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CFPB Issues Final Rule to Reduce Credit Card Late Fees to $8 for Large Credit Card Issuers

On March 5, 2024, the Consumer Financial Protection Bureau (CFPB) issued a final rule amending provisions in Regulation Z that govern credit card late fee charges. The final rule follows the March 2023 release of the proposed...more

CFPB Warns Digital Marketers About ‘Abusive’ Steering Practices

On February 29, 2024, the Consumer Financial Protection Bureau (CFPB) issued Circular 2024-01, warning operators of “digital comparison-shopping tools” and “lead generators” that they may be “covered persons” subject to CFPB...more

CFPB Executes on Promise to Utilize ‘Dormant’ Authority to Supervise High-Risk Nonbanks

On February 23, 2024, the Consumer Financial Protection Bureau (CFPB) made public an order establishing supervisory authority over a nonbank installment lender on the basis the institution poses risks to consumers. The order...more

Appraisal Bias Compliance Management in Focus

On February 12, 2024, the Federal Financial Institutions Examination Council (FFIEC) issued a concise statement on Examination Principles Related to Valuation Discrimination and Bias in Residential Lending. Although the...more

CFPB Issues Proposal to Eliminate Fees on Instantaneously Declined Transactions

On January 24, 2024, the Consumer Financial Protection Bureau (CFPB) issued a notice of proposed rulemaking that would prohibit financial institutions from charging fees on transactions that are declined instantaneously or...more

CFPB Issues Background Screening, File Disclosure Advisory Opinions

On January 11, 2024, the Consumer Financial Protection Bureau (CFPB) issued two advisory opinions addressing consumer reporting agencies' (CRAs) obligations, under the Fair Credit Reporting Act (FCRA), related to information...more

Federal, State Agencies Promote Expanded Oversight of Bank and Nonbank Community Development Activities

On November 2, 2023, the Consumer Financial Protection Bureau (CFPB) issued a survey on state Community Reinvestment Acts (CRAs) aimed at informing states without CRAs about actions they could take to promote lending and...more

CFPB Proposes Financial Data and Open Banking Rule

On October 19, 2023, the Consumer Financial Protection Bureau (CFPB) issued a notice of proposed rulemaking to implement Section 1033 of the Dodd-Frank Act. Section 1033 of Dodd-Frank requires covered persons to make...more

CFPB Mandates Additional Specificity in Adverse Action Communications Based on AI or Complex Credit Models

On September 19, 2023, the Consumer Financial Protection Bureau (CFPB) issued Circular 2023-03 to provide creditors additional guidance for communicating denials of credit to consumers based upon artificial intelligence (AI)...more

CFPB Details Concerns Over Tuition Payment Plan Practices at Higher Education Institutions

On September 14, 2023, the Consumer Financial Protection Bureau (CFPB) released a report on financial risks to students associated with school-issued tuition payment plans. Although the report acknowledges that many tuition...more

Texas Court Strikes Down CFPB Policy Expanding UDAAP Authority to Prohibit Discrimination in Noncredit Financial Products and...

On September 8, 2023, the US District Court for the Eastern District of Texas ruled that the Consumer Financial Protection Bureau (CFPB) exceeded its authority when it announced via an update to its exam manual a new policy...more

CFPB's Annual Fair Lending Report Highlights Robust Oversight of Traditional and Innovative Lending Practices

On June 29, 2023, the Consumer Financial Protection Bureau issued its annual fair lending report to Congress, confirming that although there was relatively little public fair lending enforcement in 2022, the CFPB and other...more

CFPB, Federal Agencies Warn of Obligations to Avoid Algorithmic Discrimination

On April 24, 2023, the Consumer Financial Protection Bureau (CFPB), Federal Trade Commission (FTC), Department of Justice (DOJ) and Equal Employment Opportunity Commission (EEOC) released a joint statement affirming that...more

CFPB Issues Policy Statement on CFPA’s Prohibition on ‘Abusive’ Conduct

On April 3, 2023, the Consumer Financial Protection Bureau released a policy statement articulating a new framework for analyzing conduct that it considers “abusive” in violation of federal law. The CFPB until now has...more

CFPB Finalizes Rule to Monitor Small Business Lending Practices

On March 30, 2023, the Consumer Financial Protection Bureau (CFPB) issued its long-awaited small business lending rule, which requires companies issuing a wide array of commercial credit products to small businesses to begin...more

CFPB Launches Inquiry Into Data Broker Practices Ahead of Planned Rulemaking Under FCRA

On March 15, 2023, the Consumer Financial Protection Bureau (CFPB) launched an inquiry into the business practices of companies that “collect, aggregate, sell, resell, license, or otherwise share consumers’ personal...more

CFPB Brings RESPA Section 8 Into 21st Century With Digital Marketing Risk Advisory Opinion

On February 7, 2023, the Consumer Financial Protection Bureau issued an advisory opinion warning operators of digital mortgage comparison platforms of specific practices the bureau may view as violating Section 8 of the Real...more

CFPB Proposes Public Enforcement Order Registry for Nonbank Financial Services Providers

On December 12, 2022, the Consumer Financial Protection Bureau published a proposed rule that would require nonbank covered persons to report certain public agency enforcement actions and court orders for publication in a...more

CFPB Takes Question of Its Constitutionality Straight to Supreme Court

As widely reported, on October 19, 2022, the US Court of Appeals for the Fifth Circuit struck down a Consumer Financial Protection Bureau rulemaking on the grounds that the mechanism for funding the CFPB’s operations is an...more

CFPB, Department of Education Take Aim at College-Sponsored Financial Products

On October 13, 2022, the Consumer Financial Protection Bureau (CFPB) issued its annual report concerning banking products offered to students by financial institutions partnering with institutions of higher education (IHEs)....more

CFPB Asks Public to Help Bolster Innovation in Mortgage Market

On September 22, 2022, the Consumer Financial Protection Bureau issued a request for information (RFI) asking the public for ideas about how to improve consumer experiences refinancing their mortgages and, for consumers with...more

CFPB Bolsters Jurisdictional Claim Over Financial Services Industry’s Digital Marketing Vendors

On August 10, 2022, the Consumer Financial Protection Bureau issued an interpretive rule stating that digital marketing providers that “commingle” the targeting and delivery of advertisements to consumers on behalf of...more

CFPB Targets Convenience Fees

On June 29, 2022, the Consumer Financial Protection Bureau issued an advisory opinion declaring that the Fair Debt Collection Practices Act (FDCPA) prohibits debt collectors from collecting “pay-to-pay” or convenience fees...more

CFPB Warns Complex Consumer Credit Decision Models May Violate ECOA

On May 26, 2022, the Consumer Financial Protection Bureau warned via Consumer Financial Protection Circular 2022-03 that creditors using complex algorithmic credit evaluation models are not shielded from complying with the...more

CFPB Shores Up Legal Basis for Monitoring Loan Servicing Discrimination

On May 9, 2022, the Consumer Financial Protection Bureau issued an advisory opinion declaring that the Equal Credit Opportunity Act’s prohibitions against discrimination protect borrowers in all aspects of a credit...more

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