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…