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Tag Archives: CFPB

CFPB seeking information on use of alternative data in credit process, including by small business lenders

Posted in Credit Reports, Small Business

The CFPB has issued a request for information (RFI) that seeks information about the use of alternative data and modeling techniques in the credit process.  On March 21, 2017 from 12:00 to 1:00 p.m. ET, Ballard Spahr attorneys will hold a webinar: The New Frontier of Alternative Credit Models: Opportunities, Risks and the CFPB’s Request… More >

D.C. Circuit grants CFPB’s petition for rehearing en banc in PHH case

Posted in CFPB Enforcement

The D.C. Circuit has entered an order granting the CFPB’s petition for rehearing en banc in the PHH case.  Because the order was issued per curiam, it does not indicate which of the active judges voted to grant the petition but only indicates that Chief Judge Garland did not participate. The order vacates the panel’s October 2016 judgment,… More >

New CFPB webinar available on 2015 HMDA final rule

Posted in Mortgages

On October 15, 2015, the CFPB released a final rule amending Regulation C, which implements the Home Mortgage Disclosure Act (HMDA), requiring certain data on mortgage applications and loans to be collected beginning in 2017 by “covered institutions.” The CFPB has previously made various resources available for HMDA filers, including a recording of a webinar… More >

CFPB Consumer Advisory Board to meet March 2

Posted in CFPB General

The CFPB has published a notice in the Federal Register announcing that a meeting of its Consumer Advisory Board will be held on March 2, 2017.  The notice indicates that the Board will discuss the consumer credit information marketplace, CFPB enforcement actions, trends and themes in consumer financial markets, and enhancements to the CFPB Consumer… More >

Democratic lawmakers/ Democratic state AGs/ consumer advocacy groups seek reconsideration en banc of motions to intervene in PHH case

Posted in CFPB Enforcement

After the D.C. Circuit panel issued a per curiam order on February 2 denying the three motions to intervene that were filed in the PHH case, we expected the next development in the case to be a decision by the D.C. Circuit on the CFPB’s petition for rehearing en banc.  Instead, the next development has… More >

House Financial Services Committee Chairman Hensarling Proposes Changes to the CHOICE Act.

Posted in CFPB General

On Monday, Chairman Hensarling circulated a memorandum to the House Financial Service Committee Leadership Team suggesting key revisions to the CHOICE Act. It only addresses proposed changes to the CHOICE Act; several key features of the original version, including subjecting the CFPB to congressional appropriations, remain in place but are not addressed in the memorandum…. More >

Director Cordray responds to questions on proposed arbitration rule

Posted in Arbitration, CFPB Rulemaking

Director Cordray has sent a letter to Senator Jeff Flake responding to a series of questions posed by the Senator on the CFPB’s proposed arbitration rule.  The comment period on the proposed rule closed on August 22, 2016.  Senator Flake posed his questions on August 19, 2016, but Director Cordray did not respond until January… More >

CFPB January 2017 complaint report highlights mortgage complaints, complaints from Tennessee consumers

Posted in Mortgages

The CFPB has issued its January 2017 complaint report that highlights mortgage complaints.  The report also highlights complaints from consumers in Tennessee and the Memphis and Nashville metro areas. General findings include the following: As of January 1, 2017, the CFPB handled approximately 1,080,700 complaints nationally, including approximately 22,900 complaints in December 2016. Debt collection… More >

OIRA guidance confirms executive order to reduce regulations does not apply to independent agencies

Posted in CFPB Rulemaking

Interim Guidance issued by the Office of Information and Regulatory Affairs (OIRA) to implement President Trump’s executive order entitled “Reducing Regulation and Controlling Regulatory Costs” confirms that the order does not apply to independent agencies.  The executive order, issued on January 30, includes the requirement for an agency that publicly proposes a new regulation for… More >

CFPB/NY AG lawsuit against RD Legal Funding may signal greater scrutiny of non-loan financial products such as merchant cash advances

