TMX Finance LLC
Documents in this case
- Consent order · 21 p.
- Stipulation · 5 p.
- Consent order · · 3 p.
- Stipulation · · 5 p.
- Consent order · · 5 p.
- Consent order · · 3 p.
- Consent order · · 3 p.
- Stipulation · · 5 p.
- Consent order · · 3 p.
- Consent order · · 5 p.
- Consent order · · 3 p.
- Consent order · · 5 p.
- Consent order · · 3 p.
- Consent order · · 5 p.
Case summary
On September 26, 2016, the Bureau took action against TitleMax parent company TMX Finance LLC, a specialty finance company that originates and services automobile-title loans through its affiliates operating out of approximately 1300 brick-and-mortar storefronts located in 18 states. Single-payment auto title loans are usually due in 30 days, with some carrying an annual percentage rate of up to 300 percent. The Bureau found that store employees, as part of their sales pitch for the 30-day loans, offered consumers a “monthly option” for making loan payments and then offered consumers a “Voluntary Payback Guide” that showed how to repay the loan with smaller payments over a longer period. The guide and sales pitch did not explain the true cost of the loan if the consumer renewed it multiple times. The Bureau found that TMX Finance engaged in abusive conduct by materially interfering with consumers’ ability to make an informed judgment about whether to pay off the loan over a longer period: it materially interfered with consumers’ ability to understand that they are receiving a 30-day transaction, that the guide is not an actual repayment plan, and that renewing the transaction over an extended period of time would increase the overall costs of the transaction. TMX Finance also engaged in unfair debt collection practices by revealing information about consumers’ past-due debts while visiting their homes, references, or places of employment. The Bureau ordered TMX Finance to stop its unlawful practices and pay a $9 million penalty.
Consent order
PDF of this document (21 pages)
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UNITED STATES OF AMERICA CONSUMER FINANCIAL PROTECTION BUREAU ADMINISTRATIVE PROCEEDING File No. 2016-CFPB-0022 In the Matter of:
TMX Finance LLC CONSENT ORDER The Consumer Financial Protection Bureau (Bureau) has reviewed the lending and debt-collection practices of TMX Finance LLC (Respondent, as defined below) and has identified unfair and abusive practices in Respondent's lending and debt-collection practices in violation of§§ 1031 and 1036(a)(1)(B) of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5531 and 5536(a)(1)(B). Under§§ 1053 and 1055 of the CFPA, 12 U.S.C. §§ 5563, 5565, the Bureau issues this Consent Order (Consent Order). I Jurisdiction 1.
The Bureau has jurisdiction over this matter under §§ 1053 and 1055 of the CFPA, 12 U.S.C. §§ 5563, 5565.
II Stipulation 2.
Respondent has executed a "Stipulation and Consent to the Issuance of a Consent Order," dated September 23, 2016 (Stipulation), which is incorporated by reference and is accepted by the Bureau. By this Stipulation, Respondent has consented to the issuance of this Consent Order by the Bureau under §§ 1053 and 1055 of the 2016-CFPB-0022 Document 1 Filed 09/26/2016 Page 1 of 21
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CFPA, 12 U.S.C. §§ 5563, 5565, without admitting or denying any of the findings of fact or conclusions of law, except that Respondent admits the facts necessary to establish the Bureau’s jurisdiction over Respondent and the subject matter of this action.
Il Definitions
3. The following definitions apply to this Consent Order: a. “Board” means Respondent’s duly elected and acting Board of Managers.
b. “Effective Date” means the date on which the Consent Order is issued.
c. “Enforcement Director” means the Assistant Director of the Office of Enforcement for the Consumer Financial Protection Bureau, or his or her delegate.
d. “Related Consumer Action” means a private action by or on behalf of one or more consumers or an enforcement action by another governmental agency brought against Respondent based on substantially the same facts as described in Section IV of this Consent Order. e. “Relevant Period” means the period from July 21, 2011, to the Effective Date.
f. “Respondent” means TMX Finance LLC, its TitleMax, TitleBucks, and InstaLoan operating subsidiaries, parents, and their respective
successors and assigns.
IV Bureau Findings and Conclusions
The Bureau finds the following:
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4. Respondent is headquartered in Savannah, Georgia.
5. Respondent is a specialty-finance company that originates and services automobile-title loans through its affiliates operating out of approximately 1300 brick-and-mortar storefronts located in 18 states.
6. Respondent is a “covered person” as that term is defined in 12 U.S.C.
§ 5481(6)(A).
We Throughout the Relevant Period, Respondent marketed and sold
automobile-title-secured pawns, pledges, and loans to consumers across the country.
Findings and Conclusions as to Abusive Practices in Alabama, Georgia, and Tennessee
8. Respondent offers 30-day title pawns in Alabama and Georgia and title pledges in Tennessee under the brands TitleMax and TitleBucks.
9. The 30-day pawns and pledges are made under each state’s unique statutory framework.
10. _Inall three states, a consumer pawns or pledges the title to his or her car in exchange for a 30-day loan, pawn, or pledge. Consumers pay a pawnshop charge, the equivalent of interest, or, for Tennessee, a customary fee for the use of proceeds over the transaction term.
11. In all three states, the finance charge is based on declining tiers according to the amount financed.
12. In Alabama and Georgia, consumers can borrow as little as $100 and up to
$10,000, depending on the appraised value of the vehicle used as collateral.
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13. | Respondent requires consumers in Alabama and Georgia to pay a monthly pawnshop charge equal to 9.99% to 24.99% of the principal at origination and every month for which the pawn transaction is renewed or extended.
14. | Consumers can borrow up to $2,500 in Tennessee and are required to pay a finance charge comprised of interest of 2% per month and a monthly customary fee of 10.99% to 21.99% of the amount financed.
15. All three states provide consumers with the right to renew or extend their transaction by paying the finance charge at the end of each 30-day term.
16. In Georgia and Alabama, state law allows a consumer to pay the pawnshop charge only, the pawnshop charge plus a portion of the principal, or the pawnshop charge plus the entire principal balance at the end of each 30-day transaction period.
17. In Tennessee, state law allows a consumer to pay the accrued finance charge only, the finance charge plus a portion of the principal, or the finance charge plus the entire principal balance at the end of each 30-day transaction period.
18. In Tennessee, state law requires a portion of the principal to be repaid on all renewals beginning with the third renewal.
19. Ifaconsumer does not repay at least the accrued finance charge by the deadline set forth in the contract, Respondent may repossess the consumer’s car in accordance with state law requirements for repossession.
20. Consumers in all three states apply for a 30-day pawn or pledge in person at a TitleMax or TitleBucks storefront.
21. To qualify for the pawn or pledge, the consumer must bring in a lien-free
vehicle that the consumer wishes to use as collateral and the title to that vehicle.
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22. Astore employee appraises the vehicle while the consumer fills out a credit application.
23. For most of the Relevant Period, the credit application required that the consumer provide contact information for the consumer’s employer, if applicable, and a number of personal references.
24. After conducting the vehicle appraisal, the store employee informs the consumer how much the vehicle is worth and how much money the consumer is eligible to borrow.
25. After informing the consumer how much he or she is eligible to borrow for the 30-day transaction, the store employee, as part of the sales pitch, asks the consumer over how many months he or she would like to repay the transaction (the requested payback period) or how much the consumer would like to pay each month (the target monthly payment). This “monthly option” requires consumers to renew or extend the transaction each month and to pay more than the required minimum payment to reduce the principal over time.
26. After the consumer identifies his or her requested payback period or target monthly payment, the store employee shows the consumer a multi-month Voluntary Payback Guide (the “Payback Guide”) and adjusts the length based on the consumer’s requested payback period or target monthly payment.
27. The Payback Guide is similar to an installment-loan amortization schedule, showing multi-month payments that reduce the principal balance to $0 at the end of the period.
28. Thesystem default term for the Payback Guide is 12 months, but it can be
adjusted to as short as 2 months or as long as 24 months, depending on how much the
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consumer wants to pay each month and how quickly the consumer wants to pay off the transaction.
29. Employees are trained to use the Payback Guide to focus consumers’ attention on the amount of the potential monthly payment, and the sales pitch does not include any discussion of the total cost of the transaction if the consumer were to extend it over a set period.
30. The Payback Guide does not disclose the total cost of the transaction — or total amount in finance charges — that the consumer would pay if he or she chose to renew or extend it multiple times, but it does show the finance charge and principal paid at each 30-day period in order to have the transaction amortize over the consumer’s selected term. The transaction agreement the consumer receives is only for a 30-day transaction and sets forth the finance charges and cost of only the 30-day transaction.
31. The Payback Guide and sales pitch materially interfere with the consumer’s ability to understand that the consumer is receiving a 30-day transaction, that the Payback Guide is not an actual repayment plan, that the terms of the 30-day transaction are not affected by the Payback Guide, and that renewing the transaction over an extended period would substantially affect the overall cost of the transaction.
32. The Payback Guide and sales pitch also materially interfere with a consumer’s ability to understand that the longer the consumer takes to pay off the transaction, the more expensive the transaction will be, or to understand how much more expensive the transaction will be if paid off over a longer period, and they materially interfere with the consumer’s ability to make an informed judgment about
whether to pay off the transaction over a longer period.
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33. Section 1036(a)(1)(B) of the CFPA prohibits “unfair, deceptive, or abusive” acts or practices. 12 U.S.C. § 5536(a)(1)(B).
34. As described in Paragraphs 25-32, in connection with the making of title pawns and pledges, Respondent’s sales pitch and use of the Payback Guide has materially interfered with consumers’ understanding of the terms and cost of its credit products.
35. Respondent’s sales pitch and use of the Payback Guide, as described in Paragraphs 25-32, constitute an abusive act or practice that violates §§ 1031(d)(1) and 1036(a)(1)(B) of the CFPA, 12 U.S.C. 8§ 5531(d)(1), 5536(a)(1)(B).
