Climb Credit, Inc.; Climb Investco, LLC; Climb GS Loan Fund 2018-1, LLC; 1/0 Holdco LLC; and 1/0 Capital LLC Settlement: How to Claim Your Money

/ Enforcement Actions Climb Credit, Inc.; Climb Investco, LLC; Climb GS Loan Fund 2018-1, LLC; 1/0 Holdco LLC; and 1/0 Capital LLC On October 17, 2024, the Bureau filed a lawsuit against Climb Credit, Inc.; its wholly owned subsidiary Climb Investco, LLC; its wholly owned sub-subsidiary Climb GS Loan Fund 2018-1, LLC; and the originators, initial owners, and initial operators of these entities, 1/0 Holdco LLC and 1/0 Capital LLC. 1/0 Holdco LLC and 1/0 Capital LLC are headquartered in New York and Climb Credit, Inc. was headquartered in New York during most of the time period relevant to this suit and continues to conduct a significant amount of its operations there. The Bureau alleged these entities (the Climb Enterprise) worked together in online student lending for short-term vocational programs at schools with whom Climb Credit, Inc. has partnered.The Bureau alleged the Climb Enterprise violated the Consumer Financial Protection Act of 2010 (CFPA) by engaging in abusive acts and practices in taking unreasonable advantage of consumers’ reliance on the Climb Enterprise’s representations as to the programs and schools; violated the CFPA through deceptive acts and practices regarding the Climb Enterprise’s vetting of schools and the outcomes for consumers who attended the schools; violated the Truth in Lending Act (TILA) and Regulation Z by failing to disclose finance charges on loan documents and annual percentage rates on advertisements; and violated TILA and Regulation Z by using the names, emblems, or logos of certain schools to imply that they endorsed Climb loans; and violated the CFPA by committing acts or practices in violation of TILA and Regulation Z.On December 6, 2024, the court entered a stipulated final judgment and order that imposes a $6,618,000 judgment for redress, which amount is suspended based on a demonstrated inability to pay, and also requires the defendants to pay $950,000 million in civil money penalties. The order also, among other requirements, prohibits the defendants from making representations in connection with consumer financial products about outcomes by graduates, or that defendants evaluate or vet the quality or outcomes, of educational programs. The stipulated final judgment and order also requires the defendants to clearly and prominently disclose in all consumer-facing marketing materials that consumers should not rely on the defendants to identify quality educational schools and programs.Related documentsComplaint (This version has been modified from the version that was submitted to the court in order to optimize the reading experience for individuals with disabilities. No text has been changed.)Stipulated Final Judgment and Order (This version has been modified from the version that was entered by the court in order to optimize the reading experience for individuals with disabilities. No text has been changed.)Press releaseCFPB Sues Student Lender Climb Credit and Investment Firm 1/0 for Deceiving Borrowers About Coding Bootcamps and Vocational ProgramsCFPB Takes Action Against Climb Credit and Investment Firm 1/0 for Deceiving Borrowers About Coding Bootcamps and Vocational Programs Page last modified Mar. 13, 2026 @ 12:53 PM EDT View older versions of this page at our public archive. Action Details Forum Civil Action Court U.S. District Court for the Southern District of New York Docket number 1:24-cv-07868 Initial filing date OCT 17, 2024 Status Post Order/Post Judgment See status definitions Products • Student Loan Origination Further reading Blog Back from the Dead: Zombie Second Mortgages JAN 17, 2025 Newsroom 2025 HMDA Data on Mortgage Lending Now Available MAR 31, 2026 View more