The Consumer Financial Protection Bureau wants to know more about data brokers and their practices, as these entities gather and sell consumers’ personal and private information. The CFPB requests public feedback including information about the entities that collect personal consumer data, the types of data collected, sources that data brokers use to collect information, their […]
Category Archives: Consumer Financial Protection Bureau
The Consumer Financial Protection Bureau released today a special edition of its Supervisory Highlights that reports on unlawful junk fees uncovered in deposit accounts and in multiple loan servicing markets, including in mortgage, student, and payday lending. The CFPB explains that “[t]hese unlawful fees corrode family finances, force up families’ banking and borrowing costs, and […]
The Consumer Financial Protection Bureau in recent actions against entities it calls “repeat offenders” has zeroed in on flagrant violations of the Military Lending Act (MLA), which is meant to safeguard active-duty military members and their families from financial abuses. The MLA has features perfect for military families in search of a loan: it caps […]
Earlier today the Supreme Court announced that it would take the case in which the Fifth Circuit had held the CFPB’s funding mechanism was unconstitutional, Consumer Financial Protection Bureau v. Community Financial Services Association of America, Limited. The Bureau had asked the Court to hear the case during the current term but the Court instead decided to […]
The Consumer Financial Protection Bureau has released a report examining trends in credit reporting of debt in collections from 2018 to 2022. The report finds that the total number of collections tradelines on credit reports declined by 33%, from 261 million tradelines in 2018 to 175 million tradelines in 2022. The share of consumers with […]
The Consumer Financial Protection Bureau has issued “an advisory opinion to protect Americans from double dealing on digital mortgage comparison-shopping platforms. Companies operating these digital platforms appear to shoppers as if they provide objective lender comparisons, but may illegally refer people to only those lenders paying referral fees. When shoppers use a lender that is […]
As Richard and Allison posted, the CFPB has proposed a new rule limiting the credit card late fee safe harbor to $8. And as is perfectly predictable, banks are angry about facing a restriction on late fee revenue. I want to comment on their arguments against the proposed rule. First some background: the Credit CARD […]
In 2016, the CFPB issued a rule requiring certain disclosures for digital wallets and other prepaid accounts. Paypal challenged the rule as contrary to statute, unconstitutional, and arbitrary and capricious. The district court agreed with Paypal that the disclosure rules violated the EFTA ban on mandatory model clauses, and thus did not reach the other […]
The Consumer Financial Protection Bureau plans to cut credit card late fees to $8, wiping out up to $9 billion a year in fees that have become highly profitable for banks and credit card companies. CFPB Director Rohit Chopra plans to propose a rule on Wednesday that would slash late fees from the current $30 […]
The Consumer Financial Protection Bureau proposed today “a rule to curb excessive credit card late fees that cost American families about $12 billion each year. Major credit card issuers continue to profit off late fees that are protected by an expansive immunity provision. Credit card companies have also relied on this provision to hike fees […]