Analysis and Strategic Implications of Consumer Financial Protection Bureau v. Brown

The Consumer Financial Protection Bureau (CFPB) brought an action against 18 defendants under the Consumer Financial Protection Act (CFPA) and the Fair Debt Collection Practices Act (FDCPA) for engaging in or substantially assisting a fraudulent debt-collection scheme.

AG Nessel Alerts Residents about a New Debt Collection Scam

LANSING – Michigan Attorney General Dana Nessel is alerting Michigan residents about fraudulent letters directed to workers and businesses. The letters attempt to collect an outstanding debt and are part of a scam that fraudulently identify the sender as the State of Michigan.

23 biggest U.S. banks pass annual Fed stress test

The nation's 23 largest banks passed the Federal Reserve's so-called stress tests this year, a sign that the nation's banking system remains resilient despite the recent banking crisis that led to the failure of Silicon Valley Bank, Signature Bank and First Republic Bank.

VantageScore CreditGauge™ May 2023: Delinquency Rates Rise Year-Over-Year Across All Credit Products, Days Past Due Categories

SAN FRANCISCO, June 29, 2023 /PRNewswire/ -- Today, VantageScore released CreditGauge, a monthly analysis that highlights the overall health of consumer credit in the United States. May's CreditGauge shows that May 2023 delinquency rates continue to rise year-over-year across all credit products and Days Past Due (DPD) categories.

KEY FINDINGS:

Florida is next state to enact commercial financing disclosure requirements

On June 23, the Florida governor signed HB 1353 (the “Act”), creating the Florida Commercial Financing Disclosure Law and imposing several requirements on commercial financing providers and brokers. The Act defines a “provider” as “a person who consummates more than five commercial financing transactions with a business located in [Florida] in any calendar year.”

The CFPB’s 2022 Fair Lending Annual Report to Congress

Today, the CFPB released its Fair Lending Annual Report to Congress , describing our fair lending activities in enforcement and supervision; guidance and rulemaking; interagency coordination; and outreach and education for calendar year 2022.

Hoosiers lose $322 million to payday lenders

The predatory payday lending market in Indiana is expected to grow, according to a report from the Indiana Community Action Poverty Institute.

FFIEC Announces Availability of 2022 Data on Mortgage Lending

WASHINGTON, D.C. – The Federal Financial Institutions Examination Council (FFIEC) today announced the availability of data on 2022 mortgage lending transactions reported under the Home Mortgage Disclosure Act (HMDA) by 4,460 U.S. financial institutions, including banks, savings associations, credit unions, and mortgage companies.

Analysis and Strategic Implications of Consumer Financial Protection Bureau v. Brown

The Consumer Financial Protection Bureau (CFPB) brought an action against 18 defendants under the Consumer Financial Protection Act (CFPA) and the Fair Debt Collection Practices Act (FDCPA) for engaging in or substantially assisting a fraudulent debt-collection scheme.

OpenAI sued over data collection practices

(CN) — OpenAI is the target of a proposed class action suit filed in federal court Wednesday, in which plaintiffs claim the ChatGPT-maker uses stolen, private information and has demonstrated a disregard for the “catastrophic risk to humanity” its products pose. 

Revised Licensing Law Passes in Nevada

Debt buyers are included in the definition of collection agency in the law and will be required to apply for a collection agency license, among other changes.

Two-Thirds of CUs Take Risky Approach to Digital Innovation

PYMNTS’ latest study finds that 28% of CU members are willing to ditch their current financial institution (FI) for one that offers more leading-edge digital banking experiences — and the share is growing. By disregarding the potential of innovation as a differentiator and member retention strategy, CUs risk their members leaving.

Nevada Passes Law Creating Licensing Requirements for Earned Wage Access Providers

On June 15, Nevada Governor Joe Lombardo signed SB 290 into law, which imposes licensing, reporting, examination, and other substantive requirements on providers of earned wage access (EWA) products.

Florida Enacts Commercial Financing Disclosure Law

On June 26, Florida Governor Ron DeSantis signed the Florida Commercial Financing Disclosure Law (FCFDL). As discussed here, the FCFDL mandates that covered commercial financing companies provide consumer-like disclosures for certain commercial financing transactions.

Office of Research blog: How are mortgages with a COVID-related forbearance performing in 2023?

In response to the COVID-19 pandemic, the federal government enacted the Coronavirus Aid, Relief, and Economic Security (CARES) Act, allowing millions of mortgage borrowers in the United States to enter public or private forbearance programs and temporarily pause their mortgage payments.

Loans At 225% Interest? New Colorado Law Disallows Them But They’re Common

State usury laws protect consumers from predatory nonbank lenders and their stratospheric interest rates"or do they? Not always. The payday lenders and other nonbank credit firms that are specifically targeted by these laws have found a tricky workaround.

Supreme Court Narrows Scope of Aggravated Identity Theft Law in Healthcare Fraud Case

The healthcare industry is one of the most heavily regulated industries in the United States. Healthcare companies and practitioners devote significant resources to complying with the complex and often changing legal and regulatory schemes imposed on them.

Consumer Finance State Roundup – June 2023

During this current legislative session, the following three states have enacted measures of potential interest to Consumer Finance ABstract readers:

FDIC Clarifying Supervisory Approach Regarding Supervisory Guidance on Multiple Re-Presentment NSF Fees

The FDIC has updated its Supervisory Guidance on Multiple Re-Presentment NSF Fees (FIL-40-2022) to clarify its supervisory approach for corrective action when a violation of law is identified.

