advertising adjustable-rate mortgages as low-interest, fixed-rate loans in a December lawsuit.
"The FTC's message is clear: Mortgage advertising must be truthful," said Jessica Rich, director of the FTC Bureau of Consumer Protection, in a press release announcing the settlement.
The FTC also accused GoLoansOnline with omitting certain required disclosures about the annual percentage rate, down payment and repayment terms of the loans in its advertisements.
The settlement prohibits GoLoansOnline from selling consumer data or misrepresenting the terms and conditions of financial products.