On April 4, 2025, the California Attorney General announced that it had reached a settlement with a California-based realty company concerning claims that the company had violated California false advertising, unfair competition, and telemarketing laws and federal telemarketing and lending laws via allegedly luring vulnerable homeowners into a predatory contract scheme that caused homeowners to…
The Republican-led Congress has invoked the Congressional Review Act (CRA) in attempts to revoke final rules that former CFPB Director Chopra issued toward the end of Biden’s Administration. Under the CRA, Congress can repeal an agency’s final rule by passing a joint resolution of disapproval by simple majority vote. The…
On Tuesday, March 25, 2025, the Consumer Financial Protection Bureau (CFPB or Bureau) filed a motion in a suit brought by the New York attorney general against a major national bank seeking to withdraw a Statement of Interest the Bureau filed last year, which advanced a “novel” interpretation of the…
Although the Consumer Financial Protection Bureau (CFPB or Bureau) voluntarily dismissed a slew of its own enforcement actions following Rohit Chopra’s removal as CFPB Director on January 31, 2025, the Bureau has affirmatively indicated its intent to continue litigating only a handful of cases so far. There were, by our…
As we recently reported, there have been rollbacks of consumer protections on the federal level, including the curtailing of enforcement activity at the CFPB. In response to this activity, on March 13, 2025, the New York Office of the Attorney General (OAG) announced its support of new legislation to enable…
In March 2025, a Northern District of Texas judge denied the Consumer Financial Protection Bureau’s (CFPB) motion to stay its case against Comerica Bank for alleged mismanagement of a government benefit card program in Consumer Financial Protection Bureau v. Comerica Bank. The CFPB filed this suit in December 2024, alleging…
On March 11, 2025, the New Jersey Attorney General announced that it had issued a Finding of Probable Cause for violation of the New Jersey Law Against Discrimination against a business that provides cash advances and loans to borrowers. The Finding of Probable Cause found that the business had a policy of…
In a significant development, for the first time under Consumer Financial Protection Bureau Acting Director Russell Vought, CFPB litigators have informed a court that they have received authority from the Acting Director to continue litigating a matter. Since Rohit Chopra was removed as Director of the CFPB on January 31,…
Over the last four months, New York’s Appellate Division has finally begun to address constitutional challenges to the state’s Foreclosure Abuse Prevention Act (FAPA), an act that became effective in December 2022 and promptly generated disparate trial court interpretations about whether the law was supposed to apply retroactively. As noted…
The Consumer Financial Protection Bureau (CFPB) has experienced a flurry of activity over the past few weeks beginning with President Trump’s dismissal of Rohit Chopra as the Director of the Bureau on January 31. That same day, President Trump designated Scott Bessent, who had recently been sworn in as Secretary…
On January 30, 2025, the Consumer Financial Protection Bureau (CFPB) announced that it had entered into a consent order with an international remittance company regarding the company’s use of deceptive advertising for fee amounts and failure to properly disclose applicable fees, in violation of both the Consumer Financial Protection Act (CFPA) and the Electronic Fund…
On January 23, 2025, the New York Department of Financial Services (DFS) announced that it reached a $2,000,000 settlement as part of a broader consent order with a peer-to-peer payment platform (“P2P”) about its cybersecurity practices. DFS contended that the P2P violated rules on Cybersecurity Policy, Cybersecurity Personnel and Intelligence,…
On January 17, 2025, the CFPB announced that it had entered into a consent order with a credit reporting agency to resolve allegations that the agency violated the Fair Credit Reporting Act (FCRA) and the Consumer Financial Protection Act (CFPA) by purportedly conducting unreasonable investigations into consumer credit reporting disputes. In its consent order,…
On January 17, 2025, the CFPB announced that it had entered into a consent order with the financing arm of a major auto manufacturer, resolving allegations that the manufacturer violated the Fair Credit Reporting Act (FCRA) and its implementing Regulation V, and the Consumer Financial Protection Act (CFPA) through its allegedly improper reporting of consumer credit information…
On January 16, 2025, the CFPB announced that it had entered into a consent order with the operator of a popular peer-to-peer payment application, resolving allegations that the operator had systematically failed to adequately investigate consumer claims of fraud. The operator agreed to pay a minimum of $130 million (and up to $175…
On January 16, 2025, the CFPB announced that it entered into a stipulated proposed final judgment to settle its suit against a student loan trust, in which the CFPB alleged that the trust engaged in deceptive acts in violation of the Consumer Financial Protection Act (CFPA) by filing improper debt collection suits against student borrowers….
On January 16, 2025, the United States Department of Justice (DOJ) announced that it had reached a settlement with a credit card provider resolving allegations that the provider violated the Financial Institutions Reform, Recovery and Enforcement Act (FIRREA) through allegedly deceptive marketing of its credit card and wire transfer products, and by allegedly…
On January 13, 2025, the Consumer Financial Protection Bureau (CFPB) announced that it proposed a rule (the Proposed Rule) seeking to ban certain terms and conditions in agreements for consumer financial products or services that purport to waive or limit consumer rights and protections. Under the Proposed Rule, covered institutions would…
On January 14, 2025, the CFPB announced that it had filed a complaint against a large national bank for alleged violations of the Consumer Financial Protection Act (CFPA), the Truth in Savings Act (TISA) and TISA’s implementing regulation, Regulation DD, regarding the bank’s alleged improper interest rate practices. According to the CFPB’s complaint, the bank offered a…
On January 14, 2025, New York Attorney General Letitia James announced that the state had entered into a settlement with a national credit reporting provider to resolve allegations that the provider had harmed consumers by disseminating incorrect credit reporting information to lenders. According to the Attorney General, the credit reporting provider implemented a change to…