CFPB Agrees to Drop Case Against SoLo Funds as Agency Cuts Back

The Consumer Financial Protection Bureau and peer-to-peer lending platform SoLo Funds agreed to put an end to the agency’s lawsuit against the company amid a broader halt to enforcement actions, according to court filings.

The CFPB’s case against the Los Angeles-based fintech firm has been ongoing since May 2024. While SoLo Funds brands itself as a third-party platform that connects borrowers to lenders with no mandatory fees or interest, the total costs of some loans serviced by SoLo Funds carry an equivalent annual percentage rate of over 1,000%, according to the CFPB’s complaint.

SoLo Funds is the first of many ...