Findings and Conclusions as to Unfair Debt-Collection Practices
36. Fromat least 2011 until December 2015, if a consumer failed to make a timely payment and did not respond to communications from store employees, Respondent’s policies allowed employees to conduct “in-person visits” to the consumer’s home and to the consumer’s references, and employees did conduct such visits.
37. From at least 2011 until August 2015, if a consumer failed to make a timely payment and did not respond to communications from store employees, Respondent’s policies also allowed employees to conduct “in-person visits” to the consumer’s place of employment, and employees did conduct such visits.
38. | Respondent’s employees conducted in-person visits to consumers’ homes, to consumers’ references, and to consumers’ places of employment in all states in which it operates.
39. | Respondent's written policies authorized employees to conduct in-person visits to a consumer’s home to locate a consumer and communicate with the consumer
about his or her debt if a consumer’s payment was at least three days late and the
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consumer had not committed to making a payment. Respondent’s policies also authorized employees to conduct in-person visits to a consumer’s place of employment if a consumer’s payment was at least 11 days late and the consumer could not be reached by telephone and was not present during the in-person visit to this consumer’s home.
40. Employees were also authorized to conduct in-person visits to a consumer’s references as a last resort before repossession if a consumer could not be reached by telephone, did not respond to communications from store employees, and the consumer’s payment was at least 11 days late.
41. During in-person visits, Respondent’s employees disclosed the existence of consumers’ past-due debts to third parties, including neighbors, roommates, family members, supervisors, and co-workers.
42. Contrary to Respondent’s written policies, Respondent’s employees conducted in-person visits to consumers’ places of employment, even after being informed by a consumer or a consumer’s supervisor that the consumer was not permitted to have visitors and that Respondent should cease such visits.
43. In-person visits to a place of employment put consumers at risk of losing their employment or of being disciplined by their employers.
44. Asaresult of in-person visits, consumers suffered or were likely to suffer substantial injury.
45. Section 1036(a)(1)(B) of the CFPA prohibits “unfair, deceptive, or abusive” acts or practices. 12 U.S.C. § 5536(a)(1)(B). An act or practice is unfair if it causes or is likely to cause consumers substantial injury that is not reasonably avoidable and if the substantial injury is not outweighed by countervailing benefits to consumers or to
competition. 12 U.S.C. § 5531(c).
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46. Respondent’s disclosure of the existence of consumers’ debts to third parties caused or was likely to cause substantial injury to consumers that was not reasonably avoidable or outweighed by any countervailing benefit to consumers or to competition. Respondent’s in-person visits to consumers’ places of employment when employees knew or should have known that personal visitors were not permitted caused or were likely to have caused substantial injury to consumers that was not reasonably avoidable or outweighed by any countervailing benefit to consumers or to competition.
47. | Respondent’s practice of making in-person visits to collect debts constitutes an unfair act or practice that violates §§ 1036(a)(1)(B) and 1031(c)(1) of the CFPA. 12 U.S.C. 8§ 5536(a)(1)(B), 5531(c)(1).
ORDER
V Conduct Provisions
IT IS ORDERED, under §§ 1053 and 1055 of the CFPA, that:
48. Respondent and its officers, agents, servants, employees, and attorneys who have actual notice of this Consent Order, whether acting directly or indirectly, is permanently restrained from:
a. Making in-person visits to a consumer’s home or place of employment in connection with collecting or attempting to collect debt, except for:
A. in-person visits to a consumer’s home or place of employment solely for the purpose of locating and repossessing
vehicles; and
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ii. in-person visits for which the consumer, after default, provides his or her voluntary, affirmative, and specific written permission on an opt-in basis;
b. contacting or communicating with any person or entity in relation to the consumer’s account, other than the consumer, except for: As communications to acquire location information for the consumer in compliance with 15 U.S.C. § 1692c and any regulations promulgated under 15 U.S.C. § 1692I1(d); ii. communications that comply with 15 U.S.C. § 1692c(b) and any regulations promulgated under 15 U.S.C. § 16921(d); and ili. communications made with the prior express consent of the consumer;
Gy disclosing the existence of the consumer’s debt to any person other than the consumer, including references, landlords, or supervisors, in connection with collecting or attempting to collect a debt, except with the prior express consent of the consumer;
d. using a Payback Guide or other substantially similar document; e. in connection with the sale, origination, renewal, or extension of any consumer-financial product or service, expressly or impliedly: i. misrepresenting the terms, length, or cost of the product; or ii. encouraging consumers to take longer to pay than the term of the original loan, pledge, or pawn.
Nothing in this Paragraph 48(e) shall prohibit or restrict Respondent from
providing (orally or in writing) accurate information to consumers about
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their rights of renewal, extension, or refinancing under state law or policy, provided that Respondent does so in a manner that is consistent with this Order.
49. Respondent must take reasonable measures to ensure that its service providers, affiliates, and other agents comply with this Section.
VI Compliance Plan
IT IS FORTHER ORDERED that:
50. Within 60 days of the Effective Date, Respondent must submit to the Enforcement Director for review and determination of non-objection a comprehensive compliance plan designed to ensure that Respondent’s sales practices and Respondent’s debt-collection practices comply with all applicable Federal consumer financial laws and
the terms of this Consent Order (Compliance Plan). The Compliance Plan must, at a
minimum:
a. Detail steps for addressing each action required by this Consent Order;
b. Ensure scripts and training materials do not encourage consumers
to take longer to pay than the term of the original loan, pledge, or pawn; c. Ensure scripts and training materials do not refer to a Payback Guide and do not permit store employees to initiate conversations with consumers about (i) how much the consumer would like to pay each month or (ii) over how many months he or she would like to repay the
transaction;
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d. Require ongoing education and training in applicable federal and state consumer-protection laws regarding the terms of this Consent Order for all appropriate employees. Respondent shall document its training program and review and update its training program at least annually to ensure that it provides appropriate individuals with the most relevant information;
e. Require a consumer-complaint-monitoring process, including the maintenance of adequate records of all written, oral, or electronic complaints or inquiries, formal or informal, received by Respondent and the resolution of the complaints and inquiries; and
f. Include specific timeframes and deadlines for implementation of the steps described above.
51. The Enforcement Director will have the discretion to make a determination of non-objection to the Compliance Plan or direct Respondent to revise it. If the Enforcement Director directs Respondent to revise the Compliance Plan, Respondent must make the revisions and resubmit the Compliance Plan to the Enforcement Director within 30 days.
52. After receiving notice that the Enforcement Director has made a determination of non-objection to the Compliance Plan, Respondent must implement and adhere to the steps, recommendations, deadlines, and timeframes outlined in the
Compliance Plan.
Vil Role of the Board
IT IS FURTHER ORDERED that:
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53. The Board must review all submissions (including plans, reports, programs, policies, and procedures) required by this Consent Order before submission to the Bureau.
54. Although this Consent Order requires Respondent to submit certain documents for the review or non-objection by the Enforcement Director, the Board will have the ultimate responsibility for proper and sound management of Respondent and for ensuring that Respondent complies with Federal consumer-financial law and this Consent Order.
55. Ineach instance that this Consent Order requires the Board to ensure adherence to or perform certain obligations of Respondent, the Board must:
a. authorize whatever actions are necessary for Respondent to fully comply with the Consent Order;
b. require timely reporting by management to the Board on the status of compliance obligations; and
Gs require timely and appropriate corrective action to remedy any material non-compliance with Board directives related to this Section.
VIII Order to Pay Civil Money Penalties
IT IS FURTHER ORDERED that:
56. Under § 1055(c) of the CFPA, 12 U.S.C. § 5565(c), by reason of the violations of law described in Section IV of this Consent Order, and taking into account the factors in 12 U.S.C. § 5565(c)(3), Respondent must pay a civil money penalty of $9
million to the Bureau.
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57. Within 10 days of the Effective Date, Respondent must pay the civil money penalty by wire transfer to the Bureau or to the Bureau’s agent in compliance with the Bureau’s wiring instructions.
58. The civil money penalty paid under this Consent Order will be deposited in the Civil Penalty Fund of the Bureau as required by § 1017(d) of the CFPA, 12 U.S.C.
§ 5497(d).
59. Respondent must treat the civil money penalty paid under this Consent Order as a penalty paid to the government for all purposes. Regardless of how the Bureau ultimately uses those funds, Respondent may not:
a. claim, assert, or apply for a tax deduction, tax credit, or any other tax benefit for any civil money penalty paid under this Consent Order; or b. seek or accept, directly or indirectly, reimbursement or indemnification from any source, including but not limited to payment made under any insurance policy, with regard to any civil money penalty paid under this Consent Order.
60. To preserve the deterrent effect of the civil money penalty in any Related Consumer Action, Respondent may not argue that Respondent is entitled to, nor may Respondent benefit from, any offset or reduction of any compensatory monetary remedies imposed in the Related Consumer Action because of the civil money penalty paid in this action (Penalty Offset). If the court in any Related Consumer Action grants such a Penalty Offset, Respondent must, within 30 days after entry of a final order granting the Penalty Offset, notify the Bureau, and pay the amount of the Penalty Offset
to the U.S. Treasury. Such a payment will not be considered an additional civil money
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penalty and will not change the amount of the civil money penalty imposed in this action.
61. Inthe event of any default on Respondent’s obligations to make payment under this Consent Order, interest, computed under 28 U.S.C. § 1961, as amended, will accrue on any outstanding amounts not paid from the date of default to the date of payment and will immediately become due and payable.
62. Respondent must relinquish all dominion, control, and title to the funds paid to the fullest extent permitted by law, and no part of the funds may be returned to Respondent.
