On May 1, 2020, the Consumer Financial Protection Bureau (Bureau or CFPB) held a joint virtual meeting of its four advisory committees: the Consumer Advisory Board, the Community Bank Advisory Council, the Credit Union Advisory Council, and the Academic Research Council. The meeting—the Bureau’s first public event since the onset…
Passed in response to the impact of COVID-19, section 4021 of the Coronavirus Aid, Relief, and Economic Security (CARES) Act (H.R. 748, 116th Cong. (2020)) amended the Fair Credit Reporting Act (FCRA) in a variety of ways that impact credit reporting entities. Mainly, it requires a furnisher of credit information…
On February 14, 2020, the Consumer Financial Protection Bureau (CFPB) released its Winter 2020 Supervisory Highlights (Report). It summarizes the CFPB’s findings on violations in the areas of debt collection, mortgage servicing, payday lending, and student loan servicing completed between April 2019 and August 2019. The CFPB notes that it…
At the start of the new year, both California’s Governor Newson and New York’s Governor Cuomo proposed expansions to their respective state’s regulatory oversight of consumer financial services. Of particular note, Governor Newson’s 2020-21 Budget Summary (California’s Proposal) explained that the reason behind California’s proposed regulatory expansion is the belief…
Last week, the Office of the Comptroller of the Currency (OCC) and Federal Deposit Insurance Corporation (FDIC) each issued a proposed rule designed to clarify that interest rates that are valid when a loan is made remain valid when the loan is transferred or sold. Together, the proposed rulemaking would…
On February 6, 2019, the Consumer Financial Protection Bureau (CFPB or Bureau) released a proposed rescission of the 2017 “Payday, Vehicle Title, and Certain High-Cost Installment Loans” final rule (Payday Rule), along with a “Payday, Vehicle Title, and Certain High-Cost Installment Loans; Delay of Compliance Date” (Delay of Compliance) notice. The Payday…
On December 13, 2018, the CFPB published a proposed rule, seeking public comment regarding a change to its policy on No-Action Letters, as well as a new feature called the “Product Sandbox,” a rule change that was initially announced on September 13, 2018. The comment period for the proposed rule…
On December 10, 2018, Kathy Kraninger was sworn in to serve as Director of the Consumer Financial Protection Bureau (CFPB) for a five-year term. This followed her December 6, 2018 confirmation by the Senate with a vote of 50 to 49. Kraninger succeeds Mick Mulvaney, her former boss at…
On November 13, 2018, the Supreme Court granted certiorari in PDR Network, LLC v. Carlton & Harris Chiropractic (No. 17-1705), to answer the question whether the Hobbs Act required the district court to accept the Federal Communication Commission’s (FCC’s) legal interpretation of the Telephone Consumer Protection Act (TCPA). At issue…
On October 2, 2018, the U.S. Senate’s Banking Committee held a hearing to review regulators’ implementation of the Economic Growth, Regulatory Relief and Consumer Protection Act (S.2155) since its passage in June. As framed by Banking Committee Chairman Mike Crapo (R-ID), the law “right-sizes regulations for financial institutions, making it easier…
On April 17, 2018, House members Sean Duffy (R-WI) and Ed Perlmutter (D-CO) co-sponsored bi-partisan legislation aimed at providing more certainty to companies subject to the Consumer Financial Protection Bureau’s (CFPB) regulation. The bill, H.R. 5534, titled the “Give Useful Information to Define Effective Compliance Act” or “GUIDE Compliance Act,”…
On March 15, 2018, in Chamber of Com. of the U.S. v. U.S. Dep’t. of Labor (No. 17-10238, 5th Cir. Mar. 15, 2018), the Fifth Circuit entered an order enjoining enforcement of the Department of Labor’s (DOL) fiduciary rule (Fiduciary Rule), finding that the DOL exceeded its statutory authority in…
On March 1, 2018, the Consumer Financial Protection Bureau (CFPB) issued its sixth request for information (RFI) since Mick Mulvaney, acting head of the CFPB, began his tenure. This request seeks “comments and information from interested parties on the usefulness of complaint reporting and analysis, as well as specific suggestions or…
On February 27, 2018, the U.S. House of Representatives passed H.R. 4296, which would reduce the operational capital requirements imposed on financial institutions. The bill passed with a 245-169 vote. As could be expected from such deregulatory legislation, only 19 Democrats voted in favor of the bill and only 3…
This December, the National Credit Union Administration (NCUA) released a letter to credit unions detailing its primary areas of supervisory focus for 2018. The NCUA intends for credit unions to rely on the letter to better prepare for their examinations by the NCUA throughout 2018. The seven areas of focus…
On October 5, 2017 the Consumer Financial Protection Bureau (CFPB) revealed its final rule regulating payday lending. For the past five years, the CFPB had been doing research and seeking comments from the industry on how to address its concerns with what it calls “lending traps” associated with small-dollar lending….
On August 23, 2017, the Office of the Comptroller of the Currency (OCC) published guidance on filings required by national banks and federal savings associations (collectively referred to here as “banks”) pertaining to “substantial asset changes.” The guidance lists various events that are considered substantial asset changes for which banks must…
On July 20, 2017, the CFPB announced that updates to its Spring 2017 rulemaking agenda have been posted online on the Office of Management and Budget’s webpage. The amended agenda highlights both areas of anticipated regulatory focus as well as recent rule changes that the CFPB is already in the process…
On June 12, 2017, the U.S. Department of the Treasury issued a 150-page report called for by President Trump’s Executive Order 13772 on Core Principles for Regulating the United States Financial System. The Report, entitled “A Financial System that Creates Economic Opportunities: Banks and Credit Unions,” is the first in a…
On April 13, 2017, the Consumer Financial Protection Bureau (CFPB) issued proposed amendments to clarify certain requirements of the Home Mortgage Disclosure Act (HMDA). HMDA requires that financial institutions collect and report certain information regarding their mortgage lending activities. The information that financial institutions are required to collect and report includes…