On April 9, the CFPB announced a consent order with a California-based mortgage lender, requiring the lender to pay a $250,000 civil money penalty for advertising that allegedly led customers to believe the company was affiliated with the U.S. government. According to the consent order, the advertisements used the names and logos of the VA and FHA, described loan products as part of a “distinctive program offered by the U.S. government,” and instructed consumers to call the “VA Interest Rate Reduction Department” at a phone number belonging to the mortgage lender, thus implying that the mailings were sent by government agencies. The CFPB further alleged that the advertisements misrepresented interest rates and estimated monthly payments, including whether the interest rate was fixed or variable, and that consumers who called the company were sometimes told that the lender was endorsed by the VA or FHA. The CFPB determined that the advertisements were deceptive and misleading in violation of the CFPA and the Mortgage Acts and Practices Rule (MAP Rule or Regulation N). The CFPB also alleged violations of TILA and Regulation Z for failing to include certain disclosures in the advertisements. In addition to the civil money penalty, the consent order requires the lender to submit a compliance plan to the CFPB and comply with additional record keeping, reporting, and compliance monitoring requirements.