Credit

Texas Judge Dismisses Landmark Medical Debt Rule, Leaving Millions Vulnerable to Credit Damage

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A Texas judge’s recent ruling has overturned a significant consumer protection regulation aimed at alleviating medical debt for millions of Americans. The Medical Debt Rule, established by the Consumer Financial Protection Bureau (CFPB) during the final months of the Biden administration, was designed to remove approximately $49 billion in medical debt from the credit reports of around 15 million individuals. In mid-July, U.S. District Judge Sean Jordan determined that the CFPB lacked the legal authority to enforce this rule. He cited that “every major substantive provision” of the regulation exceeded the agency’s jurisdiction. Judge Jordan, … Read more

Jimmy Page Settles Lawsuit Over "Dazed and Confused," Ending Years of Credit Dispute

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Los Angeles, California — Guitarist Jimmy Page of Led Zeppelin and songwriter Jake Holmes have reached a settlement in a longstanding dispute over the songwriting credits for the band’s classic track “Dazed and Confused.” Recent court filings reveal that the deal aims to bring closure to the latest copyright lawsuit initiated by Holmes, who has long claimed that he originally wrote the song. The resolution of the case was filed in court on August 1, with terms of the settlement remaining undisclosed. However, the agreement reportedly resolves all issues related to the lawsuit, which had … Read more

Former Compliance Lawyer Faces Jury Over Allegations of Misappropriating $20 Million Credit Line

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NEW YORK — A Manhattan federal jury heard opening statements Monday in a case involving a former compliance lawyer charged with embezzling funds from a tax-lien investment firm. The lawyer is accused of misappropriating money from a $20 million line of credit assigned to his company. Defense attorneys argued that the lawyer was unaware of any wrongdoing, claiming that the financial transactions in question were conducted within the company’s operational norms. They emphasized that the former lawyer believed he was acting in the best interests of the firm, disputing the prosecution’s allegations of criminal activity. … Read more

Federal Judge Reverses CFPB’s Medical Debt Exemption, Citing Fair Credit Reporting Act Violations

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A federal judge in the United States has invalidated a rule from the Consumer Financial Protection Bureau (CFPB) that aimed to remove medical debt from credit reports. The ruling drew attention to the limits of the agency’s authority, asserting that the proposal violated the Fair Credit Reporting Act. The CFPB’s initiative was based on extensive research suggesting that medical debt does not reliably indicate an individual’s ability to repay loans. The agency anticipated that the removal of such debts could lead to an average credit score increase of 20 points for millions of consumers, thereby … Read more