News & Analysis as of

Incentive Compensation Consumer Financial Protection Bureau (CFPB)

Nutter McClennen & Fish LLP

Nutter Bank Report: May 2024

Headlines 1. Supreme Court Upholds the Constitutionality of the CFPB’s Funding Structure The Supreme Court has ruled that the statutory authorization that allows the CFPB to draw funds from the earnings of the Federal Reserve...more

Ballard Spahr LLP

Director Chopra issues statement on FDIC/OCC/FHA proposal on incentive-based compensation arrangements

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CFPB Director Rohit Chopra has released a statement about the proposal issued by the Federal Deposit Insurance Corporation, Office of the Comptroller of the Currency, and Federal Housing Finance Agency to address...more

Alston & Bird

CFPB Focuses on Incentive-Based Compensation Programs

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Incentive-based compensation programs have long been a focus of banking regulators, but recent actions suggest that the issue is back at the top of the regulatory watch list. Specifically, action by the Consumer Financial...more

Troutman Pepper

CFPB Issues Rigorous New Guidance to Financial Services Industry Regarding Sales Incentives

Troutman Pepper on

The compliance burdens being placed on institutions to monitor all aspects of product sales will require a substantial expansion of the types and scope of reporting that are done for product sales. On November 28, the...more

Goodwin

CFPB Issues Bulletin Warning About Excessive Employee Incentive Programs

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On November 28, 2016, the Consumer Financial Protection Bureau announced that it issued a compliance bulletin warning regulated financial companies about the use of employee incentive programs in providing their financial...more

Stinson - Corporate & Securities Law Blog

CFPB Outlines Expectations on Incentive Compensation

The CFPB issued a bulletin warning supervised financial companies that creating incentives for employees and service providers to meet sales and other business goals can lead to consumer harm if not properly managed....more

Ballard Spahr LLP

CFPB issues bulletin on incentive programs

Ballard Spahr LLP on

The CFPB has issued a new compliance bulletin (2016-03) on incentive programs. The issuance of the bulletin reflects the CFPB’s increased focus on such programs. In the bulletin, the CFPB acknowledges that incentives...more

Robins Kaplan LLP

Your Daily Dose of Financial News

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Loyal Starwood pointers have been waiting anxiously to hear what the hotel brand’s merger with Marriott will mean for their coveted reward system. They’ll have to wait a bit longer, but here are a lot of answers to other...more

The Volkov Law Group

After Circling the Wagons: Wells Fargo’s CEO Finally Falls

The Volkov Law Group on

The Wells Fargo scandal represents a textbook case of compliance and culture failures. Recently, the scandal and Wells Fargo’s defensive crisis management strategy resulted in CEO Stumpf’s resignation. Stumpf’s demise was...more

Thomas Fox - Compliance Evangelist

Wells Fargo Week: Part I – Who’s Afraid of Virginia Woolf or What is Risk?

Edward Albee died last week. To my mind he was right up there with Arthur Miller and August Wilson as one of America’s greatest playwrights of the second half of the 20th century. His works were known, as noted in his New...more

Goodwin

CFPB Assesses Largest Fine in Agency’s History Against National Bank for Opening Accounts Without Consumers’ Consent

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On September 8, 2016, the Consumer Financial Protection Bureau (CFPB) announced that, pursuant to a Consent Order, a national bank agreed to make full restitution to consumers and pay the CFPB a $100 million fine because many...more

Nutter McClennen & Fish LLP

Nutter Bank Report, June 2016

The Nutter Bank Report is a monthly publication of the firm's Banking and Financial Services Group. Headlines 1. Agencies Publish Proposed Rule to Limit Incentive-Based Compensation Arrangements 2. Guidance on New...more

Orrick, Herrington & Sutcliffe LLP

Orrick's Financial Industry Week in Review

CFPB Proposes Prohibition on Mandatory Consumer Arbitration Clauses - On May 5, 2016, the Consumer Financial Protection Bureau (CFPB) issued and sought comment on proposed rules prohibiting mandatory arbitration clauses...more

Goodwin

Financial Services Weekly News - April 2016 #4

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Regulatory Developments - Federal Banking Regulators Propose Net Stable Funding (Liquidity) Ratio - The Board of Governors of the Federal Reserve System (Federal Reserve), the Federal Deposit Insurance Corporation...more

K&L Gates LLP

Dodd-Frank Turns Five, What Comes Next?

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The 2008 credit crisis was the beginning of an era of unprecedented government management of the capital markets. July 21, 2015 marked the fifth anniversary of the hallmark congressional response, the Dodd-Frank Wall Street...more

Morrison & Foerster LLP

Dodd-Frank at 4: Where do we go from here?

Where do we go from here? As we mark another milestone in regulatory reform with the fourth anniversary of the enactment of the Dodd-Frank Act, it strikes us that although most studies required to be undertaken by the Act...more

Goodwin

CFPB Settles with Mortgage Company over Loan Originator Compensation Incentives

Goodwin on

The CFPB announced a proposed consent order against a mortgage company and two of its senior officers, alleging that the mortgage company, through the actions of such officers, steered consumers into mortgages with higher...more

Stinson - Corporate & Securities Law Blog

CFPB Commences Action For Violation Of Loan Originator Compensation Rules

The CFPB filed a complaint in federal district court against a Utah-based mortgage company, Castle & Cooke Mortgage LLC, and two of its officers for illegally giving bonuses to loan officers who steered consumers into...more

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