- The CFPB reached a settlement with payment
processor BrightSpeed Solutions Inc. and its founder (collectively,
"BrightSpeed") to resolve allegations that it knowingly
assisted companies in defrauding consumers by knowingly processing
customer payments obtained through fraud.
- The complaint alleged that BrightSpeed
processed payments for companies that used illegal telemarketing
schemes to offer and sell technical support services and antivirus
software for up to $2,000, even though the software and services
were available for free. The complaint further alleges that
BrightSpeed continued to process the companies' payments
despite hundreds of consumer complaints, several police inquiries,
and banks raising concerns, among other things.
- Under the terms of the proposed stipulated judgment and order, BrightSpeed will pay a civil money penalty of $500,000 and will be permanently barred from offering payment processing, consumer lending, deposit-taking, and financial-advisory services
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