Oregon Joins the Consumer Privacy Trend

Add Oregon to the list of states passing consumer privacy laws this year. On June 22, 2023, the Oregon House of Representatives passed SB 619, the proposed Oregon Consumer Privacy Act (OCPA), following the Senate’s passage on June 20. Assuming Governor Tina Kotek signs the bill into law, as is expected, the OCPA is set to become effective on July 1, 2024.

2 in 5 Americans find credit card debt embarrassing: Report

Two in five Americans believe credit card debt is embarrassing, according to a report by NerdWallet. Yahoo Finance Live breaks down the report and the percentage of people hiding their credit debt from their parents.

This Week At The Ninth: Medical Debt Collection

The Court rejects a request for a preliminary injunction barring enforcement of a Nevada law requiring debt collectors to give 60-days notice before taking any action to collect a medical debt.

Federal regulators want to know what Big Tech is doing with your financial data

The U.S. government wants major technology companies to explain how they're using customers' financial data, laying the groundwork for tighter privacy rules on mobile payment systems down the road.

CFPB opposes Texas bankers’ request to delay small biz lending rule

The CFPB recently asked a district court in the 5th Circuit to deny a proposed injunction which would delay the implementation of its small-business lending data collection rule, arguing that plaintiffs have failed to establish standing or meet the requirements for preliminary relief.

Oregon Legislature Passes Consumer Data Privacy Bill

On June 22, 2023, the Oregon legislature passed the Oregon Consumer Privacy Act (OCPA) (SB 619). Subject to the procedural formalities, the bill will move to Oregon Governor Tina Kotek for consideration.

Eleventh Circuit Reprimands CFPB for Discovery Abuses During Rule 30(b)(6) Depositions

On June 12, 2023, an Eleventh Circuit panel issued an opinion affirming a sanctions order against the Consumer Financial Protection Bureau (CFPB) premised on the CFPB’s “derail[ment]” of multiple depositions in contravention of the district court’s instructions.

Protecting consumers’ right to challenge discrimination

The Consumer Financial Protection Bureau (CFPB) is committed to ensuring fair, equitable, and nondiscriminatory access to credit for individuals and communities. The CFPB administers and enforces federal laws such as the Equal Credit Opportunity Act, a landmark civil rights law that protects people against discrimination in all aspects of credit transactions.

CFPB Takes Action Against ACI Worldwide for Illegally Processing $2.3 Billion in Mortgage Payments that Homeowners Did Not Authorize

WASHINGTON, D.C. – Today, the Consumer Financial Protection Bureau (CFPB) issued an order against ACI Worldwide and one of its subsidiaries, ACI Payments, for improperly initiating approximately $2.3 billion in unlawful mortgage payment transactions.

Oregon Department of Transportation Confirms Data Breach Leaking the Personal Information of 3.5 Million Oregon Residents

MARLTON, N.J., June 23, 2023 /PRNewswire/ -- The sensitive personal data of approximately 3.5 million people has been compromised as a result of a zero-day vulnerability in a software tool created by Progress Software, LLC. Now, residents' full names, addresses and other personal information may be in the hands of criminals who can use the stolen information to commit identity theft and other frauds.

FCC Call Authentication Rules Take Effect in August

The Federal Communications Commission has announced an Aug. 21 effective date for final rules on illegal robocall mitigation and to expand requirements for voice service providers to implement the STIR/SHAKEN call authentication framework.

Senators Urge State AGs to Protect Consumers From Cash Homebuying Companies

On June 13, Consumer Financial Protection Bureau (CFPB) Director Rohit Chopra provided the CFPB’s semiannual report to Congress, which included concerns about predatory house-flipping practices by companies like HomeVestors.

CFPB Publishes Issue Spotlight on Chatbots in Consumer Finance

The CFPB recently published an Issue Spotlight regarding the use of chatbots in consumer finance, explaining that the purpose of the report is to explain how chatbot technologies are used by financial institutions and the challenges faced by customers.

Attorney General Bonta Supports FTC’s Effort to Facilitate Cancellation of Unwanted Consumer Subscriptions and Memberships

OAKLAND – As part of a coalition of 26 attorneys general, California Attorney General Rob Bonta today announced that he has filed a comment letter supporting the Federal Trade Commission's (FTC) proposed improvements to its existing Negative Option Rule. “Negative option offers” are a business tactic of interpreting a consumer’s silence — or failure to take affirmative action — as acceptance of an offer, often in the form of a recurring, unwanted subscription that is difficult or impossible to cancel.

Accepting applications for CFPB advisory committees

To ensure that the CFPB hears from a variety of external experts with diverse viewpoints, we established the Consumer Advisory Board, the Community Bank Advisory Council, the Credit Union Advisory Council, and the Academic Research Council. These advisory committees provide the CFPB with information about emerging trends and practices in the consumer financial marketplace. They also allow us to hear directly from small financial institutions.

RMAi 2023 Executive Summit

RMAi

Debt Connection Symposium & Expo 2023 – DCS2023

Debt Connection Symposium & Expo has returned for 2023! We are headed back to Las Vegas, September 27th - 29th to network and connect with clients, service providers, product suppliers, agencies, and attorneys - at a whole new level.

CA Credit Union Collectors Council – 36th Annual Conference

CCUCC