The federal Consumer Financial Protection Bureau said in a lawsuit that a unit of Warren Buffett's Berkshire Hathaway ignored red flags that borrowers couldn't afford the mortgages they were given to buy manufactured homes from another Berkshire company.

The U.S. Consumer Financial Protection Bureau sued a unit of Warren Buffett's Berkshire Hathaway on Monday, accusing it of pushing borrowers into unaffordable loans to buy homes from Clayton Homes, Berkshire's manufactured housing business.

Vanderbilt relied on unrealistic expectations of what borrowers would need financially after making their mortgage payment, according to the complaint.

The Consumer Financial Protection Bureau (CFPB) said that Vanderbilt Mortgage & Finance trapped "people in risky loans."

The US government has sued a unit of Warren Buffett’s Berkshire Hathaway, accusing it of pushing borrowers into unaffordable loans—so customers would buy homes from the company’s manufactured housing business.

After a period of trimming stakes, Warren Buffett's Berkshire Hathaway ended the year making some sizable insider purchases. Building one of those stakes continued into the new year. Meanwhile, other insiders returned to add to stakes as well in a telecom and a boat maker.

Warren Buffett’s Berkshire Hathaway has held a significant stake in American Express for over 60 years. Despite trimming various stock positions throughout 2024, Buffett has not sold any shares of American Express,