The Consumer Financial Protection Bureau (CFPB) ordered a Missouri mortgage lender, Fidelity Mortgage Corp., and its former owner and current president, Mark Figert, to pay $81,076 for allegedly funneling illegal kickbacks to a bank in exchange for real estate referrals. Neither the lender nor Figert admitted to any wrongdoing.
“Kickbacks harm consumers by hampering fair market competition and by unnecessarily increasing the costs of getting a mortgage,” said CFPB Director Richard Cordray. “The CFPB will continue to take action against schemes that steer consumers to lenders through unscrupulous and illegal business practices.”
Figert was the owner and president of Fidelity Financial Mortgage Corp. (FFMC), a company located in St. Louis that originated federally related residential mortgage loans. Bank of Sullivan, in Sullivan, Missouri, created Fidelity Mortgage Corp. Fidelity purchased assets and liabilities from FFMC in early 2012. Figert became the president of Fidelity. The company took over one of the FFMC’s St. Louis offices and began originating residential mortgage loans.
TO READ THE FULL STORY
Cover Story: