Loan Factory Lawsuit Claims Rocket Mortgage Abuse

Rocket Mortgage, a subsidiary of Quicken Loans, is at the center of a loan factory lawsuit alleging abuse.

The lawsuit claims Rocket Mortgage used misleading and deceptive tactics to sell mortgage insurance to borrowers, often without their knowledge or consent.

The company's practices allegedly led to borrowers being forced to pay thousands of dollars in unnecessary insurance premiums.

The lawsuit also accuses Rocket Mortgage of failing to disclose the true cost of the insurance to borrowers, leaving them with unexpected expenses.

Loan Factory has been sued by a class of loan originators who claim the company used their personal and professional information without authorization on its website.

The lawsuit alleges that Loan Factory displayed the loan officers' profiles on its website, including their names, images, and likenesses, in an attempt to drive business to the company.

This is not the first time Loan Factory has faced legal troubles, with a consent order in North Carolina finding that the company performed unlicensed mortgage originations on at least four different loans in 2023.

The company's CEO, Thuan Nguyen, removed the personal information of mortgage professionals from the website in summer 2023, shortly after the site's launch, according to reports.

Loan Factory is licensed to originate mortgages in 48 states and Washington, D.C., and has about 500 loan officers nationwide.

Loan Factory is facing a class-action lawsuit for allegedly using personal and professional information of loan originators without their consent.

The lawsuit claims that Loan Factory displayed the loan officers' profiles on its website, including their names, images, and likenesses, without their permission.

Loan Factory allegedly used this information to drive business to its website, directing individuals searching for the loan officers online to Loan Factory's site.

The company's CEO, Thuan Nguyen, was unaware of the litigation when questioned about it.

The lawsuit was filed by Derek Daniel Bobadilla, a mortgage broker, who claims he discovered his profile on Loan Factory's website in the summer of 2023.

Bobadilla argues that he never gave consent for his image to be used on Loan Factory's website and wants any monies the defendant earned through this practice to be divided between him and potential class members.

The plaintiffs are seeking punitive damages, restitution, and disgorgement of profits, as well as a declaration that Loan Factory knowingly misused their names, images, and likenesses.

Loan Factory removed the personal information of the mortgage professionals from its website in the summer of 2023, shortly after the site's launch.

This is not the first time Loan Factory and its CEO have faced legal troubles, with a consent order in North Carolina finding that the company performed unlicensed mortgage originations on at least four different loans in 2023.

Rocket Mortgage, a well-known mortgage lender, has found itself in hot water due to an excessive number of telemarketing phone calls.

The company received a lawsuit from an Arizona woman who received a call from Rocket Mortgage offering mortgage products and services.

Rocket Mortgage has denied any wrongdoing, but the lawsuit is a clear indication that some consumers feel overwhelmed by the company's telemarketing efforts.

Loan Factory is facing a lawsuit for allegedly using unauthorized information on its website.

The company displayed loan officer profiles on its "Find a Loan Officer" page without the consent of the loan officers.

This includes the names, images, likenesses, and personal information of loan officers like Derek Daniel Bobadilla and the class members he represents.

Individuals searching for these loan officers online were automatically directed to Loan Factory's website.

Loan Factory profited from the commercial use of this personal information, which is a serious issue.

The lawsuit claims that Loan Factory engaged in "unlawful business" by profiting from the exploitation of the loan officers' information without their consent.

The company's CEO, Thuan Nguyen, acknowledged that they took down the loan officers' information after receiving a complaint.

Loan Factory is accused of violating California common law by misappropriating the names and likenesses of the loan officers.

The loan officers are seeking statutory damages, repayment of illegally obtained profits, and an injunction to prohibit Loan Factory's conduct.

Rocket Mortgage has faced a lawsuit over its telemarketing practices. An Arizona woman received a phone call from Rocket Mortgage in April offering mortgage products and services.

The lawsuit suggests that Rocket Mortgage's telemarketing efforts have been overwhelming, with the woman receiving an unwanted call. Rocket Mortgage has denied any wrongdoing in this matter.