CFPB Weighs In on Nationstar Mortgage Fee Suit

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Nationstar allegedly collected fees for payoff statements not authorized by the agreement or law, constituting an FDCPA violation, according to the CFPB.

Ongoing Legal Battle

The proposed class initiated the lawsuit in Washington state court in February, but Nationstar removed it to federal court in April. The mortgage servicer has sought to have the class action dismissed.

The CFPB declined to comment, and representatives for both the proposed class and Nationstar did not respond to requests for comment.

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Christina L. Henry of Seattle Consumer Justice PS and Phillip R. Robinson of Consumer Law Center LLC represent the proposed class. Nationstar is defended by Emily J. Harris of Corr Cronin LLP, along with Jason E. Manning, John C. Lynch, Thomas N. Abbott, and Justin D. Balser of Troutman Pepper Hamilton Sanders LLP. The CFPB’s legal team includes Lauren Gorodetsky.