LeadPoint, a marketing lead provider serving home lenders, said it was ending all mortgage-related activity upon resolving Connecticut allegations of operating as an unlicensed entity for years. 

Connecticut banking officials lodged a $50,000 penalty against LeadPoint in a consent order issued in late March. Both parties agreed to the order after a 2025 investigation revealed the Woodland Hills, California-based firm was providing leads as an unlicensed third-party vendor. 

In 2020, LeadPoint had signed a prior consent order with state regulators following past instances of noncompliant activity and said at the time it would no longer generate leads without proper credentials going forward. 

Following last year's investigation, which took place after a lender examination of a LeadPoint client found the firm listed as a marketing provider, the state's banking commissioner determined otherwise.  

"The commissioner alleges that LeadPoint acted as a lead generator in this state without the required license from at least February 2020 to April 2025," the consent order stated. 

LeadPoint's past legal challenges in Connecticut

The latest action taken against LeadPoint follows years of regulatory scrutiny from Connecticut officials. 

Between 2010 and 2015, the company initially began operating as a mortgage broker in Connecticut before opting not to renew its lending license. Four years later, LeadPoint sought to obtain a license as a mortgage lead generator in order to comply with a new 2018 state policy. 

On its page within the Nationwide Multistate Licensing System, though, LeadPoint claimed it was already providing leads in the state. After discovery, Connecticut issued its initial consent order in early 2020, after which LeadPoint claimed it attempted to gain compliance and believed its paperwork was in order.  

"LeadPoint represents that it had contracted with a third-party entity to complete the lead generator licensure process after the 2020 consent order, held a reasonable understanding that the lead generator license had been obtained by the third party and was consistently operating under the good-faith belief that it had obtained and maintained the required license in Connecticut," the order said. 

LeadPoint did not respond to an email inquiry from National Mortgage News before publication, but in signing off on the latest order and fine, it pointed out no complaints nor claims of consumer harm had ever been received by the state. 

The company did not admit or deny the state charges but agreed to cease all mortgage activity in Connecticut per terms of the agreement, including serving in the capacity of lender, broker or lead generator. 

In the document, LeadPoint also indicated that as of Dec. 31, 2025, it had surrendered all of its mortgage industry licenses and was in the process of discontinuing its home lender services nationwide.  

In addition to its Connecticut challenges, the firm currently faces lawsuits accusing it of making unsolicited inquiries to individuals on the Do Not Call registry in violation of the Telephone Consumer Protection Act.