Consumer complaint received 2024-04-08 00:00:00
Product: Payday loan, title loan, personal loan, or advance loan — Installment loan
Issue: Getting the loan — 
Company: BMO BANK NATIONAL ASSOCIATION
State: CA

Complaint narrative:
I am writing to file a formal complaint against BMO regarding their deceptive practices and discriminatory lending behaviors. These actions not only violate federal laws but also undermine consumer trust and perpetuate systemic inequalities within the financial services industry.

BMO 's Deceptive Advertising and Lack of Transparency : I recently encountered BMO 's advertising promoting their financial services, particularly emphasizing their " no doc loans. '' Intrigued by the possibility of obtaining a loan without extensive documentation requirements, I decided to explore this option further. 

However, upon initiating the application process with BMO, I was dismayed to discover that they failed to disclose the nature of their " no doc loans '' until after my credit had been run. This lack of transparency is highly misleading and concerning. Consumers like myself rely on accurate and upfront information to make informed decisions about their financial options. 

By withholding crucial details about their loan products until after a credit check has been performed, BMO puts applicants in a vulnerable position, leaving them unaware of the terms and conditions they are potentially agreeing to. This lack of transparency not only undermines consumer trust but also violates fair lending practices. 

Furthermore, the evident disconnect between BMO 's advertising and the reality of their loan application process suggests a deliberate attempt to lure in customers under false pretenses. Such deceptive practices not only harm individual consumers but also contribute to an environment of distrust within the financial services industry. 

Discriminatory Lending Practices : In addition to the concerns raised against BMO for deceptive advertising, they have also engaged in multiple violations of federal laws governing lending practices and discrimination against small businesses, including mine, XXXX XXXX XXXX. 

The specific laws violated by BMO include : 12 USC 1431 : All banks are required to offer XXXX XXXX XXXX XXXX XXXX, access to loans ranging from {$50000.00} to {$250000.00} without prejudice. This obligation extends to considering our applications for credit lines and credit cards without discrimination. 

15 USC 1602 : Lending discrimination is strictly prohibited under federal law. Banks are prohibited from discriminating against individuals, businesses, or loan locations. By denying us loans and financial products without proper consideration, BMO is in direct violation of this statute.

42 USC 12203 : This statute ensures protection against retaliation. Threatening to delete our accounts due to our inquiries about small business products constitutes retaliation and interference with commerce.

15 USC 1691-1691E : The Consumer Credit Protection Act prohibits denial of credit and discrimination against consumers, including XXXX XXXX XXXX XXXX XXXX.

26 USC 195-B : Start-up expenditures can not be denied under federal law. BMO is obligated to provide start-up funds, yet it has failed to do so without valid cause or consideration.

12 USC 1451D : Banks are required to consider new corporations and allocate at least {$50000.00} for new businesses. BMO 's failure to adhere to this obligation is a clear violation of federal law.

Moreover, discriminatory practices within BMO have been observed, with individuals who have received loans and financial products being predominantly male and white. As a XXXX, XXXX XXXX, we demand fair treatment and equal access to financial services as protected under various federal and state anti-discrimination laws.

Request for Investigation and Enforcement Actions : I urge the Consumer Financial Protection Bureau to conduct a thorough investigation into BMO 's deceptive advertising practices and discriminatory lending behaviors. It is imperative that regulatory standards regarding transparency, fair lending, and non-discrimination are upheld within the financial services industry.

Furthermore, I request your assistance in facilitating a resolution to our grievances and holding BMO accountable for their actions. Consumers seeking financial services deserve to be treated fairly and honestly throughout the application process, without fear of deception or discrimination.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation