The Hydra Group Uses Phony Pay Day Loans to Illegally Access Consumer Bank Accounts
WASHINGTON, D.C. – Today, the customer Financial Protection Bureau (CFPB) announced its action to prevent the operations of an internet payday loan provider, the Hydra Group, which it thinks is operating a cash-grab scam that is illegal. The lawsuit alleges that the Hydra Group makes use of information purchased from online lead generators to access consumers’ checking records to illegally deposit pay day loans and withdraw charges without permission. The Hydra Group then makes use of loan that is falsified to declare that the customers had consented to the phony payday loans online. A U.S. District Court Judge has temporarily ordered a halt to the operation and frozen its assets at the request of the CFPB. Read More