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Koster alleges deceptive advertising in mortgage company suits

This letter from the Ohio-based Oxford Lending Group mentions the economic stimulus package, however fine print at the bottom states the company is not a federal agency.
This letter from the Ohio-based Oxford Lending Group mentions the economic stimulus package, however fine print at the bottom states the company is not a federal agency.

By Matt Sepic, KWMU

St. Louis – The Missouri Attorney General is suing two mortgage companies alleging deceptive marketing practices.

Chris Koster said the Oxford Lending Group, based in Ohio, targeted Missouri homeowners in a direct-mail campaign that mentioned the economic stimulus package.

Except for fine print at the bottom of the letter, Koster said Oxford falsely implied a government affiliation.

"I think when a private company is appropriating the good will of the federal government and trying to look as if it was a legitimate part of the federal government, then consumers are put in a position where they may believe the representation," Koster said.

Koster is also suing Goldstar Home Mortgage, which has an office in Columbia, Mo. He said the company falsely implied an affiliation with homeowners' banks.

Officials at both mortgage companies declined to comment.

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