OCC Orders Bank to Correct Deceptive Loan Claims

The Office of the Comptroller of the Currency (OCC) has issued a consent order against The Federal Savings Bank, based in Chicago. The order, dated April 2, mandates that the bank rectify alleged deceptive practices related to its loan offerings. Specifically, the OCC identified that the bank's actions may have misled consumers into taking out cash-out refinance loans. These loans were reportedly guaranteed by a federal program, though the specifics of the guarantee were not detailed in the initial report. The OCC's intervention aims to ensure fair lending practices and protect consumers from misleading financial products.