The legal action, spearheaded by the firm Hagens Berman, targets the period between March 13 and May 7, 2026. During this window, then-CEO Vishal Garg and CFO Loveen Advani repeatedly assured the market that the firm remained on track to achieve $1 billion in monthly loan volume by May. These projections were accompanied by claims that the company could sustain growth regardless of broader economic conditions.
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Better Home & Finance Faces Securities Fraud Lawsuit Over Growth Claims
Investors have until November 20, 2026, to join a class action lawsuit against Better Home & Finance following a sharp stock decline. The litigation centers on allegations that the company misled shareholders regarding its ability to reach $1 billion in monthly loan volume amid deteriorating financial performance.
Reality diverged from these forecasts on May 7, 2026, when the company revealed a 75% sequential increase in net losses and slashed its monthly loan target to $550 million. This disclosure prompted a 28% drop in share price and the subsequent departure of the CEO. Reed Kathrein, a partner at Hagens Berman, stated the investigation focuses on determining when leadership realized these growth targets were unattainable and whether the company intentionally obscured the impact of macroeconomic factors on its conversion funnel.
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