The Wall Street Journal reports today: More households that don’t have bank accounts are using prepaid cards for basic financial services, such as making purchases, receiving deposits and saving for the future, a government survey found. Among U.S. households that have no access to the regular banking system, 27% reported using prepaid cards in the […]
by Jeff Sovern Some reactions from Politico's Morning Money: TOP EMAIL from Richard Hunt, President & CEO of the Consumer Bankers Association: “Four debates and no Wall Street or bank bashing. Didn't see that coming.” * * * Cowen’s Jaret Seiberg: “Sec. Hillary Clinton and Donald Trump have now faced off in three presidential debates […]
Earlier this week, the Consumer Financial Protection Bureau Student Loan Ombudsman released a report projecting that "over the next two years, one-in-three rehabilitated student loan borrowers could be driven back into default due to gaps between student loan programs. The report examines debt collection and servicing problems plaguing the federal programs designed to help millions […]
The Associated Press reports: Saying they want to boost competition in the airline industry, Obama administration officials issued new regulations Tuesday aimed at providing passengers with more information to compare the performance of air carriers and the cost of flights. The Department of Transportation also said it was proposing that airlines be required to refund […]
The Federal Communications Commission announced that T-Mobile will pay a fine and provide benefits to consumers totaling at least $48 million as part of a settlement resolving an investigation into whether the company adequately disclosed speed and data restrictions for its “unlimited” data plan subscribers. The FCC’s investigation found that company policy allows it to […]
by Jeff Sovern The Ninth Circuit reversed the portion of the Facebook, Inc. v. Power Ventures, Inc., case at page 510 of our consumer law casebook, dealing with the CAN-SPAM Act, on the issue of whether the spam was materially misleading. Other portions of the decision, not reprinted in the casebook, were affirmed in part. The decision is reported […]
In a case in federal district court in North Dakota, the Consumer Financial Protection Bureau has filed this brief about the D.C. Circuit's decision in PHH Corporation v. CFPB and said this: In considering a separation-of-powers challenge to the Bureau’s structure, the PHH panel announced a new constitutional rule that agencies must be structured as multimember […]
As we noted in a previous post, the Consumer Financial Protection Bureau recently announced new rules, effective October 1, 2017, governing the prepaid debit card industry. As the Washington Post explains, "It’s a big change more than two years in the making that’s expected to bring some basic account protections to its customers, who are […]
Here. Excerpt: Throughout history, Congress has had to step in to make corporations do the right thing. That’s why we have rules about working conditions. That’s why we have a minimum wage. And that’s why the CFPB was established to help with gaps in consumer protection. It was time to do something different. It was […]
by Jeff Sovern I find Twitter a useful source of information on a wide variety of topics. I'm curious to know whom people follow in the area of consumer law. Sources I find helpful (in no particular order): David Dayen, Mathew Bruckner, Financial Services (Dems on the House Financial Services Committee), Consumer Reports, Ted Frank, […]