Veterans United Home Loans is moving to dismiss a class-action lawsuit that accuses the firm of serious misconduct. The legal action alleges the lender falsely presented itself as affiliated with the federal government and steered borrowers toward more expensive loan products.

The lawsuit, which seeks class-action status, centers on practices that could affect veterans and service members seeking home financing. The core allegation is that the company's branding and marketing created a misleading impression of an official government connection, potentially influencing borrower trust and decisions.