Homeowners allege dozens of mortgage companies fixed rates by sharing data
Homeowners are suing mortgage lenders like Rocket Mortgage and Wells Fargo, alleging they colluded to fix mortgage rates using data shared through Optimal Blue’s software.Summary
A class action lawsuit has been filed against Optimal Blue and over two dozen mortgage lenders, including Rocket Mortgage, Wells Fargo, and JPMorgan Chase, alleging they conspired to fix residential mortgage rates in violation of the Sherman Act. Plaintiffs claim the lenders used Optimal Blue’s pricing software to share sensitive data about rates, fees, and profit margins, coordinating pricing to avoid competition and increase costs for consumers. The lawsuit alleges this scheme began in 2019 with the launch of new Optimal Blue tools that allowed lenders to compare rates in real-time, effectively creating a “cartel.” Data cited in the complaint indicates that rate spreads were significantly higher for mortgages issued by Optimal Blue users after 2019, and statements from Optimal Blue executives suggest the software enabled lenders to raise margins without losing market share. The plaintiffs seek to represent a nationwide class of homebuyers who obtained mortgages from the defendants since 2019, requesting treble damages and injunctive relief.
(Source：Class Action Lawsuits)