63. Under 31 U.S.C. § 7701, Respondent, unless it already has done so, must furnish to the Bureau its taxpayer identifying numbers, which may be used for purposes of collecting and reporting on any delinquent amount arising out of this Consent Order.
64. Within 30 days of the entry of a final judgment, consent order, or settlement in a Related Consumer Action, Respondent must notify the Enforcement Director of the final judgment, consent order, or settlement in writing. That notification must indicate the amount of redress, if any, that Respondent paid or is required to pay to consumers and describe the consumers or classes of consumers to whom that redress has been or will be paid.
IX Reporting Requirements
IT IS FURTHER ORDERED that:
65. Respondent must notify the Bureau of any development that may affect compliance obligations arising under this Consent Order, including but not limited to a
dissolution, assignment, sale, merger, or other action that would result in the emergence
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of a successor company; the creation or dissolution of a subsidiary, parent, or affiliate that engages in any acts or practices subject to this Consent Order; the filing of any bankruptcy or insolvency proceeding by or against Respondent; or a change in Respondent’s name or address. Respondent must provide this notice, if practicable, at least 30 days before the development, but in any case no later than 14 days after the development.
66. Within 90 days of the non-objection of the Compliance Plan, and again one year after the Effective Date, Respondent must submit to the Enforcement Director an accurate written compliance progress report (Compliance Report) that has been approved by the Board, which, at a minimum:
a. describes in detail the manner and form in which Respondent has complied with this Consent Order; and
b. attaches a copy of each Order Acknowledgment obtained under Section X, unless previously submitted to the Bureau.
xX Order Distribution and Acknowledgment
IT IS FURTHER ORDERED that:
67. Within 60 days of the Effective Date, Respondent must deliver a copy of this Consent Order to each of its Board members and executive officers, as well as to any managers, employees, service providers, or other agents and representatives who have responsibilities related to the subject matter of the Consent Order.
68. For 5years from the Effective Date, Respondent must deliver a copy of this Consent Order to any business entity resulting from any change in structure referred to
in Section IX, any future Board members and executive officers, as well as to any
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managers, employees, service providers, or other agents and representatives who will have responsibilities related to the subject matter of the Consent Order before they assume their responsibilities.
69. Respondent must secure a signed and dated statement acknowledging receipt of a copy of this Consent Order, ensuring that any electronic signatures comply with the requirements of the E-Sign Act, 15 U.S.C. § 7001 et seq., within 45 days of delivery, from all persons receiving a copy of this Consent Order under this Section.
XI Recordkeeping
IT IS FURTHER ORDERED that:
70. Respondent must create or, if already created, must retain for at least 5 years from the Effective Date the following business records: a. all documents and records necessary to demonstrate full compliance with each provision of this Consent Order, including all submissions to the Bureau and relevant sales scripts and training materials (including training materials used by a third party on behalf of Respondent); and b. all consumer complaints (whether received directly or indirectly, such as through a third party) related to the Payback Guide, in-person visits, or this Consent Order, and any responses to those complaints. 71. Respondent must retain the documents identified in Paragraph 70 for the duration of the Consent Order.
72. Respondent must make the documents identified in Paragraph 70
available to the Bureau upon the Bureau’s request.
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XII Notices IT IS FURTHER ORDERED that:
73.
Unless othervdse directed in ·writing by the Bureau, Respondent must provide all submissions, requests, communications, or other documents relating to this Consent Order in writing, with the subject line, "In re TMX Finance LLC, File No. 2016-CFPB-0022," and send them either: a.
By overnight courier (not the U.S. Postal Service), as follows: Anthony Alexis Assistant Director for Enforcement Consumer Financial Protection Bureau ATTENTION: Office of Enforcement 1625 Eye Street, N.W.
Washington D.C. 20006; or b.
By first-class mail to and contemporaneously by email to: Anthony Alexis Assistant Director for Enforcement Consumer Financial Protection Bureau ATTENTION: Office of Enforcement 1700 G Street, N.W.
Washington D.C. 20552 Enforcement [email protected] XIII Compliance Monitoring IT IS FURTHER ORDERED that:
74.
Within 30 days of receipt of a written request from the Bureau, Respondent must submit additional Compliance Reports or other requested information, which must be made under penalty of perjury; provide sworn testimony; or produce documents.
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75. Respondent must permit Bureau representatives to interview any employee or other person affiliated with Respondent who has agreed to such an interview. The person interviewed may have counsel present.
76. Nothing in this Consent Order will limit the Bureau’s lawful use of civil investigative demands under 12 C.F.R. § 1080.6 or other compulsory process.
XIV
Modifications to Non-Material Requirements
IT IS FURTHER ORDERED that:
77. Respondent may seek a modification to non-material requirements of this Consent Order (e.g., reasonable extensions of time and changes to reporting requirements) by submitting a written request to the Enforcement Director.
78. The Enforcement Director may, in his or her discretion, modify any nonmaterial requirements of this Consent Order (e.g., reasonable extensions of time and changes to reporting requirements) if he or she determines good cause justifies the modification. Any such modification by the Enforcement Director must be in writing.
XV Administrative Provisions
79. The provisions of this Consent Order do not bar, estop, or otherwise prevent the Bureau, or any other governmental agency, from taking any other action against Respondent, except as described in Paragraph 80.
80. The Bureau releases and discharges Respondent from all potential liability for law violations that the Bureau has or might have asserted based on the practices described in Section IV of this Consent Order, to the extent such practices occurred
before the Effective Date and the Bureau knows about them as of the Effective Date. The
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Bureau may use the practices described in this Consent Order in future enforcement actions against Respondent and its affiliates, including, without limitation, to establish a pattern or practice of violations or the continuation of a pattern or practice of violations or to calculate the amount of any penalty. This release does not preclude or affect any right of the Bureau to determine and ensure compliance with the Consent Order, or to seek penalties for any violations of the Consent Order.
81. This Consent Order is intended to be, and will be construed as, a final Consent Order issued under § 1053 of the CFPA, 12 U.S.C. § 5563, and expressly does not form, and may not be construed to form, a contract binding the Bureau or the United States.
82. This Consent Order will terminate 5 years from the Effective Date or 5 years from the most recent date that the Bureau initiates an action alleging any violation of the Consent Order by Respondent. If such action is dismissed or the relevant adjudicative body rules that Respondent did not violate any provision of the Consent Order, and the dismissal or ruling is either not appealed or upheld on appeal, then the Consent Order will terminate as though the action had never been filed. The Consent Order will remain effective and enforceable until such time, except to the extent that any provisions of this Consent Order have been amended, suspended, waived, or terminated in writing by the Bureau or its designated agent.
83. Calculation of time limitations will run from the Effective Date and be based on calendar days, unless otherwise noted.
84. Should Respondent seek to transfer or assign all or part of its operations
that are subject to this Consent Order, Respondent must, as a condition of sale, obtain
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the written agreement of the transferee or assignee to comply with all applicable provisions of this Consent Order.
85.
The provisions of this Consent Order will be enforceable by the Bureau. For any violation of this Consent Order, the Bureau may impose the maximum amount of civil money penalties allowed under§ 1055(c) of the CFPA, 12 U.S.C. § 5565(c). In connection with any attempt by the Bureau to enforce this Consent Order in federal district court, the Bureau may serve Respondent wherever Respondent may be found and Respondent may not contest that court's personal jurisdiction over Respondent. 86.
This Consent Order and the accompanying Stipulation contain the complete agreement between the parties. The parties have made no promises, representations, or warranties other than what is contained in this Consent Order and the accompanying Stipulation. This Consent Order and the accompanying Stipulation supersede any prior oral or written communications, discussions, or understandings. 87.
Nothing in this Consent Order or the accompanying Stipulation may be construed as allowing Respondent, its Board, officers, or employees to violate any law, rule, or regulation.
IT IS SO ORDERED, this 11, day of September, 2016. Director Consumer Financial Protection Bureau 2016-CFPB-0022 Document 1 Filed 09/26/2016 Page 21 of 21
Stipulation
PDF of this document (5 pages)
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UNITED STATES OF AMERICA CONSUMER FINANCIAL PROTECTION BUREAU File No. 2016-CFPB-0022 In the matter of:
TMX Finance LLC STIPULATION AND CONSENT TO THE ISSUANCE OF A CONSENT ORDER The Consumer Financial Protection Bureau (Bureau) intends to initiate an administrative proceeding against TMX Finance LLC (Respondent), under 12 U.S.C. §§ 5563 and 5565, for its abusive sales practices in Alabama, Georgia, and Tennessee, and its unfair in-person debt-collection practices in 18 states violation of the CFPA's prohibition on unfair, deceptive, or abusive acts or practices, 12 U.S.C. §§ 5531, 5536. Respondent, in the interest of compliance and resolution of the matter, and without admitting or denying any wrongdoing, consents to the issuance of a Consent Order substantially in the form of the one to which this Stipulation and Consent to the Issuance of a Consent Order is attached (Consent Order), which is incorporated by reference.
In consideration of the above premises, Respondent agrees to the following: 2016-CFPB-0022 Document 2 Filed 09/26/2016 Page 1 of 5
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2016-CFPB-0022 Document2_ Filed 09/26/2016 Page 2of5
Jurisdiction il The Bureau has jurisdiction over this matter under §§ 1053 and 1055 of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §8§ 5563, 5565.
Consent
Pa Respondent agrees to the issuance of the Consent Order, without admitting or denying any of the findings of fact or conclusions of law, except that Respondent admits the facts necessary to establish the Bureau’s jurisdiction over Respondent and the subject matter of this action.
2} Respondent agrees that the Consent Order will be deemed an “order issued with the consent of the person concerned” under 12 U.S.C. § 5563(b)(4) and agrees that the Consent Order will become a final order, effective upon issuance, and will be fully enforceable by the Bureau under 12 U.S.C. 88 5563(d)(1) and 5565. 4. Respondent voluntarily enters into this Stipulation and Consent to the Issuance of a Consent Order.