Posted in CFPB Enforcement, Small Business

The CFPB and the New York Attorney General this week filed an action against RD Legal Funding, LLC, two of its affiliates, and their principal (collectively, “RD”), alleging that a litigation settlement advance product offered by RD is a disguised usurious loan that is deceptively marketed and abusive.  In particular, the Complaint alleges that the transactions… More >

D.C. Circuit hears oral argument on CFPB authority to issue CID to college accrediting organization

Posted in CFPB Enforcement, Student Loans

Last week, the D. C. Circuit held oral argument in the CFPB’s appeal from the D.C. federal district court’s April 2016 ruling that the CFPB exceeded its statutory authority when it issued a CID to the Accrediting Council for Independent Colleges and Schools (ACICS) in August 2015. After denying ACICS’s petition to modify or set… More >

President Trump issues executive order on core principles for regulating the financial system

Posted in CFPB General, CFPB Rulemaking

On February 3, 2017, the President issued an Executive Order titled “Core Principles for Regulating the United States Financial System.”  The Executive Order is a high-level policy statement consisting of a series of Core Principles that are designed to inform the manner in which the Administration regulates the financial system. On March 6, 2017, Ballard… More >

CFPB and Virginia AG settle claims against pawnbroker for alleged TILA/CFPA/VA law violations

Posted in CFPB Enforcement

The CFPB and the Virginia Attorney General announced that they had entered into a proposed consent order with  Woodbridge Coins and Jewelry Exchange, Inc., a Virginia-based pawnbroker, to settle a lawsuit filed in a Virginia federal court alleging the pawnbroker’s closed-end pawn contracts violated the TILA, the CFPA, and Virginia law. According to the complaint,… More >

Some thoughts on President Trump’s authority to replace Director Cordray

Posted in CFPB General

There has been some debate about President Trump’s authority to designate a replacement for Director Cordray should he resign or be removed by the President. The Dodd-Frank Act authorizes the CFPB Director to appoint a Deputy Director who shall “serve as acting Director in the absence or unavailability of the Director.”  Since the resignation of… More >

PHH opposes motion to intervene filed by Democratic lawmakers

Posted in CFPB Enforcement

PHH has filed a response in opposition to the motion filed with the D.C. Circuit by Democratic lawmakers Senator Sherrod Brown and Representative Maxine Waters to intervene in the PHH appeal.  The lawmakers are, respectively, the Ranking Members of the Senate Banking Committee and the House Financial Services Committee. In opposing the motion, PHH makes… More >

CFPB continues work on student loan payback playbook disclosures

Posted in Student Loans

The CFPB recently revised the prototype student loan Payback Playbook disclosures it has been developing with the Departments of Education and Treasury.  These revisions were based on feedback from nearly 3,500 individual student loan borrowers, student loan market participants, higher education policy experts and other stakeholders in response to the April 2016 Notice and Request… More >

Community banks trade group asks Trump Administration to curb fair lending enforcement

Posted in Fair Lending

The Independent Community Bankers of America issued a statement calling on the Trump administration “to rein in the overzealous application of fair lending laws.”  ICBA stated that community banks are threatened by a recent trend of “unwarranted enforcement actions” that “harm community banks and the customers they serve by undermining the availability of credit in… More >

Ninth Circuit affirms tribal lenders subject to CFPB investigative demands

Posted in CFPB Enforcement, Payday Lending

The Ninth Circuit recently issued its opinion in CFPB v. Great Plains Lending, LLC, et al., in which three tribal-affiliated, for-profit lending companies (“Tribal Lenders”) challenged the authority of the CFPB to issue civil investigative demands (CIDs) against Native American tribes. In 2012, the CFPB issued CIDs against the Tribal Lenders regarding their advertising, marketing,… More >

CFPB files complaint alleging defendants ran unlawful debt relief operation

Posted in CFPB Enforcement

The CFPB has filed a complaint in a California federal district court against three law firms and two individual attorneys alleging that they offered debt relief services to consumers in violation of the Telemarketing Sales Rule (TSR) and the Consumer Financial Protection Act (CFPA). The CFPB’s complaint alleges that in offering debt relief services, the… More >