Google Company Hit with Millions in Penalties

Sometimes you reap what you sow.  Google is finding this out right now.

An online loan company funded by Google was just hit by the federal government with a massive fine for misleading consumers through advertising and marketing materials that mislead borrowers.

Matthew Zeitlin of Buzzfeed reported on September 27, 2016:

The online lending startup LendUp will pay compensation to its customers and a penalty to a federal regulator, which said the company “hid the true cost of credit” and “misled customers about graduating into lower-priced loans.”

In total, the company will pay out over $6 million, with money going to customers, the Consumer Financial Protection Bureau, and California’s Department of Business Oversight.

LendUp, a startup based in San Francisco, offers small, short-term loans at high interest rates through its website. The company says it’s different from old-fashioned payday lenders because it tries to build up the credit history and…



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