5. The Consent Order resolves only Respondent’s potential liability for law violations that the Bureau asserted or might have asserted based on the practices described in Section IV of the Consent Order, to the extent such practices occurred before the Effective Date and the Bureau knows about them as of the Effective Date. Respondent acknowledges that no promise or representation has been made by the Bureau or any employee, agent, or representative of the Bureau, about any liability outside of this action that may have arisen or may arise from the facts underlying this action or immunity from any such liability.
6. Respondent agrees that the facts described in Section IV of the Consent Order
will be taken as true and be given collateral estoppel effect, without further proof, in any
Page 25
2016-CFPB-0022 Document2 Filed 09/26/2016 Page 3of5
proceeding before the Bureau to enforce the Consent Order, or in any subsequent civil litigation by the Bureau to enforce the Consent Order or its rights to any payment or monetary judgment under the Consent Order, such as a non-dischargeability complaint in any bankruptcy case.
Wis The terms and provisions of this Stipulation and the Consent Order will be binding upon, and inure to the benefit of, the parties hereto and their successors in interest.
8. Respondent agrees that the Bureau may present the Consent Order to the Bureau
Director for signature and entry without further notice.
Waivers 9. Respondent, by consenting to this Stipulation, waives: a. any right to service of the Consent Order, and agrees that issuance of the
Consent Order will constitute notice to Respondent of its terms and conditions; b. any objection to the jurisdiction of the Bureau, including, without limitation, under § 1053 of the CFPA, 12 U.S.C. § 5563;
c. the rights to all hearings under the statutory provisions under which the proceeding is to be or has been instituted; the filing of proposed findings of fact and conclusions of law; proceedings before, and a recommended decision by, a hearing officer; all post-hearing procedures; and any other procedural right
available under § 1053 of the CFPA, 12 U.S.C. § 5563, or 12 CFR Part 1081;
d. the right to seek any administrative or judicial review of the Consent Order;
e. any claim for fees, costs, or expenses against the Bureau, or any of its
agents or employees, and any other governmental entity, related in any way to
Page 26
2016-CFPB-0022 Document2_ Filed 09/26/2016 Page4of5
this enforcement matter or the Consent Order, whether arising under common law or under the terms of any statute, including but not limited to the Equal Access to Justice Act and the Small Business Regulatory Enforcement Fairness Act of 1996; for these purposes, Respondent agrees that Respondent is not the
prevailing party in this action because the parties have reached a good faith
settlement;
f. any other right to challenge or contest the validity of the Consent Order; g. such provisions of the Bureau’s rules or other requirements of law as may
be construed to prevent any Bureau employee from participating in the preparation of, or advising the Director as to, any order, opinion, finding of fact, or conclusion of law to be entered in connection with this Stipulation or the Consent Order; and
h. any right to claim bias or prejudgment by the Director based on the
consideration of or discussions concerning settlement of all or any part of the
proceeding.
September 23, 2016
By: Tracy Young, Chief Exeuttive Officer Date TMX Finance LLC
Page 27
2016-CFPB-0022 Document2_ Filed 09/26/2016 Page5of5
The undersigned Members of the Board of Managers of TMX Finance LLC each acknowledges having read this Stipulation and the Consent Order, and approves of TMX Finance LLC entering into this Stipulation.
a“
September 23, 2016
Tracy Young, Manager ff Date TMX Finance LLC "
September 23, 2016
Otto W. Bielss, III, MAaager Date TMX Finance LLC J LEZ September 23, 2016 Ro =, . Pirkle, Manater Date TMX Finance LLC a Ke September 23, 2016 J oka G. Kennedy, III, Pknager Date
TMX Finance LLC
Consent order ()
PDF of this document (3 pages)
Page 28
UNITED STATES OF AMERICA CONSUMER FINANCIAL PROTECTION BUREAU
ADMINISTRATIVE PROCEEDING File No. 2016-CFPB-0022
In the Matter of:
MODIFICATION OF THE CONSENT ORDER
TMX Finance LLC
The Consumer Financial Protection Bureau (Bureau) issued a consent order in this matter on September 26, 2016, identifying unfair and abusive practices in TMX Finance LLC’s (Respondent) lending and debt-collection practices in violation of §§ 1031 and 1036(a)(1)(B) of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5531 and 5536(a)(1)(B) (Consent Order). The Consent Order is incorporated herein by reference. Under § 1053 of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5563, the Bureau modifies paragraph 82 of the Consent Order to extend the termination date (Modification of the Consent Order).
2016-CFPB-0022 Document 3 Filed 06/23/2021 Page 1 of 3
Page 29
I.
Jurisdiction
1.
The Bureau has jurisdiction over this matter under §§ 1053 and 1055 of the CFPA, 12 U.S.C. §§ 5563, 5565.
II.
Stipulation
2.
Respondent has executed a “Stipulation and Consent to the Issuance of the Modification of Consent Order,” dated June 8, 2021 (Stipulation), which is incorporated by reference and is accepted by the Bureau. By this Stipulation, Respondent has consented to the issuance of this Modification of Consent Order by the Bureau under § 1053 of the CFPA, 12 U.S.C. § 5563. Respondent admits the facts necessary to establish the Bureau’s jurisdiction over Respondent and the subject matter of this action. III.
Administrative Provision 3.
Paragraph 82 of the Consent Order is modified to read: This Consent Order will terminate on March 25, 2022, unless the Bureau initiates an action before that date alleging any violation of the Consent Order by Respondent, then the Consent Order will expire 5 2016-CFPB-0022 Document 3 Filed 06/23/2021 Page 2 of 3
Page 30
years from the date the Bureau initiates such action (Extended Termination Date). If such action is dismissed or the relevant adjudicative body rules that Respondent did not violate any provision of the Consent Order, and the dismissal or ruling is either not appealed or upheld on appeal (collectively, the Dismissal of Action or Ruling of No Violation), then the Consent Order will terminate on March 25, 2022, as though the action had never been filed. The Consent Order will remain effective and enforceable until the latter of March 25, 2022, or the Extended Termination Date when there is no Dismissal of Action or Ruling of No Violation, except to the extent that any provisions of this Consent Order have been amended, suspended, waived, or terminated in writing by the Bureau or its designated agent. IT IS SO ORDERED, this 21st day of June, 2021. ____________________________ David Uejio Acting Director Consumer Financial Protection Bureau ~I? yr,-a-va 2016-CFPB-0022 Document 3 Filed 06/23/2021 Page 3 of 3
Stipulation ()
PDF of this document (5 pages)
Page 31
UNITED STATES OF AMERICA CONSUMER FINANCIAL PROTECTION BUREAU File No. 2016-CFPB-0022 STIPULATION AND CONSENT TO THE ISSUANCE OF THE MODIFICATION OF THE CONSENT ORDER In the matter of:
TMX Finance LLC The Consumer Financial Protection Bureau (Bureau) issued a consent order in this matter on September 26, 2016, identifying unfair and abusive practices in TMX Finance LLC’s (Respondent) lending and debt-collection practices in violation of §§ 1031 and 1036(a)(1)(B) of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5531 and 5536(a)(1)(B) (Consent Order). The Consent Order is incorporated herein by reference. Under § 1053 of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5563, the Bureau seeks to modify paragraph 82 of the Consent Order to extend the termination date (Modification of the Consent Order).
2016-CFPB-0022 Document 4 Filed 06/23/2021 Page 1 of 5
Page 32
Respondent, through its authorized representatives, consents to the issuance of the Modification of the Consent Order substantially in the form of the one to which this Stipulation and Consent to the Issuance of the Modification of the Consent Order is attached (Modification of the Consent Order), and which is incorporated by reference.
In consideration of the above premises, Respondent agrees to the following:
Jurisdiction 1.
The Bureau has jurisdiction over this matter under §§ 1053 and 1055 of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5563, 5565.
Consent 2.
Respondent agrees to the issuance of the Modification of the Consent Order. Respondent admits the facts necessary to establish the Bureau’s jurisdiction over Respondent and the subject matter of this action. 3.
Respondent agrees that the Modification of the Consent Order will be deemed an “order issued with the consent of the person concerned” under 12 U.S.C. § 5563(b)(4) and agrees that the Modification of the Consent Order will become a final order, effective upon its entry on the administrative 2016-CFPB-0022 Document 4 Filed 06/23/2021 Page 2 of 5
Page 33
docket, and will be fully enforceable by the Bureau under 12 U.S.C. §§ 5563(d)(1) and 5565.
4.
Respondent voluntarily enters into this Stipulation and Consent to the Issuance of the Modification of the Consent Order (Stipulation). 5.
The terms and provisions of this Stipulation and the Modification of the Consent Order will be binding upon, and inure to the benefit of, the parties hereto and their successors in interest.
6.
Respondent agrees that the Bureau may present the Modification of the Consent Order to the Bureau Director for signature and entry without further notice.
Waivers 7.
Respondent, by consenting to this Stipulation, waives: a.
Any right to service of the Modification of the Consent Order, and agrees that entry of the Modification of the Consent Order on the administrative docket will constitute notice to Respondent of its terms and conditions;
b.
Any objection to the jurisdiction of the Bureau, including, without limitation, under section 1053 of the CFPA, 12 U.S.C. § 5563; c.
The rights to all hearings under the statutory provisions under which the proceeding is to be or has been instituted; and any other 2016-CFPB-0022 Document 4 Filed 06/23/2021 Page 3 of 5
Page 34
procedural right available under section 1053 of the CFPA, 12 U.S.C. § 5563, or 12 CFR Part 1081;
d.
The right to seek any administrative or judicial review of the Modification of the Consent Order;
e.
