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Tag Archives: CFPB

Furnishers Beware – CFPB Signals That Civil Penalties May Be Appropriate Even Without Any Actual Consumer Injury

Posted in Auto Finance, CFPB Enforcement, CFPB General, Vehicle Loans

Yesterday, the CFPB announced a consent order with First Investors Financial Services Group, Inc., an auto finance company that both makes loans to consumers and purchases retail installment sale contracts from auto dealers. Under the terms of the consent order, First Investors agreed to pay a $2.75 million civil penalty relating to allegations that it… More >

OCC steps up SCRA focus in exams

Posted in Military Issues

As we have been reporting, the CFPB has made the Servicemembers Civil Relief Act (SCRA) a major focus and instructs its examiners to look at SCRA compliance during examinations.  The OCC has also stepped up its focus on SCRA compliance during examinations of national banks and federal savings associations, according to recent remarks by an… More >

NCRC white paper seeks expansive CFPB rulemaking on small business lending data collection

Posted in CFPB Rulemaking, Fair Lending

The National Community Reinvestment Coalition (NCRC) has issued a white paper that urges the CFPB to take an expansive approach in developing regulations on the collection of small business lending data to implement Section 1071 of Dodd-Frank.  Section 1071 amended the Equal Credit Opportunity Act to require financial institutions to collect and maintain certain data… More >

Trade groups take aim at NY Times call for CFPB action on subprime auto loans

Posted in Auto Finance

Two leading industry trade groups have disputed a recent New York Times editorial entitled  “When a Car Loan Means Bankruptcy,” which attempted to draw parallels between subprime auto loans and subprime mortgage loans.  The editorial concluded with a call to the CFPB and FTC “to move swiftly and aggressively” on subprime auto lending. In a… More >

Industry trade group launches campaign targeting CFPB plan to disclose complaint narratives

Posted in CFPB General

The Financial Services Roundtable has launched as multimedia campaign to challenge the CFPB’s proposal to expand the consumer complaint data that it publicly discloses to include complaint narratives. In its announcement of the campaign, the Roundtable called the proposal a “plan that may misinform consumers by posting unverified, anonymous and potentially inaccurate complaints about financial services… More >

Senators introduce bill to increase “large bank” asset threshold for CFPB supervision

Posted in CFPB Exams

A bipartisan bill (S. 2732) has been introduced by Republican Senator Pat Toomey and Democratic Senator Joe Donnelly to increase the asset threshold for “large banks” that are subject to CFPB supervision. The current threshold is total assets of more than $10 billion.  Entitled the “Consumer Financial Protection Bureau Examination and Reporting Threshold Act of… More >

CFPB settles with military base retailer for alleged fee scam; Senators seek CFPB investigation of retailer’s debt collection practices

Posted in CFPB Enforcement, Military Issues

The CFPB has announced a settlement with USA Discounters, a retailer that operates a chain of stores near military bases and offers financing for purchases through retail installment sales contracts (RICs), to resolve charges involving an alleged fee scam.  The consent order requires USA Discounters to make refunds to servicemembers of more than $350,000 and pay… More >

CFPB announces settlement with mortgage lender and its owner charged with “bait-and-switch” scheme

Posted in CFPB Enforcement, Mortgages

On August 12, the CFPB announced that it has issued a Consent Order under which Atlanta-based Amerisave Mortgage Corporation, its affiliate appraisal management company, Nova Appraisal Management Company, and a principal and indirect owner of both companies, Patrick Markert, agreed to pay nearly $21 million for deceiving and overcharging consumers in a bait-and-switch mortgage-lending scheme. … More >

CFPB issues consumer advisory on virtual currencies and begins taking virtual currency complaints

Posted in Hot Issues

In conjunction with issuing a consumer advisory today on virtual currencies, the CFPB announced that it is now taking complaints about virtual currency products and services.  The CFPB’s actions follows the issuance of a report by the Government Accountability Office in June 2014 in which the GAO recommended increased CFPB participation in interagency efforts related to such currencies. In… More >

CFPB calls out banks for not publicly disclosing campus financial product marketing agreements

Posted in Campus Financial Products

According to a new blog post about “secret banking contracts” by Rohit Chopra, the CFPB’s Student Loan Ombudsman, the CFPB is sending letters to colleges and universities “to make sure they know that their bank partner has not yet committed to transparency when it comes to student financial products” because it has not yet posted… More >

CFPB releases more overdraft program data as a prelude to likely rulemaking

Posted in Deposit Accounts, Overdrafts

The CFPB moved closer to likely rulemaking on overdraft programs with the release late last week of a new report entitled “Data Point: Checking account overdraft.”  The report is based on account-level and transaction-level data for about two million accounts at large banks covered by the CFPB’s supervisory authority (i.e., banks with more than $10 billion… More >

CFPB launches new financial education efforts directed at low-income consumers

Posted in Financial Literacy

Last week, the CFPB announced a new partnership with national and local nonprofit and public social services programs across the country to train staff to provide financial education and tools to clients with low-to-moderate incomes.   As part of that partnership, the CFPB unveiled a new online toolkit entitled “Your Money, Your Goals.”  The toolkit, which… More >

ABA seeks CFPB clarification of mortgage servicing rules

Posted in Mortgages

The American Bankers Association has sent a letter to the CFPB requesting several clarifications to the mortgage servicing rules.  The ABA asks the CFPB to make the clarifications part of “regulatory guidance (or regulatory amendment where necessary) that is readily accessible to all servicers, their vendors and advisors, as well as examiners from other regulatory… More >

CFPB issues third annual Plain Writing Act compliance report

Posted in CFPB General

The CFPB has issued its third annual Plain Writing Act compliance report.  Under the PWA, federal “executive agencies,” including the CFPB, are required to use plain language in documents that: are necessary for obtaining information about a federal government benefit or service or filing taxes; provide information about a federal government benefit or service; or explain… More >

GAO issues report on CFPB civil penalty fund

Posted in CFPB General

The Government Accountability Office (GAO) has issued a report on the results of its review the CFPB’s Civil Penalty Fund (CPF).  The review was requested by Representative Shelley Moore Capito, who chairs the House Financial Services Committee’s Subcommittee on Financial Institutions and Consumer Credit. Section 1017 of the Dodd-Frank Act established in the Federal Reserve… More >

CFPB extends comment period on proposal to publicly disclose consumer complaint narratives

Posted in CFPB General, CFPB Rulemaking, Hot Issues

The CFPB is extending the comment period on its proposed policy statement that would expand the complaint data that it publicly discloses in its Consumer Complaint Database to include “unstructured” complaint narratives.  In a statement released on July 29, 2014, the CFPB states that it is extending the deadline for comments to be filed from… More >

Update on certiorari petition in Texas FHA case

Posted in Fair Lending

As we reported, the petition  for certiorari filed in May 2014 by the  Texas Department of Housing and Community Affairs (Texas DHCA) in Inclusive Communities Project v. Texas Dep’t of Housing and Community Affairs could give the U.S. Supreme Court its third opportunity since 2012 to provide clarity with respect to disparate impact claims under… More >

Director Cordray to testify at July 30 House hearing on alleged CFPB employee discrimination

Posted in CFPB General

On July 30, 2014, the House Financial Services Committee’s Subcommittee on Oversight and Investigations will hold a hearing titled “Allegations of Discrimination and Retaliation and the CFPB Management Culture.”  Director Cordray is the sole witness scheduled to appear.  The hearing will represent the Subcommittee’s fourth hearing on alleged employee discrimination at the CFPB and the… More >