Non-bank mortgage lender LoanSnap has lost its license to operate in Connecticut under a consent order from the state Department of Banking.
LoanSnap lied on various filings with the department and failed to notify regulators of a change of its headquarters address within the required time frame, according to a notice the department posted on its website.
The Department of Banking said the California-based company provided an address to it that was different than the address listed in the NMLS database, and falsely stated in an NMLS filing that it did not have any unsatisfied judgements or liens against it.
In fact, the company still faces a $431,511.75 fine in a 2023 Minnesota federal civil case filed by Wells Fargo Bank, which LoanSnap lost because it didn’t show up to court.
LoanSnap also failed to implement a consent order the Connecticut Department of Banking issued in May, the department said, and claimed on its website that it was licensed to operate in states that it wasn’t.