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...more
10/25/2016
/ American Express ,
Consumer Financial Products ,
Consumer Financial Protection Bureau (CFPB) ,
Entrepreneurs ,
Financial Services Industry ,
FinTech ,
Innovative Technology ,
No-Action Letters ,
Prepaid Payment Products ,
Project Catalyst ,
Startups ,
Student Loans
The D.C. Circuit yesterday 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...more
10/13/2016
/ Administrative Proceedings ,
Article II ,
Banking Sector ,
Constitutional Challenges ,
Consumer Financial Protection Bureau (CFPB) ,
Dodd-Frank ,
Due Process ,
HUD ,
Insurance Industry ,
Kickbacks ,
Mortgage Insurance ,
Mortgages ,
PHH Corp. v CFPB ,
Referral Fees ,
Reinsurance ,
Removal For-Cause ,
RESPA ,
Single Director ,
Statute of Limitations ,
Statutory Interpretation
The U.S. Supreme Court has agreed to decide whether state laws that prohibit merchants from imposing a surcharge on credit card purchases violate the First Amendment. The petition for certiorari granted by the Supreme Court...more
Republican Congressman Patrick McHenry, Vice Chair of the House Financial Services Committee, has introduced the “Financial Services Innovation Act of 2016,” which is intended to provide a streamlined regulatory process for...more
9/27/2016
/ Banking Sector ,
Consumer Financial Products ,
Consumer Financial Protection Bureau (CFPB) ,
FDIC ,
Federal Register ,
Federal Trade Commission (FTC) ,
Financial Services Committee ,
Financial Services Industry ,
FinTech ,
HUD ,
Innovation ,
Innovative Technology ,
NCUA ,
OCC ,
Popular ,
Proposed Legislation ,
Regulatory Oversight ,
Safe Harbors
A divided California Supreme Court has held that an arbitrator, rather than a court, should determine whether an arbitration clause in an employment agreement allows employees to bring their claims in arbitration on a...more
A recent Federal Trade Commission (FTC) consent order with two Ohio auto dealers creates uncertainty not only for auto dealers, but also for all other businesses advertising credit or lease offers. The order settled...more
7/20/2016
/ Auto Lease ,
Automotive Industry ,
Automotive Loans ,
Car Dealerships ,
Consent Order ,
Consumer Financial Products ,
Consumer Lenders ,
Credit Ratings ,
Disclosure Requirements ,
False Advertising ,
Federal Trade Commission (FTC) ,
FTC Act ,
Popular ,
Section 5 ,
Unfair or Deceptive Trade Practices
The Maryland Court of Appeals, the state's highest court, in CashCall, Inc. et al. v. Maryland Commissioner of Financial Regulation, recently affirmed the judgment of the Court of Special Appeals (MCSA) directing CashCall to...more
7/15/2016
/ Banking Sector ,
Banks ,
CashCall ,
Consumer Financial Products ,
Consumer Lenders ,
Financial Services Industry ,
Interest Rates ,
Licensing Rules ,
Loan Origination Funds ,
Madden v Midland Funding ,
Online Marketplace Lending ,
Payday Loans ,
Preemption ,
Usury
While the CFPB has not yet held a public event devoted to FinTech or financial innovation, the Office of the Comptroller of the Currency (OCC) recently held a Forum On Supporting Financial Innovation in the Federal Banking...more
The U.S. Supreme Court has denied certiorari to review the decision of the U.S. Court of Appeals for the Second Circuit in Madden v. Midland Funding, LLC.