Any claim for fees, costs or expenses against the Bureau, or any of its agents or employees, and any other governmental entity, related in any way to the enforcement matter or the Modification of the Consent Order, whether arising under common law or under the terms of any statute, including, but not limited to the Equal Access to Justice Act and the Small Business Regulatory Enforcement Fairness Act of 1996; for these purposes, Respondent agrees that Respondent is not the prevailing party in this action because the parties have reached a good faith settlement under the Consent Order; f.
Any other right to challenge or contest the validity of the Modification of the Consent Order;
g.
Such provisions of the Bureau’s rules or other requirements of law as may be construed to prevent any Bureau employee from participating in the preparation of, or advising the Director as to, any order, opinion, finding of fact, or conclusion of law to be entered in 2016-CFPB-0022 Document 4 Filed 06/23/2021 Page 4 of 5
Page 35
connection with this Stipulation or the Modification of the Consent Order; and h.
Any right to claim bias or prejudgment by the Director based on the consideration of or discussions concerning settlement of all or any part of the proceeding.
TMX FINANCE LLC BY:
______________________________________
____________________ Christopher Willis, Ballard Spahr LLP
Date Counsel for TMX Finance LLC 2016-CFPB-0022 Document 4 Filed 06/23/2021 Page 5 of 5
Consent order ()
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Page 36
UNITED STATES OF AMERICA CONSUMER FINANCIAL PROTECTION BUREAU File No. 2016-CFPB-0022 STIPULATION AND CONSENT TO THE ISSUANCE OF THE SECOND MODIFICATION OF THE CONSENT ORDER In the matter of:
TMX Finance LLC The Consumer Financial Protection Bureau (Bureau) issued a consent order in this matter on September 26, 2016, identifying unfair and abusive practices in TMX Finance LLC’s (Respondent) lending and debt-collection practices in violation of §§ 1031 and 1036(a)(1)(B) of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5531 and 5536(a)(1)(B), and on June 21, 2021, the Bureau modified paragraph 82 of the order to extend the termination date (collectively, the Consent Order). The Consent Order is incorporated herein by reference. Under § 1053 of the CFPA, 12 U.S.C. § 5563, the Bureau again modifies paragraph 82 of the Consent Order to extend the termination date (Modification of the Consent Order).
2016-CFPB-0022 Document 6 Filed 02/01/2022 Page 1 of 5
Page 37
Respondent, through its authorized representatives, consents to the issuance of the Modification of the Consent Order substantially in the form of the one to which this Stipulation and Consent to the Issuance of the Second Modification of the Consent Order is attached (Modification of the Consent Order), and which is incorporated by reference.
In consideration of the above premises, Respondent agrees to the following:
Jurisdiction 1.
The Bureau has jurisdiction over this matter under §§ 1053 and 1055 of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5563, 5565.
Consent 2.
Respondent agrees to the issuance of the Modification of the Consent Order. Respondent admits the facts necessary to establish the Bureau’s jurisdiction over Respondent and the subject matter of this action. 3.
Respondent agrees that the Modification of the Consent Order will be deemed an “order issued with the consent of the person concerned” under 12 U.S.C. § 5563(b)(4) and agrees that the Modification of the Consent Order will become a final order, effective upon its entry on the administrative 2016-CFPB-0022 Document 6 Filed 02/01/2022 Page 2 of 5
Page 38
docket, and will be fully enforceable by the Bureau under 12 U.S.C. §§ 5563(d)(1) and 5565.
4.
Respondent voluntarily enters into this Stipulation and Consent to the Issuance of the Second Modification of the Consent Order (Stipulation). 5.
The terms and provisions of this Stipulation and the Modification of the Consent Order will be binding upon, and inure to the benefit of, the parties hereto and their successors in interest.
6.
Respondent agrees that the Bureau may present the Modification of the Consent Order to the Bureau Director for signature and entry without further notice.
Waivers 7.
Respondent, by consenting to this Stipulation, waives: a.
Any right to service of the Modification of the Consent Order, and agrees that entry of the Modification of the Consent Order on the administrative docket will constitute notice to Respondent of its terms and conditions;
b.
Any objection to the jurisdiction of the Bureau, including, without limitation, under section 1053 of the CFPA, 12 U.S.C. § 5563; c.
The rights to all hearings under the statutory provisions under which the proceeding is to be or has been instituted; and any other 2016-CFPB-0022 Document 6 Filed 02/01/2022 Page 3 of 5
Page 39
procedural right available under section 1053 of the CFPA, 12 U.S.C. § 5563, or 12 CFR Part 1081;
d.
The right to seek any administrative or judicial review of the Modification of the Consent Order;
e.
Any claim for fees, costs or expenses against the Bureau, or any of its agents or employees, and any other governmental entity, related in any way to the enforcement matter or the Modification of the Consent Order, whether arising under common law or under the terms of any statute, including, but not limited to the Equal Access to Justice Act and the Small Business Regulatory Enforcement Fairness Act of 1996; for these purposes, Respondent agrees that Respondent is not the prevailing party in this action because the parties have reached a good faith settlement under the Consent Order; f.
Any other right to challenge or contest the validity of the Modification of the Consent Order;
g.
Such provisions of the Bureau’s rules or other requirements of law as may be construed to prevent any Bureau employee from participating in the preparation of, or advising the Director as to, any order, opinion, finding of fact, or conclusion of law to be entered in 2016-CFPB-0022 Document 6 Filed 02/01/2022 Page 4 of 5
Page 40
connection with this Stipulation or the Modification of the Consent Order; and h.
Any right to claim bias or prejudgment by the Director based on the consideration of or discussions concerning settlement of all or any part of the proceeding.
TMX FINANCE LLC BY:
______________________________________
____________________ Allen H. Denson
Date Stroock & Stroock & Lavan LLP Counsel for TMX Finance LLC 1/10/2022 2016-CFPB-0022 Document 6 Filed 02/01/2022 Page 5 of 5
Consent order ()
PDF of this document (3 pages)
Page 41
UNITED STATES OF AMERICA CONSUMER FINANCIAL PROTECTION BUREAU ADMINISTRATIVE PROCEEDING File No. 2016-CFPB-0022 In the Matter of:
SECOND MODIFICATION OF THE CONSENT ORDER TMX Finance LLC The Consumer Financial Protection Bureau (Bureau) issued a consent order in this matter on September 26, 2016, identifying unfair and abusive practices in TMX Finance LLC’s (Respondent) lending and debt-collection practices in violation of §§ 1031 and 1036(a)(1)(B) of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5531 and 5536(a)(1)(B), and on June 21, 2021, the Bureau modified paragraph 82 of the order to extend the termination date (collectively, the Consent Order). The Consent Order is incorporated herein by reference. Under § 1053 of the CFPA, 12 U.S.C. § 5563, the Bureau again modifies paragraph 82 of the Consent Order to extend the termination date (Modification of the Consent Order).
2016-CFPB-0022 Document 5 Filed 02/01/2022 Page 1 of 3
Page 42
I.
Jurisdiction
1.
The Bureau has jurisdiction over this matter under §§ 1053 and 1055 of the CFPA, 12 U.S.C. §§ 5563, 5565.
II.
Stipulation
2.
Respondent has executed a “Stipulation and Consent to the Issuance of the Modification of Consent Order,” dated January 10, 2022 (Stipulation), which is incorporated by reference and is accepted by the Bureau. By this Stipulation, Respondent has consented to the issuance of this Modification of Consent Order by the Bureau under § 1053 of the CFPA, 12 U.S.C. § 5563. Respondent admits the facts necessary to establish the Bureau’s jurisdiction over Respondent and the subject matter of this action. III.
Administrative Provision 3.
Paragraph 82 of the Consent Order is modified to read: This Consent Order will terminate on September 25, 2022, unless the Bureau initiates an action before that date alleging any violation of the Consent Order by Respondent, then the Consent Order will expire 5 2016-CFPB-0022 Document 5 Filed 02/01/2022 Page 2 of 3
Page 43
years from the date the Bureau initiates such action (Extended Termination Date). If such action is dismissed or the relevant adjudicative body rules that Respondent did not violate any provision of the Consent Order, and the dismissal or ruling is either not appealed or upheld on appeal (collectively, the Dismissal of Action or Ruling of No Violation), then the Consent Order will terminate on September 25, 2022, as though the action had never been filed. The Consent Order will remain effective and enforceable until the latter of September 25, 2022, or the Extended Termination Date when there is no Dismissal of Action or Ruling of No Violation, except to the extent that any provisions of this Consent Order have been amended, suspended, waived, or terminated in writing by the Bureau or its designated agent. IT IS SO ORDERED, this 31st day of January, 2022. ____________________________ Rohit Chopra Director Consumer Financial Protection Bureau 2016-CFPB-0022 Document 5 Filed 02/01/2022 Page 3 of 3
Consent order ()
PDF of this document (3 pages)
Page 44
UNITED STATES OF AMERICA CONSUMER FINANCIAL PROTECTION BUREAU ADMINISTRATIVE PROCEEDING File No. 2016-CFPB-0022 In the Matter of:
THIRD MODIFICATION OF THE CONSENT ORDER TMX Finance LLC The Consumer Financial Protection Bureau (Bureau) issued a consent order in this matter on September 26, 2016, identifying unfair and abusive practices in TMX Finance LLC’s (Respondent) lending and debt-collection practices in violation of §§ 1031 and 1036(a)(1)(B) of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5531 and 5536(a)(1)(B), and the Bureau modified paragraph 82 of the order to extend the termination date on June 21, 2021 and January 31, 2022 (collectively, the Consent Order). The Consent Order is incorporated herein by reference. Under § 1053 of the CFPA, 12 U.S.C. § 5563, the Bureau again modifies paragraph 82 of the Consent Order to extend the termination date (Modification of the Consent Order). 2016-CFPB-0022 Document 7 Filed 09/15/2022 Page 1 of 3
Page 45
I.
Jurisdiction
1.
The Bureau has jurisdiction over this matter under §§ 1053 and 1055 of the CFPA, 12 U.S.C. §§ 5563, 5565.
II.
Stipulation
2.
Respondent has executed a “Stipulation and Consent to the Issuance of the Modification of Consent Order,” dated September 12, 2022 (Stipulation), which is incorporated by reference and is accepted by the Bureau. By this Stipulation, Respondent has consented to the issuance of this Modification of Consent Order by the Bureau under § 1053 of the CFPA, 12 U.S.C. § 5563. Respondent admits the facts necessary to establish the Bureau’s jurisdiction over Respondent and the subject matter of this action. III.
Administrative Provision 3.
Paragraph 82 of the Consent Order is modified to read: This Consent Order will terminate on December 23, 2022, unless the Bureau initiates an action before that date alleging any violation of the Consent Order by Respondent, then the Consent Order will expire 5 2016-CFPB-0022 Document 7 Filed 09/15/2022 Page 2 of 3
Page 46
years from the date the Bureau initiates such action (Extended Termination Date). If such action is dismissed or the relevant adjudicative body rules that Respondent did not violate any provision of the Consent Order, and the dismissal or ruling is either not appealed or upheld on appeal (collectively, the Dismissal of Action or Ruling of No Violation), then the Consent Order will terminate on December 23, 2022, as though the action had never been filed. The Consent Order will remain effective and enforceable until the latter of December 23, 2022, or the Extended Termination Date when there is no Dismissal of Action or Ruling of No Violation, except to the extent that any provisions of this Consent Order have been amended, suspended, waived, or terminated in writing by the Bureau or its designated agent. IT IS SO ORDERED, this 15th day of September, 2022. ____________________________ Rohit Chopra Director Consumer Financial Protection Bureau t f 2016-CFPB-0022 Document 7 Filed 09/15/2022 Page 3 of 3
Stipulation ()
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Page 47
UNITED STATES OF AMERICA CONSUMER FINANCIAL PROTECTION BUREAU File No. 2016-CFPB-0022 STIPULATION AND CONSENT TO THE ISSUANCE OF THE THIRD MODIFICATION OF THE CONSENT ORDER In the matter of:
TMX Finance LLC The Consumer Financial Protection Bureau (Bureau) issued a consent order in this matter on September 26, 2016, identifying unfair and abusive practices in TMX Finance LLC’s (Respondent) lending and debt-collection practices in violation of §§ 1031 and 1036(a)(1)(B) of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5531 and 5536(a)(1)(B), and the Bureau modified paragraph 82 of the order to extend the termination date on June 21, 2021, and January 31, 2022 (collectively, the Consent Order). The Consent Order is incorporated herein by reference. Under § 1053 of the CFPA, 12 U.S.C. § 5563, the Bureau again modifies paragraph 82 of the Consent Order to extend the termination date (Modification of the Consent Order). 2016-CFPB-0022 Document 8 Filed 09/15/2022 Page 1 of 5
Page 48
Respondent, through its authorized representatives, consents to the issuance of the Modification of the Consent Order substantially in the form of the one to which this Stipulation and Consent to the Issuance of the Third Modification of the Consent Order is attached (Modification of the Consent Order), and which is incorporated by reference.
In consideration of the above premises, Respondent agrees to the following:
Jurisdiction 1.
The Bureau has jurisdiction over this matter under §§ 1053 and 1055 of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5563, 5565.
Consent 2.
Respondent agrees to the issuance of the Modification of the Consent Order. Respondent admits the facts necessary to establish the Bureau’s jurisdiction over Respondent and the subject matter of this action. 3.
Respondent agrees that the Modification of the Consent Order will be deemed an “order issued with the consent of the person concerned” under 12 U.S.C. § 5563(b)(4) and agrees that the Modification of the Consent Order will become a final order, effective upon its entry on the administrative 2016-CFPB-0022 Document 8 Filed 09/15/2022 Page 2 of 5
Page 49
docket, and will be fully enforceable by the Bureau under 12 U.S.C. §§ 5563(d)(1) and 5565.
4.
Respondent voluntarily enters into this Stipulation and Consent to the Issuance of the Third Modification of the Consent Order (Stipulation). 5.
The terms and provisions of this Stipulation and the Modification of the Consent Order will be binding upon, and inure to the benefit of, the parties hereto and their successors in interest.
6.
Respondent agrees that the Bureau may present the Modification of the Consent Order to the Bureau Director for signature and entry without further notice.
Waivers 7.
Respondent, by consenting to this Stipulation, waives: a.
Any right to service of the Modification of the Consent Order, and agrees that entry of the Modification of the Consent Order on the administrative docket will constitute notice to Respondent of its terms and conditions;
b.
Any objection to the jurisdiction of the Bureau, including, without limitation, under section 1053 of the CFPA, 12 U.S.C. § 5563; c.
The rights to all hearings under the statutory provisions under which the proceeding is to be or has been instituted; and any other 2016-CFPB-0022 Document 8 Filed 09/15/2022 Page 3 of 5
Page 50
procedural right available under section 1053 of the CFPA, 12 U.S.C. § 5563, or 12 CFR Part 1081;
d.
The right to seek any administrative or judicial review of the Modification of the Consent Order;
e.
Any claim for fees, costs or expenses against the Bureau, or any of its agents or employees, and any other governmental entity, related in any way to the enforcement matter or the Modification of the Consent Order, whether arising under common law or under the terms of any statute, including, but not limited to the Equal Access to Justice Act and the Small Business Regulatory Enforcement Fairness Act of 1996; for these purposes, Respondent agrees that Respondent is not the prevailing party in this action because the parties have reached a good faith settlement under the Consent Order; f.
Any other right to challenge or contest the validity of the Modification of the Consent Order;
g.
Such provisions of the Bureau’s rules or other requirements of law as may be construed to prevent any Bureau employee from participating in the preparation of, or advising the Director as to, any order, opinion, finding of fact, or conclusion of law to be entered in 2016-CFPB-0022 Document 8 Filed 09/15/2022 Page 4 of 5
Page 51
connection with this Stipulation or the Modification of the Consent Order; and h.
Any right to claim bias or prejudgment by the Director based on the consideration of or discussions concerning settlement of all or any part of the proceeding.
TMX FINANCE LLC BY:
______________________________________
____________________ Allen H. Denson
Date Stroock & Stroock & Lavan LLP Counsel for TMX Finance LLC 9/12/2022 2016-CFPB-0022 Document 8 Filed 09/15/2022 Page 5 of 5
Consent order ()
PDF of this document (3 pages)
Page 52
UNITED STATES OF AMERICA CONSUMER FINANCIAL PROTECTION BUREAU ADMINISTRATIVE PROCEEDING File No. 2016-CFPB-0022 In the Matter of:
FOURTH MODIFICATION OF THE CONSENT ORDER TMX Finance LLC The Consumer Financial Protection Bureau (Bureau) issued a consent order in this matter on September 26, 2016, identifying unfair and abusive practices in TMX Finance LLC’s (Respondent) lending and debt-collection practices in violation of §§ 1031 and 1036(a)(1)(B) of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5531 and 5536(a)(1)(B), and the Bureau modified paragraph 82 of the order to extend the termination date on June 21, 2021, January 31, 2022, and September 15, 2022 (collectively, the Consent Order). The Consent Order is incorporated herein by reference. Under § 1053 of the CFPA, 12 U.S.C. § 5563, the Bureau again modifies paragraph 82 of the Consent Order to extend the termination date (Modification of the Consent Order). 2016-CFPB-0022 Document 9 Filed 12/12/2022 Page 1 of 3
Page 53
I.
Jurisdiction
1.
The Bureau has jurisdiction over this matter under §§ 1053 and 1055 of the CFPA, 12 U.S.C. §§ 5563, 5565.
II.
Stipulation
2.
Respondent has executed a “Stipulation and Consent to the Issuance of the Fourth Modification of Consent Order,” dated November 28, 2022 (Stipulation), which is incorporated by reference and is accepted by the Bureau. By this Stipulation, Respondent has consented to the issuance of this Modification of Consent Order by the Bureau under § 1053 of the CFPA, 12 U.S.C. § 5563. Respondent admits the facts necessary to establish the Bureau’s jurisdiction over Respondent and the subject matter of this action. III.
Administrative Provision 3.
Paragraph 82 of the Consent Order is modified to read: This Consent Order will terminate on January 27, 2023, unless the Bureau initiates an action before that date alleging any violation of the Consent Order by Respondent, then the Consent Order will expire 5 2016-CFPB-0022 Document 9 Filed 12/12/2022 Page 2 of 3
Page 54
years from the date the Bureau initiates such action (Extended Termination Date). If such action is dismissed or the relevant adjudicative body rules that Respondent did not violate any provision of the Consent Order, and the dismissal or ruling is either not appealed or upheld on appeal (collectively, the Dismissal of Action or Ruling of No Violation), then the Consent Order will terminate on January 27, 2023, as though the action had never been filed. The Consent Order will remain effective and enforceable until the latter of January 27, 2023, or the Extended Termination Date when there is no Dismissal of Action or Ruling of No Violation, except to the extent that any provisions of this Consent Order have been amended, suspended, waived, or terminated in writing by the Bureau or its designated agent. IT IS SO ORDERED, this 12th day of December, 2022. ____________________________ Rohit Chopra Director Consumer Financial Protection Bureau t r 2016-CFPB-0022 Document 9 Filed 12/12/2022 Page 3 of 3
Consent order ()
PDF of this document (5 pages)
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UNITED STATES OF AMERICA CONSUMER FINANCIAL PROTECTION BUREAU File No. 2016-CFPB-0022 STIPULATION AND CONSENT TO THE ISSUANCE OF THE FOURTH MODIFICATION OF THE CONSENT ORDER In the matter of:
TMX Finance LLC The Consumer Financial Protection Bureau (Bureau) issued a consent order in this matter on September 26, 2016, identifying unfair and abusive practices in TMX Finance LLC’s (Respondent) lending and debt-collection practices in violation of §§ 1031 and 1036(a)(1)(B) of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5531 and 5536(a)(1)(B), and the Bureau modified paragraph 82 of the order to extend the termination date on June 21, 2021, January 31, 2022, and September 15, 2022 (collectively, the Consent Order). The Consent Order is incorporated herein by reference. Under § 1053 of the CFPA, 12 U.S.C. § 5563, the Bureau again modifies paragraph 82 of the Consent Order to extend the termination date.
