Here, at the Poverty Law Center. Here’s an excerpt (footnote omitted): * * * I am increasingly worried about where we are headed today. After decades of more and more and more lending, the American people now have a significant debt burden. Yet there is no shortage of venture capital, private equity, and other pools […]
Category Archives: Consumer Financial Protection Bureau
In a long-running litigation filed in Pennsylvania federal district court, the CFPB today filed a proposed stipulated order, which, if entered, would largely remove Navient from the federal student loan market, and require the company to pay a $20 million penalty and provide $100 million in relief to borrowers. The case includes allegations that Navient […]
The Consumer Financial Protection Bureau just announced that it ordered TD Bank to pay $28 million in fines and in consumer redress over the bank’s credit reporting practices. It is the CFPB’s second enforcement action against TD Bank. “For years, the bank repeatedly shared inaccurate, negative information about its customers to consumer reporting companies. The […]
The Consumer Financial Protection Bureau and the Federal Trade Commission this week issued their annual reporting of their debt collection activities. The CFPB, required under the Consumer Financial Protection Act to report to Congress annually on its activities to administer the Fair Debt Collection Practices Act, recounted its ongoing work on medical debt. Notably, in […]
Craig Cowie of Montana has written Creating Compliance Climates, 75 UC Law Journal (2024). Here’s the abstract: Relatively few regulated entities are the targets of enforcement activity or otherwise have direct contact with regulators. Given that absence of direct contact, this Article posits that regulators influence behavior by creating “compliance climates” that project regulators’ priorities into […]
In March, I blogged about the Third Circuit’s decision in CFPB v. National Collegiate Master Student Loan Trust, a long-running enforcement action brought by the CFPB against investment trusts that were created for the purposes of acquiring and servicing student loans, seeking to enforce civil investigative demands. The trusts have now filed a petition for […]
Here (behind paywall but available on Lexis). Here’s a quote from Georgetown’s Adam Levitin that appears in the article: “Delay is incredibly profitable to regulated firms seeking to avoid regulation,” Levitin said. “It really doesn’t matter that they’ll lose in the end. That can mean billions of dollars of additional revenue from practices that the […]
A home equity line of credit, or “HELOC,” is a loan product that allows a consumer to borrow money, using their equity in their home as collateral. William Lyons had taken out a HELOC from a predecessor to PNC Bank. Years later, PNC withdrew money from Lyons’ deposit account to offset outstanding payments on the […]
Today, the CFPB released a report about a form of home seller financing called “contract-for-deed” financing, under which the seller agrees to turn over a home’s deed only after the buyer completes a series of payments. The report found that such deals often involve inflated home prices, high interest rates, and balloon payments — and […]
Christopher Lewis Peterson of Utah and Jeffrey Paul Ehrlich of St. Thomas University and McGuireWoods LLP have written Corrupt Joint Ventures in the Market for Residential Real-Estate-Settlement Services. Here’s the abstract: Closing costs in residential-real-estate sales have long acted as a significant barrier to American home ownership. In the Real Estate Settlement Procedures Act of 1974 […]