Investigation and pending class action lawsuit against Litton Loan Servicing. Litton is a loan servicer. A loan servicer contracts with the originator of the loan to service that loan. Generally speaking, a consumer interacts primarily with the loan servicer.
This investigation has led to a pending class action lawsuit against Litton Loan Servicing, based on consumer reports about Litton business practices. Evidence suggests that there are a number of problems with the way Litton is collecting on certain loans. Litton is not properly crediting certain payments when made, it is force-placing insurance on certain loans, and it is charging fees and costs that are excessive and not proper according to state and federal law.
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