2016-CFPB-0022 Document 10 Filed 12/12/2022 Page 1 of 5
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Respondent, through its authorized representatives, consents to the issuance of the Fourth Modification of the Consent Order substantially in the form of the one to which this Stipulation and Consent to the Issuance of the Fourth Modification of the Consent Order is attached (Modification of the Consent Order), and which is incorporated by reference. In consideration of the above premises, Respondent agrees to the following: Jurisdiction 1.
The Bureau has jurisdiction over this matter under §§ 1053 and 1055 of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5563, 5565.
Consent 2.
Respondent agrees to the issuance of the Modification of the Consent Order. Respondent admits the facts necessary to establish the Bureau’s jurisdiction over Respondent and the subject matter of this action. 3.
Respondent agrees that the Modification of the Consent Order will be deemed an “order issued with the consent of the person concerned” under 12 U.S.C. § 5563(b)(4) and agrees that the Modification of the Consent Order will become a final order, effective upon its entry on the administrative 2016-CFPB-0022 Document 10 Filed 12/12/2022 Page 2 of 5
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docket, and will be fully enforceable by the Bureau under 12 U.S.C. §§ 5563(d)(1) and 5565.
4.
Respondent voluntarily enters into this Stipulation and Consent to the Issuance of the Fourth Modification of the Consent Order (Stipulation). 5.
The terms and provisions of this Stipulation and the Modification of the Consent Order will be binding upon, and inure to the benefit of, the parties hereto and their successors in interest.
6.
Respondent agrees that the Bureau may present the Modification of the Consent Order to the Bureau Director for signature and entry without further notice.
Waivers 7.
Respondent, by consenting to this Stipulation, waives: a.
Any right to service of the Modification of the Consent Order, and agrees that entry of the Modification of the Consent Order on the administrative docket will constitute notice to Respondent of its terms and conditions;
b.
Any objection to the jurisdiction of the Bureau, including, without limitation, under section 1053 of the CFPA, 12 U.S.C. § 5563; c.
The rights to all hearings under the statutory provisions under which the proceeding is to be or has been instituted; and any other 2016-CFPB-0022 Document 10 Filed 12/12/2022 Page 3 of 5
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procedural right available under section 1053 of the CFPA, 12 U.S.C. § 5563, or 12 CFR Part 1081;
d.
The right to seek any administrative or judicial review of the Modification of the Consent Order;
e.
Any claim for fees, costs or expenses against the Bureau, or any of its agents or employees, and any other governmental entity, related in any way to the enforcement matter or the Modification of the Consent Order, whether arising under common law or under the terms of any statute, including, but not limited to the Equal Access to Justice Act and the Small Business Regulatory Enforcement Fairness Act of 1996; for these purposes, Respondent agrees that Respondent is not the prevailing party in this action because the parties have reached a good faith settlement under the Consent Order; f.
Any other right to challenge or contest the validity of the Modification of the Consent Order;
g.
Such provisions of the Bureau’s rules or other requirements of law as may be construed to prevent any Bureau employee from participating in the preparation of, or advising the Director as to, any order, opinion, finding of fact, or conclusion of law to be entered in 2016-CFPB-0022 Document 10 Filed 12/12/2022 Page 4 of 5
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connection with this Stipulation or the Modification of the Consent Order; and h.
Any right to claim bias or prejudgment by the Director based on the consideration of or discussions concerning settlement of all or any part of the proceeding.
TMX FINANCE LLC BY:
______________________________________ ____________________ Allen H. Denson Date Strook & Stroock & Lavan LLP Counsel for TMX Finance LLC 11/28/2022 2016-CFPB-0022 Document 10 Filed 12/12/2022 Page 5 of 5
Consent order ()
PDF of this document (3 pages)
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UNITED STATES OF AMERICA CONSUMER FINANCIAL PROTECTION BUREAU ADMINISTRATIVE PROCEEDING File No. 2016-CFPB-0022 In the Matter of:
FIFTH MODIFICATION OF THE CONSENT ORDER TMX Finance LLC The Consumer Financial Protection Bureau (Bureau) issued a consent order in this matter on September 26, 2016, identifying unfair and abusive practices in TMX Finance LLC’s (Respondent) lending and debt-collection practices in violation of §§ 1031 and 1036(a)(1)(B) of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5531 and 5536(a)(1)(B), and the Bureau modified paragraph 82 of the order to extend the termination date on June 21, 2021, January 31, 2022, September 15, 2022, and December 12, 2022 (collectively, the Consent Order). The Consent Order is incorporated herein by reference. Under § 1053 of the CFPA, 12 U.S.C. § 5563, the Bureau again modifies paragraph 82 of the Consent Order to extend the termination date (Modification of the Consent Order). 2016-CFPB-0022 Document 11 Filed 01/26/2023 Page 1 of 3
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I.
Jurisdiction
1.
The Bureau has jurisdiction over this matter under §§ 1053 and 1055 of the CFPA, 12 U.S.C. §§ 5563, 5565.
II.
Stipulation
2.
Respondent has executed a “Stipulation and Consent to the Issuance of the Fifth Modification of Consent Order,” dated January 25, 2023 (Stipulation), which is incorporated by reference and is accepted by the Bureau. By this Stipulation, Respondent has consented to the issuance of this Modification of Consent Order by the Bureau under § 1053 of the CFPA, 12 U.S.C. § 5563. Respondent admits the facts necessary to establish the Bureau’s jurisdiction over Respondent and the subject matter of this action. III.
Administrative Provision 3.
Paragraph 82 of the Consent Order is modified to read: This Consent Order will terminate on February 10, 2023, unless the Bureau initiates an action before that date alleging any violation of the Consent Order by Respondent, then the Consent Order will expire 5 2016-CFPB-0022 Document 11 Filed 01/26/2023 Page 2 of 3
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years from the date the Bureau initiates such action (Extended Termination Date). If such action is dismissed or the relevant adjudicative body rules that Respondent did not violate any provision of the Consent Order, and the dismissal or ruling is either not appealed or upheld on appeal (collectively, the Dismissal of Action or Ruling of No Violation), then the Consent Order will terminate on February 10, 2023, as though the action had never been filed. The Consent Order will remain effective and enforceable until the latter of February 10, 2023, or the Extended Termination Date when there is no Dismissal of Action or Ruling of No Violation, except to the extent that any provisions of this Consent Order have been amended, suspended, waived, or terminated in writing by the Bureau or its designated agent. IT IS SO ORDERED, this 26th day of January, 2023. ____________________________ Rohit Chopra Director Consumer Financial Protection Bureau t f 2016-CFPB-0022 Document 11 Filed 01/26/2023 Page 3 of 3
Consent order ()
PDF of this document (5 pages)
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UNITED STATES OF AMERICA CONSUMER FINANCIAL PROTECTION BUREAU File No. 2016-CFPB-0022 STIPULATION AND CONSENT TO THE ISSUANCE OF THE FIFTH MODIFICATION OF THE CONSENT ORDER In the matter of:
TMX Finance LLC The Consumer Financial Protection Bureau (Bureau) issued a consent order in this matter on September 26, 2016, identifying unfair and abusive practices in TMX Finance LLC’s (Respondent) lending and debt-collection practices in violation of §§ 1031 and 1036(a)(1)(B) of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5531 and 5536(a)(1)(B), and the Bureau modified paragraph 82 of the order to extend the termination date on June 21, 2021, January 31, 2022, September 15, 2022, and December 12, 2022 (collectively, the Consent Order). The Consent Order is incorporated herein by reference. Under § 1053 of the CFPA, 12 U.S.C. § 5563, the Bureau again modifies paragraph 82 of the Consent Order to extend the termination date.
2016-CFPB-0022 Document 12 Filed 01/26/2023 Page 1 of 5
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Respondent, through its authorized representatives, consents to the issuance of the Fifth Modification of the Consent Order substantially in the form of the one to which this Stipulation and Consent to the Issuance of the Fifth Modification of the Consent Order is attached (Modification of the Consent Order), and which is incorporated by reference.
In consideration of the above premises, Respondent agrees to the following: Jurisdiction 1.
The Bureau has jurisdiction over this matter under §§ 1053 and 1055 of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5563, 5565.
Consent 2.
Respondent agrees to the issuance of the Modification of the Consent Order. Respondent admits the facts necessary to establish the Bureau’s jurisdiction over Respondent and the subject matter of this action. 3.
Respondent agrees that the Modification of the Consent Order will be deemed an “order issued with the consent of the person concerned” under 12 U.S.C. § 5563(b)(4) and agrees that the Modification of the Consent Order will become a final order, effective upon its entry on the administrative 2016-CFPB-0022 Document 12 Filed 01/26/2023 Page 2 of 5
Page 65
docket, and will be fully enforceable by the Bureau under 12 U.S.C. §§ 5563(d)(1) and 5565.
4.
Respondent voluntarily enters into this Stipulation and Consent to the Issuance of the Fifth Modification of the Consent Order (Stipulation). 5.
The terms and provisions of this Stipulation and the Modification of the Consent Order will be binding upon, and inure to the benefit of, the parties hereto and their successors in interest.
6.
