13 States Sue Lender OneMain Financial Over Alleged Hidden Fees

Core Viewpoint - OneMain Financial is facing a lawsuit from thirteen state attorneys general, alleging deceptive practices related to loan products and hidden fees [2][3][8] Group 1: Lawsuit Details - The lawsuit claims that OneMain Financial misleads borrowers into adding expensive and often unnecessary products, such as insurance, to their loans without proper disclosure [2][8] - The plaintiffs include attorneys general from thirteen states, including New York, Colorado, and Maryland, among others [7] - The lawsuit alleges violations of state and federal consumer protection laws, seeking restitution, penalties, and a court order to stop the alleged practices [8] Group 2: Company Response - OneMain Financial has stated that the lawsuit is meritless and plans to vigorously defend itself in court, asserting that the allegations are untrue [8][9] - The company claims to operate transparently and in compliance with all laws, providing necessary access to credit for consumers [9] - In May 2023, OneMain reached a settlement with the Consumer Financial Protection Bureau (CFPB), paying $20 million to resolve previous allegations of deceptive sales practices [9][10]