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Tag Archives: CFPB

Cordray remarks/CFPB report on financial innovation and Project Catalyst include warning on limiting consumer access to financial data

Posted in Technology

In a new report, the CFPB discusses its approach to FinTech and financial innovation, its Project Catalyst initiative, and marketplace developments the CFPB views as potentially beneficial for consumers.  The report, entitled “Project Catalyst report: Promoting consumer-friendly innovation-Innovation Insights,” was released in conjunction with remarks given by Director Cordray at Money 20/20, a large conference… More >

MBA launches new networking platform for women

Posted in Diversity and Inclusion

Women in the real estate financing sector have a new opportunity to connect with others in their field and to access and exchange information about the industry.  On October 18, the Mortgage Bankers Association (MBA) announced the launch of mPower, a professional networking platform that aims to create “a strong, diverse network of women” in… More >

CFPB Mortgage Servicing Rule Amendments Published in Federal Register

Posted in CFPB Rulemaking

The CFPB Mortgage Servicing Rule Amendments were published in the Federal Register yesterday, starting the clock for the effective date of the amended provisions.  Most of the provisions are effective on October 19, 2017.  The provisions related to successors in interest and periodic statements for borrowers in bankruptcy are effective on April 19, 2018.  The… More >

CFPB Student Loan Ombudsman’s fifth annual report highlights complaints about transition from default to income-driven repayment plans

Posted in Student Loans

The CFPB has released its fifth Annual report of the CFPB Student Loan Ombudsman discussing complaints received by the CFPB about private and federal student loans and the lessons drawn by the Ombudsman from those complaints.  The report states that it is based on the CFPB Student Loan Ombudsman’s analysis of approximately 5,500 private student… More >

CFPB Deputy Enforcement Director mum on whether CFPB will seek further review of PHH decision

Posted in CFPB Rulemaking

During the “Developments at the CFPB” panel this morning at the Pennsylvania Bar Institute Consumer Financial Services & Banking Law Update program in Philadelphia, Jeffrey Ehrlich, the CFPB’s Deputy Enforcement Director, would not comment on whether the CFPB will seek further judicial review of the October 11 opinion of a 3-judge panel of the U.S…. More >

What the D.C. Circuit’s PHH decision means for CFPB rulemaking

Posted in CFPB Rulemaking

In its decision last week in PHH Corporation v. CFPB, the D.C. Circuit ruled that the CFPB’s single-director-removable-only-for-cause structure is unconstitutional.  While the D.C. Circuit (in footnote 19) noted that it “need not here consider the legal ramifications of our decision for past CFPB rules or for past agency enforcement actions,” we have determined that… More >

CFPB’s proposed arbitration rule benefits class action lawyers at consumer’s expense

Posted in Arbitration

The CFPB’s proposed arbitration rule is the subject of an article written by Ballard Spahr partners Alan Kaplinsky and Mark Levin for the Washington Legal Foundation. Entitled “CFPB’s Proposed Arbitration Rule Benefits Class-Action Lawyers at the Expense of Consumers,” the article focuses on the proposal’s financial impacts.  The article explains why the proposal would inflict… More >

CFPB announces senior leadership changes

Posted in CFPB People

The CFPB has announced the following senior leadership changes: Stacy Canan will serve as the CFPB’s Assistant Director for the Office for Older Americans.  Ms. Canan had been serving as the deputy assistant director for the Office for Older Americans since joining the Bureau in November 2012.  Before joining the CFPB, Ms. Canan was the… More >

SBA Office of Advocacy submits comment letter asking CFPB to reconsider payday loan proposal

Posted in Payday Lending

The Small Business Administration’s Office of Advocacy has submitted a comment letter on the CFPB’s proposed payday loan rule that raises concerns about the proposal’s economic impact on small businesses and encourages the CFPB to make various changes to reduce the burden on small businesses.  The letter notes that because Advocacy is an independent office… More >

CFPB enters into consent order with credit union

Posted in CFPB Enforcement, Military Issues

The CFPB announced that it has entered into a consent order with Navy Federal Credit Union to settle allegations that the credit union engaged in unfair and deceptive collection practices in violation of the Consumer Financial Protection Act.  The consent order, which appears to be the CFPB’s first consent order involving a credit union, requires Navy… More >

CFPB to participate in Fed webinar on overdraft practices

Posted in Overdrafts

The Federal Reserve has announced that on November 9, 2016, it will host a webinar on overdraft practices.  Webinar speakers will discuss issues identified through consumer complaints, examinations, and enforcement actions. In addition to a CFPB representative, the speakers will include representatives from the Fed, FDIC, OCC and NCUA.  The presentation will be followed by… More >

CFPB publishes Reg E corrections

Posted in Electronic Payments

The CFPB has published a final rule in the Federal Register that makes several corrections to Regulation E (which implements the Electronic Fund Transfer Act).  The corrections, which the notice describes as “clerical and non-substantive,” are effective on November 14, 2016.    

