On May 27, the Washington State Department of Financial Institutions (DFI) issued a consent order resolving a notice of noncompliance with prior consent orders stemming from allegations of unlicensed residential mortgage loan modification activity and related licensing misrepresentations under the Mortgage Broker Practices Act. The statement of charges alleged that, between at least January 2016 and January 2018, the respondents offered loan modification services to Washington consumers, entered into contracts with at least 48 consumers, collected at least $57,700, and either represented that they were licensed or failed to disclose that they were not licensed. The respondents were previously required to pay restitution to 29 Washington consumers over 12 months beginning August 1, 2019, but had paid only three consumers by May 2021.

This consent order requires the respondents to cease and desist from violating the Mortgage Broker Practices Act, related rules and applicable federal laws and regulations; imposes a $134,000 fine, stayed for five years contingent on restitution and compliance; and states that the respondents have paid $48,636 in restitution and must pay the remaining $26,015 to Washington consumers by April 30, 2027. The order further provides that the respondents may not apply for any DFI license until all restitution is paid, and that they must obtain a license or qualify for an exemption before engaging in mortgage broker, mortgage loan originator or residential mortgage loan modification services for Washington consumers.