Respondent agrees that the Bureau may present the Modification of the Consent Order to the Bureau Director for signature and entry without further notice.
Waivers 7.
Respondent, by consenting to this Stipulation, waives: a.
Any right to service of the Modification of the Consent Order, and agrees that entry of the Modification of the Consent Order on the administrative docket will constitute notice to Respondent of its terms and conditions;
b.
Any objection to the jurisdiction of the Bureau, including, without limitation, under section 1053 of the CFPA, 12 U.S.C. § 5563; c.
The rights to all hearings under the statutory provisions under which the proceeding is to be or has been instituted; and any other 2016-CFPB-0022 Document 12 Filed 01/26/2023 Page 3 of 5
Page 66
procedural right available under section 1053 of the CFPA, 12 U.S.C. § 5563, or 12 CFR Part 1081;
d.
The right to seek any administrative or judicial review of the Modification of the Consent Order;
e.
Any claim for fees, costs or expenses against the Bureau, or any of its agents or employees, and any other governmental entity, related in any way to the enforcement matter or the Modification of the Consent Order, whether arising under common law or under the terms of any statute, including, but not limited to the Equal Access to Justice Act and the Small Business Regulatory Enforcement Fairness Act of 1996; for these purposes, Respondent agrees that Respondent is not the prevailing party in this action because the parties have reached a good faith settlement under the Consent Order; f.
Any other right to challenge or contest the validity of the Modification of the Consent Order;
g.
Such provisions of the Bureau’s rules or other requirements of law as may be construed to prevent any Bureau employee from participating in the preparation of, or advising the Director as to, any order, opinion, finding of fact, or conclusion of law to be entered in 2016-CFPB-0022 Document 12 Filed 01/26/2023 Page 4 of 5
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connection with this Stipulation or the Modification of the Consent Order; and h.
Any right to claim bias or prejudgment by the Director based on the consideration of or discussions concerning settlement of all or any part of the proceeding.
TMX FINANCE LLC BY:
______________________________________ ____________________ Allen H. Denson Date Strook & Stroock & Lavan LLP Counsel for TMX Finance LLC 2023.01.25 2016-CFPB-0022 Document 12 Filed 01/26/2023 Page 5 of 5
Consent order ()
PDF of this document (3 pages)
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UNITED STATES OF AMERICA CONSUMER FINANCIAL PROTECTION BUREAU ADMINISTRATIVE PROCEEDING File No. 2016-CFPB-0022 In the Matter of:
SIXTH MODIFICATION OF THE CONSENT ORDER TMX Finance LLC The Consumer Financial Protection Bureau (Bureau) issued a consent order in this matter on September 26, 2016, identifying unfair and abusive practices in TMX Finance LLC’s (Respondent) lending and debt-collection practices in violation of §§ 1031 and 1036(a)(1)(B) of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5531 and 5536(a)(1)(B), and the Bureau modified paragraph 82 of the order to extend the termination date on June 21, 2021, January 31, 2022, September 15, 2022, December 12, 2022, and January 26, 2023 (collectively, the Consent Order). The Consent Order is incorporated herein by reference. Under § 1053 of the CFPA, 12 U.S.C. § 5563, the Bureau again 2016-CFPB-0022 Document 13 Filed 02/09/2023 Page 1 of 3
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modifies paragraph 82 of the Consent Order to extend the termination date (Modification of the Consent Order).
I.
Jurisdiction
1.
The Bureau has jurisdiction over this matter under §§ 1053 and 1055 of the CFPA, 12 U.S.C. §§ 5563, 5565.
II.
Stipulation
2.
Respondent has executed a “Stipulation and Consent to the Issuance of the Sixth Modification of Consent Order,” dated February 7, 2023 (Stipulation), which is incorporated by reference and is accepted by the Bureau. By this Stipulation, Respondent has consented to the issuance of this Modification of Consent Order by the Bureau under § 1053 of the CFPA, 12 U.S.C. § 5563. Respondent admits the facts necessary to establish the Bureau’s jurisdiction over Respondent and the subject matter of this action. III.
Administrative Provision 3.
Paragraph 82 of the Consent Order is modified to read: 2016-CFPB-0022 Document 13 Filed 02/09/2023 Page 2 of 3
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This Consent Order will terminate on February 24, 2023, unless the Bureau initiates an action before that date alleging any violation of the Consent Order by Respondent, then the Consent Order will expire 5 years from the date the Bureau initiates such action (Extended Termination Date). If such action is dismissed or the relevant adjudicative body rules that Respondent did not violate any provision of the Consent Order, and the dismissal or ruling is either not appealed or upheld on appeal (collectively, the Dismissal of Action or Ruling of No Violation), then the Consent Order will terminate on February 24, 2023, as though the action had never been filed. The Consent Order will remain effective and enforceable until the latter of February 24, 2023, or the Extended Termination Date when there is no Dismissal of Action or Ruling of No Violation, except to the extent that any provisions of this Consent Order have been amended, suspended, waived, or terminated in writing by the Bureau or its designated agent. IT IS SO ORDERED, this 9th day of February, 2023. ____________________________ Rohit Chopra Director Consumer Financial Protection Bureau t f 2016-CFPB-0022 Document 13 Filed 02/09/2023 Page 3 of 3
Consent order ()
PDF of this document (5 pages)
Page 71
UNITED STATES OF AMERICA CONSUMER FINANCIAL PROTECTION BUREAU File No. 2016-CFPB-0022 STIPULATION AND CONSENT TO THE ISSUANCE OF THE SIXTH MODIFICATION OF THE CONSENT ORDER In the matter of:
TMX Finance LLC The Consumer Financial Protection Bureau (Bureau) issued a consent order in this matter on September 26, 2016, identifying unfair and abusive practices in TMX Finance LLC’s (Respondent) lending and debt-collection practices in violation of §§ 1031 and 1036(a)(1)(B) of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5531 and 5536(a)(1)(B), and the Bureau modified paragraph 82 of the order to extend the termination date on June 21, 2021, January 31, 2022, September 15, 2022, December 12, 2022, and January 26, 2023 (collectively, the Consent Order). The Consent Order is incorporated herein by 2016-CFPB-0022 Document 14 Filed 02/09/2023 Page 1 fo 5
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reference. Under § 1053 of the CFPA, 12 U.S.C. § 5563, the Bureau again modifies paragraph 82 of the Consent Order to extend the termination date. Respondent, through its authorized representatives, consents to the issuance of the Sixth Modification of the Consent Order substantially in the form of the one to which this Stipulation and Consent to the Issuance of the Sixth Modification of the Consent Order is attached (Modification of the Consent Order), and which is incorporated by reference.
In consideration of the above premises, Respondent agrees to the following:
Jurisdiction 1.
The Bureau has jurisdiction over this matter under §§ 1053 and 1055 of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5563, 5565.
Consent 2.
Respondent agrees to the issuance of the Modification of the Consent Order. Respondent admits the facts necessary to establish the Bureau’s jurisdiction over Respondent and the subject matter of this action. 3.
Respondent agrees that the Modification of the Consent Order will be deemed an “order issued with the consent of the person concerned” under 12 U.S.C. § 5563(b)(4) and agrees that the Modification of the Consent Order 2016-CFPB-0022 Document 14 Filed 02/09/2023 Page 2 fo 5
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will become a final order, effective upon its entry on the administrative docket, and will be fully enforceable by the Bureau under 12 U.S.C. §§ 5563(d)(1) and 5565.
4.
Respondent voluntarily enters into this Stipulation and Consent to the Issuance of the Sixth Modification of the Consent Order (Stipulation). 5.
The terms and provisions of this Stipulation and the Modification of the Consent Order will be binding upon, and inure to the benefit of, the parties hereto and their successors in interest.
6.
Respondent agrees that the Bureau may present the Modification of the Consent Order to the Bureau Director for signature and entry without further notice.
Waivers 7.
Respondent, by consenting to this Stipulation, waives: a.
Any right to service of the Modification of the Consent Order, and agrees that entry of the Modification of the Consent Order on the administrative docket will constitute notice to Respondent of its terms and conditions;
b.
Any objection to the jurisdiction of the Bureau, including, without limitation, under section 1053 of the CFPA, 12 U.S.C. § 5563; 2016-CFPB-0022 Document 14 Filed 02/09/2023 Page 3 fo 5
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c.
The rights to all hearings under the statutory provisions under which the proceeding is to be or has been instituted; and any other procedural right available under section 1053 of the CFPA, 12 U.S.C. § 5563, or 12 CFR Part 1081;
d.
The right to seek any administrative or judicial review of the Modification of the Consent Order;
e.
Any claim for fees, costs or expenses against the Bureau, or any of its agents or employees, and any other governmental entity, related in any way to the enforcement matter or the Modification of the Consent Order, whether arising under common law or under the terms of any statute, including, but not limited to the Equal Access to Justice Act and the Small Business Regulatory Enforcement Fairness Act of 1996; for these purposes, Respondent agrees that Respondent is not the prevailing party in this action because the parties have reached a good faith settlement under the Consent Order; f.
Any other right to challenge or contest the validity of the Modification of the Consent Order;
g.
Such provisions of the Bureau’s rules or other requirements of law as may be construed to prevent any Bureau employee from participating in the preparation of, or advising the Director as to, any order, 2016-CFPB-0022 Document 14 Filed 02/09/2023 Page 4 fo 5
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opinion, finding of fact, or conclusion of law to be entered in connection with this Stipulation or the Modification of the Consent Order; and h.
Any right to claim bias or prejudgment by the Director based on the consideration of or discussions concerning settlement of all or any part of the proceeding.
TMX FINANCE LLC BY:
______________________________________
____________________ Allen H. Denson
Date Strook & Stroock & Lavan LLP Counsel for TMX Finance LLC 2023.02.07 2016-CFPB-0022 Document 14 Filed 02/09/2023 Page 5 fo 5