CFPB Consumer Advisory Board to meet on Oct. 27

Posted in CFPB General

The CFPB has published a notice in the Federal Register announcing that a meeting of its Consumer Advisory Board (CAB) will be held on October 27, 2016. The notice indicates that the CAB will discuss “student loan servicing issues and trends and themes in debt collection.”  Presumably, the student loan servicing issues will include servicers’… More >

Breaking News: In PHH v. CFPB, D.C. Circuit Holds that CFPB Structure is Unconstitutional

Posted in CFPB Enforcement, CFPB General, Hot Issues, Mortgages, TILA / RESPA

The D.C. Circuit issued its long-awaited decision in PHH Corporation v. CFPB. In reversing the decision of Consumer Financial Protection Bureau (CFPB) Director Cordray to impose an enhanced penalty of $109 million on PHH for its use of a captive (wholly-owned) mortgage reinsurer, the court made several landmark rulings. First, it held that the CFPB’s… More >

CFPB receives unprecedented level of comments on payday, title and high-cost installment loan proposal

Posted in CFPB Rulemaking, Payday Lending

The comment period for the CFPB’s proposed rule on Payday, Title and High-Cost Installment Loans ended Friday, October 7, 2016.  The CFPB has its work cut out for it in analyzing and responding to the comments it has received. We have submitted comments on behalf of several clients, including comments arguing that: (1) the 36%… More >

Trade groups oppose CFPB’s proposed expansion of consumer complaint feedback

Posted in CFPB General

The Consumer Bankers Association and the American Bankers Association have submitted a comment letter setting forth their opposition to the CFPB’s proposed addition of a survey to the current complaint intake form. In a notice published in the Federal Register in August 2016, the CFPB proposed to add a survey that consumers may choose to respond… More >

CFPB finalizes sweeping expansion of prepaid account regulations; Ballard to host Nov. 17 webinar

Posted in CFPB Rulemaking, Prepaid Cards

The CFPB has issued its long-anticipated final rule for general purpose prepaid accounts.  As expected, the new regulations expand the products covered by Regulation E, introduce significant new disclosure requirements, extend consumer liability protections to prepaid accounts and add onerous requirements for accounts with overdraft or credit features.  Many industry participants have already expressed disappointment… More >

CFPB Management Challenges Include Information Security

Posted in CFPB General, Cybersecurity

On September 29th, the Office of the Inspector General (OIG) that oversees the CFPB released a memorandum detailing the major management challenges facing the CFPB.  The memo identified four areas of improvement that, unless addressed, would otherwise hamper the CFPB’s ability to accomplish its strategic objectives: Ensuring an Effective Information Security Program Ensuring Comprehensive Policies… More >

Subsequent debt collectors must send FDCPA validation notice, Ninth Circuit rules

Posted in Debt Collection

The Ninth Circuit has ruled that the FDCPA requirement in 15 U.S.C. §1692g(a) for “a debt collector” to send a validation notice either in “the initial communication” or “[w]ithin five days after the initial communication with a consumer in connection with the collection of any debt” not only applies to the first debt collector that… More >

CFPB reports on research project offering savings incentive to prepaid card users

Posted in Financial Literacy, Prepaid Cards

The CFPB released a report, “Tools for saving: Using prepaid accounts to set aside funds,” that presents the results of a research project involving a pilot program offering an incentive to prepaid card users to use a savings feature. In December 2014, as part of its Project Catalyst, the CFPB’s initiative for facilitating innovation in… More >

CFPB approves FHLMC/FNMA revised uniform residential loan application; collection of HMDA ethnicity and race information in 2017

Posted in Mortgages

In a notice published in today’s Federal Register, the CFPB announced that it has given its “official approval” to a revised and redesigned Uniform Residential Loan Application (2016 URLA) and to the collection of expanded Home Mortgage Disclosure Act information on ethnicity and race in 2017. 2016 URLA.  The 2016 URLA approved by the CFPB… More >

SEC to hold fintech innovation public forum

Posted in Technology

The Securities and Exchange Commission has announced that it will host a public forum in Washington, D.C. on November 14, 2016 to discuss financial technology innovation in the financial services industry.  The forum is designed to foster greater collaboration and understanding among regulators, entrepreneurs and industry experts about fintech innovation and evaluate how the current… More >