On March 11, 2021, the Consumer Financial Protection Bureau (the “CFPB” or “Bureau”) announced it was rescinding its “Statement of Policy Regarding Prohibition on Abusive Acts or Practices” (the “2020 Policy Statement”).  The rescission is the latest in a series of actions under Acting Director David Uejio that demonstrate a recalibration in the Bureau’s regulatory

On April 1, 2020, the Consumer Financial Protection Bureau (“CFPB”) released a statement on “Supervisory and Enforcement Practices Regarding the Fair Credit Reporting Act and Regulation V in Light of the CARES Act.” This statement provides guidance outlining the CFPB’s expectations of furnishers and consumer reporting agencies (“CRAs”) during the COVID-19 pandemic, and signals that the CFPB will take a flexible supervisory and enforcement approach to compliance with the Fair Credit Reporting Act (“FCRA”) and its implementing regulation, Regulation V.

The key points of the CFPB’s guidance are discussed below.
Continue Reading CFPB Releases Guidance on FCRA and Regulation V Compliance During COVID-19

On March 21, 2019, the Consumer Financial Protection Bureau (“CFPB” or “Bureau”) announced that it was enhancing its advisory committee charters. The announcement follows former Acting Director Mick Mulvaney’s decision in June 2018 to reduce the number of members on the committees and decrease membership terms.

Director Kathy Kraninger described these changes as a product

On March 12, 2019, the CFPB released the 18th edition of its Supervisory Highlights report. The report covers supervision activities completed between June 2018 and November 2018 and discusses supervisory observations related to automobile loan servicing, mortgage servicing, remittances, and deposits. The report also summarizes the CFPB’s previously announced public enforcement actions and guidance during the covered period.

The 18th edition of Supervisory Highlights is the first report issued under Director Kathy Kraninger’s leadership and the second report to cover supervision activities completed under the direction of former Acting Director Mick Mulvaney. Like the prior Supervisory Highlights report issued under former Acting Director Mick Mulvaney, the report includes introductory language that “institutions are subject only to the requirements of relevant laws and regulations” and “[a] conclusion that a legal violation exists on the facts and circumstances described here may not lead to such a finding under different circumstances.” Also like the prior report, it does not specify the dollar amounts of civil money penalties and consumer remediation obtained during the covered period.

The Bureau’s supervisory observations related to automobile loan servicing, mortgage servicing, remittances, and deposits—all frequent areas of focus in Supervisory Highlights reports—are discussed below.


Continue Reading CFPB Issues 18th Edition of Supervisory Highlights

On February 6, 2019, the Consumer Financial Protection Bureau (“CFPB” or “Bureau”) released its much-anticipated proposed amendments to the payday lending rule. The proposed revision is Kathy Kraninger’s first major regulatory initiative since becoming the director of the CFPB.

The Bureau issued two notices of proposed rulemaking that would (i) repeal the mandatory underwriting provisions in the payday lending rule and (ii) delay the compliance date for these provisions until November 19, 2020, which would allow the Bureau to consider comments and issue a final rule before the underwriting provisions take effect. The Bureau’s proposed revisions would not amend or delay the effective date of the payment provisions of the payday lending rule, although the preamble to one of the proposed rules makes clear that the Bureau may separately consider whether any revisions to the payment requirements are appropriate.


Continue Reading CFPB Releases Proposed Revisions to Payday Lending Rule