The Consumer Financial Protection Bureau (CFPB) sued TransUnion for allegedly continuing its deceitful marketing and digital dark pattern practices to profit from customers.
The CFBP also named TransUnion’s two subsidiaries and its former executive John Danaher as defendants in the lawsuit.
TransUnion is one of the leading credit-reporting agencies in the United States. It collects information on 200 million people and claims to profile almost every credit-active consumer in the country. Last year, the company reported $3 billion in revenue.
Dark patterns are hidden tricks or trapdoors built into a company’s website to attract customers to accidentally click links, sign up for subscriptions, or purchase products or services. These tricks also make it difficult for costumes to cancel a subscription fee.
TransUnion allegedly violated a 2017 Law Enforcement Order
In January 2017, TransUnion settled a CFPB lawsuit regarding the same issues. As part of the settlement, the company agreed to pay $13.9 million in restitution to consumers affected by its deceptive marketing and digital dark pattern practices on its website. The company also agreed to pay $3 million in civil penalties.