FTC Nabs $7.5M Penalty from Mortgage Company for TCPA Violations

FTC Nabs $7.5M Penalty from Mortgage Company for TCPA Violations

By John Curran

The Federal Trade Commission (FTC) has achieved a record penalty of $7.5 million against Mortgage Investors Corporation for violations of the Telephone Consumer Protection Act (TCPA), nearly 50 percent higher than its previous record.

It is yet another sign of the federal government acting on behalf of citizens in order to reduce illegal marketing practices that can include text message spam. In the case of Mortgage Investors Corporation, the agency said that the firm had contacted millions of former veterans who were on the federal “Do Not Call” list to try and sell them on mortgage refinancing.

In addition to the initial TCPA violation, the FTC also said that the company had misled veterans about the nature of the financial instruments. The firm had advertised consistent monthly premiums while the mortgages themselves were adjustable rate, which could lead to skyrocketing bills for homeowners. It is the 105th FTC action regarding the Telephone Consumer Protection Act as the agency has averaged about 10 per year.

Many consumers may not realize that the protections also extend to reducing text message spam. Cell phone owners have to specifically opt in to any programs that will send them ongoing SMS texts. Many recent class action settlements have come regarding unwanted text messages from companies of all types, from banks to retailers and more. The text spam class action settlements speed up the process in plaintiffs receiving a legal remedy, while companies many not have to pay the full $1,500 for each text spam a consumer received.

It is important for people who think that they have received text messages they have not signed up for to consult with a text spam lawsuit attorney. While the area of practice is fairly new, there is already case law in place that could affect one’s case and specifically the maximum amount a plaintiff may be able to obtain from an offending company.

With that in mind, a free consultation to establish whether or not to file a text message spam lawsuit is the first step, and you can get one by visiting the Text Message Spam, Cell Phone Call TCPA Class Action Lawsuit Settlement Investigation. The text message spam attorneys working this investigation are looking for people just like you who have dealt with unnecessary SMS messages from a company, speeding up the likelihood of a settlement. Learn what your options are and take the next step when you visit the investigation today.

Updated July 12th, 2013

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