Anne Fleming of Georgetown has written The Long History of 'Truth in Lending', 30 Journal of Policy History (2018). Here's the abstract: This article offers the first comprehensive history of the development of mandatory disclosure rules for the cost of consumer credit. In contrast to prior studies, which begin with the creation of federal disclosure rules […]
A new report from the think tank New America finds that basic banking services such as opening and maintaining a checking account can cost substantially more if you are black or Latino. For instance, community banks in predominantly black neighborhoods require an average minimum opening deposit of about $80, compared with about $68 in white […]
by Jeff Sovern Allison blogged earlier about Judge Preska's decision striking down the CFPB as unconstitutional and I've been wondering what it means for consumers. I hope some of our readers will offer their own thoughts in the comments, because I'm still trying to figure this out. As a formal matter, in terms of the […]
The Hill reports that a judge has ordered the Department of Education to stop collecting debts from all students defrauded by the for-profit Corinthian College, which shut down in 2015. "The court ruled in May that the Department of Education had violated privacy laws by using Social Security Administration information to help it determine how […]
In a case brought by the Consumer Financial Protection Bureau and the State of New York, a judge in the Southern District of New York held today that the structure of the CFPB is unconstitutional because it is an independent agency that has substantial executive power and a single director. Judge Loretta Perska further held […]
by Jeff Sovern Kate Berry in the American Banker is reporting that the nominee to run the CFPB, Kathy Kraninger "likely was deeply involved in President Trump's "zero-tolerance" immigration policy, according to former officials with the Office of Management and Budget and the Department of Homeland Security." Meanwhile, a WSJ editorial argues that Kraninger "has more […]
Verizon, AT&T and Sprint will no longer share customers' location information with several third-party companies who failed to handle the data appropriately, the Washington Post reports. The move follows an investigation by Sen. Ron Wyden (D-Ore.) into the commercial relationships between Verizon; a pair of obscure data vendors, LocationSmart and Zumigo; and those companies' corporate customers. "Wyden's investigation found […]
Is Kraninger's nomination really a ploy to extend Mulvaney's leadership of the Bureau? That's an issue discussed in Roll Call's article, Despite New CFPB Nominee, Mulvaney Could Be Around a Long Time. Excerpt: “I think there’s a strategy here that is steeped in the lore of federal appointments,” said Morrison & Foerster attorney Oliver Ireland. […]
The Wall Street Journal reports that, although bankruptcy judges have in the past refused to consider reducing student loans, some judges are now looking for ways to help people struggling to repay their debt. "Outright cancellations remain rare, but judges said they have other tools at their disposal, including encouraging lawyers to represent borrowers for […]
This article by Michele Lerner discusses the significant impact of a low credit score on the cost of credit (with a focus on home-mortgage credit). So, consumers should remove harmful (and false) information from their credit reports, which are shockingly inaccurate. The FTC says this about how consumers can dispute credit-report errors.