As previously reported, Madden involved a putative class action...more
6/28/2016
/ Banking Sector ,
Debt Buyers ,
FDCPA ,
Financial Services Industry ,
Interest Rates ,
Madden v Midland Funding ,
National Bank Act ,
Online Marketplace Lending ,
Petition for Writ of Certiorari ,
Preemption ,
Putative Class Actions ,
SCOTUS ,
Solicitor General ,
Usury
The Federal Trade Commission (FTC) recently held a FinTech forum addressing marketplace lending. The forum was promoted by the FTC as the first in a series it plans to hold exploring emerging financial technology and its...more
6/21/2016
/ Banking Sector ,
Consumer Financial Products ,
Consumer Lenders ,
ECOA ,
Fair Credit Reporting Act (FCRA) ,
Federal Trade Commission (FTC) ,
Financial Services Industry ,
FinTech ,
Innovative Technology ,
Online Marketplace Lending ,
Popular
On June 9, 2016, the FTC will host a “FinTech forum on marketplace lending,” the first in a forum series described by the FTC as “exploring emerging financial technology and its implications for consumers.” According to the...more
In a widely anticipated brief requested by the U.S. Supreme Court, the Solicitor General and the Office of the Comptroller of the Currency (OCC) have expressed the view of the United States that the Court should deny the...more
5/27/2016
/ Banking Sector ,
Debt Buyers ,
Financial Services Industry ,
Interest Rates ,
Madden v Midland Funding ,
National Bank Act ,
OCC ,
Online Marketplace Lending ,
Preemption ,
SCOTUS ,
Solicitor General ,
Usury
The U.S. Supreme Court has unanimously held that an independent contractor to the Ohio Attorney General did not mislead consumers in violation of the Fair Debt Collection Practices Act (FDCPA) when it used the Attorney...more
In a long-anticipated and significant decision, the U.S. Supreme Court has ruled 6-2 that a plaintiff alleging a violation of the Fair Credit Reporting Act (FCRA) does not have standing under Article III of the U.S....more
The U.S. Treasury Department has released a white paper addressing the online marketplace lending industry. Based in part on the responses to Treasury's July 2015 Request for Information (RFI), the white paper offers a broad...more
5/16/2016
/ Community Development Entities ,
Consumer Lenders ,
Financial Institutions ,
Financial Services Industry ,
Loans ,
Online Marketplace Lending ,
Peer-to-Peer ,
Request For Information ,
Small Business ,
Transparency ,
U.S. Treasury
The CFPB recently joined other federal regulators who have indicated a growing interest in marketplace lending with its announcement that it is accepting consumer complaints about loans obtained through marketplace lenders. ...more
The Small Business Finance Association (SBFA) has issued "Small Business Finance Principles" that represent best practices for providers of merchant cash advances (MCA) and other companies in the alternative finance industry...more
The interest of federal regulators in marketplace lending continues to grow. In March 2016, the CFPB announced that it is taking complaints about marketplace lenders. In July 2015, the Treasury Department issued a request...more
The California Department of Business Oversight (DBO) has issued a summary report of aggregate data provided by the companies that responded to the DBO's online survey sent to 14 marketplace lenders engaged in online consumer...more
In the wake of the U.S. Supreme Court's holding in Campbell-Ewald Company v. Gomez that an unaccepted Rule 68 offer of complete relief does not moot a plaintiff's individual claims, the U.S. Court of Appeals for the Third...more
4/8/2016
/ Article III ,
Campbell Ewald v Gomez ,
Class Action ,
Class Representatives ,
Genesis Healthcare Corp. v. Symczyk ,
Mootness ,
Rule 68 ,
SCOTUS ,
Settlement Offer ,
Standing ,
TCPA
When a consumer's current balance will increase over time due to interest and late fees, a debt collection notice must disclose this information, the U.S. Court of Appeals for the Second Circuit has ruled. In Avila v....more
The U.S. Supreme Court has held that statistical sampling may be proper in some contexts in its long-awaited decision in Tyson Foods, Inc. v. Bouaphakeo. The case involves the use of statistical sampling by plaintiffs in...more
3/25/2016
/ Admissible Evidence ,
Class Action ,
Class Certification ,
Doffing ,
Donning ,
Fair Labor Standards Act (FLSA) ,
SCOTUS ,
Statistical Sampling ,
Tyson Foods v Bouaphakeo ,
Unpaid Overtime ,
Wage and Hour
New guidance being developed by the Federal Deposit Insurance Corporation (FDIC) to address risks associated with banks making loans through third parties could significantly impact marketplace lending, private label credit...more
The Federal Trade Commission (FTC) has announced an enforcement action against Lord & Taylor, a retail department store, for allegedly deceiving consumers by not disclosing paid endorsements and promotions during a social...more
The CFPB announced that it is now accepting consumer complaints about loans obtained through marketplace lenders and also issued a consumer bulletin directed at consumers who are shopping for such loans. The CFPB’s press...more