CFPB: Agency Moves to Reduce Junk Fees Charged by Debt Collectors
Advisory opinion explains that most “pay-to-pay” fees charged by debt collectors violate federal law Today, the Consumer Financial Protection Bureau (CFPB) issued an advisory opinion affirming that federal law often prohibits debt collectors from charging “pay-to-pay” fees. These charges, commonly described by debt collectors as “convenience fees,” are imposed on consumers who want to make…
CFPB: New Final Rule Issued with Credit Reporting Protections to Aid Survivors of Human Trafficking
CFPB Helps Survivors Mitigate the Financial Consequences of Human Trafficking Today, the Consumer Financial Protection Bureau (CFPB) issued a final rule to help survivors avoid some of the financial consequences of human trafficking. The CFPB has established, among other things, a method for survivors of trafficking to submit documentation to credit reporting companies that identifies…
CFPB: Initiative Launched to Improve Customer Service at Big Banks
Effort Will Assist Consumers to Assert Their Legal Rights The Consumer Financial Protection Bureau (CFPB) is seeking public input on how bank customers can assert their rights to better customer service with big banks. A 2010 federal law specifies that consumers have rights to obtain timely responses to requests for information about their accounts from…
ABA: Credit Market Conditions Expected to Weaken in Months Ahead Amid High Inflation
While the consumer and business credit markets remain on generally solid footing, bank economists expect credit conditions to weaken over the next six months, according to the American Bankers Association’s latest Credit Conditions Index released today. The latest summary of ABA’s Credit Conditions Index examines a suite of indices derived from the quarterly outlook for credit markets…
FDIC: Summary of Deposits Survey and Filing for June 30, 2022 Begins
The Summary of Deposits (SOD) is the annual survey of branch office deposits as of June 30 for all FDIC-insured institutions, including insured U.S. branches of foreign banks. All institutions with branch offices are required to submit the survey; institutions with only a main office are exempt. All survey responses are required by July 31,…
CFPB: New Effort Launched to Promote Competition and Innovation in Consumer Finance
New Office Will Identify Obstacles for New Market Entrants The Consumer Financial Protection Bureau (CFPB) is opening a new office, the Office of Competition and Innovation, as part of a new approach to help spur innovation in financial services by promoting competition and identifying stumbling blocks for new market entrants. The office will replace the…
CFPB: Interpretive Rule Issued to Clarify Scope of States’ Ability to Enforce Federal Consumer Financial Protection Laws
Today, the Consumer Financial Protection Bureau (CFPB) issued an interpretive rule that describes states’ authorities to pursue lawbreaking companies and individuals that violate the provisions of federal consumer financial protection law. Because of the crucial role states play in protecting consumers, the Consumer Financial Protection Act grants their consumer protection enforcers the authority to protect…
FDIC: Final Rule Issued Regarding False Advertising, Misrepresentations About Insured Status, and Misuse of the FDIC’s Name or Logo
The Federal Deposit Insurance Corporation (FDIC) today approved a final rule implementing its statutory authority to prohibit any person or organization from making misrepresentations about FDIC deposit insurance or misusing the FDIC’s name or logo. “These practices not only harm those who are targeted with the false promise of deposit insurance, but, if left unchecked,…
CFPB: Agency Takes Action to Protect Depositors from False Claims about FDIC Insurance
FDIC takes parallel action to combat misrepresentations The Consumer Financial Protection Bureau (CFPB) released an enforcement memorandum today that addresses prohibited practices on claims about Federal Deposit Insurance Corporation (FDIC) insurance. Specifically, firms cannot misuse the name or logo of the FDIC or make deceptive representations about deposit insurance. The issue has taken on renewed…
CFPB: Agency Invokes Dormant Authority to Examine Nonbank Companies Posing Risks to Consumers
Bureau Seeks Comment on Updated Procedures The Consumer Financial Protection Bureau (CFPB) announced that it is invoking a largely unused legal provision to examine nonbank financial companies that pose risks to consumers. The CFPB believes that utilizing this dormant authority will help protect consumers and level the playing field between banks and nonbanks. The CFPB…