CFPB Alleges Berkshire Hathaway Unit Overlooked Warning Signs in Home Loans

Reported 2 days ago

The Consumer Financial Protection Bureau (CFPB) has filed a lawsuit against a subsidiary of Warren Buffett's Berkshire Hathaway, alleging that Vanderbilt Mortgage & Finance ignored significant warning signs indicating borrowers could not afford the loans they were given for manufactured homes. The CFPB claims that the lending practices led to financial struggles for many families, some of whom faced difficulties shortly after securing their loans. The lawsuit highlights a broader issue of inadequate income verification and misleading lending standards in the aftermath of the 2008 financial crisis.

Source: YAHOO

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