★ Add LoanOfficer.ai as a preferred source on Google
The decision keeps borrower allegations over LO compensation and steering alive, without deciding whether loanDepot violated the rules.
The loanDepot LO comp lawsuit will continue after a federal judge in Maryland denied the lender’s effort to dismiss a proposed class-action case, according to a HousingWire report published August 11, 2026. The lawsuit accuses loanDepot of violating federal loan officer compensation rules and steering borrowers into higher-rate mortgages.
For mortgage professionals, the ruling matters because LO compensation and steering claims go straight to daily sales practices: how options are presented, how pricing is documented, and how borrower choices are recorded. The decision is not a finding that loanDepot did anything wrong; it means the case cleared an early dismissal hurdle and remains under judicial review.