Texas federal court grants motion of community bank and community bank trade groups for leave to intervene in lawsuit challenging CFPB final small business lending rule; motion for preliminary injunction filed by community bank and community bank trade groups

Two new developments occurred recently in the Texas lawsuit challenging the CFPB’s final small business lending rule (Rule).  First, the Texas federal district court granted the unopposed emergency motion of Texas First Bank (Texas First), Independent Bankers Association of Texas (IBAT), and Independent Community Bankers of America (ICBA) seeking leave to intervene in the lawsuit.

Americans’ $2 Trillion in Pandemic Savings Nearly Exhausted

American consumers' savings cushion is no longer that cushiony, according to new Federal Reserve research. The savings people accumulated during the pandemic, which at one point topped $2 trillion, are due to run out this quarter, the Federal Reserve Bank of San Francisco said in a study released Wednesday (Aug. 16). 

Here’s why Americans can’t stop living paycheck to paycheck

For many Americans, payday can’t come soon enough. As of June, 61% of adults are living paycheck to paycheck, according to a LendingClub report. In other words, they rely on those regular paychecks to meet essential living expenses, with little to no money left over.

Senators Request Updated Guidance From FCC On TCPA Consent

On August 7, 2023, twelve United States senators penned a letter to the Federal Communications Commission (“FCC” or the “Commission”) requesting that the Commission issue guidance on current Telephone Consumer Privacy Act (“TCPA”) consent regulations (the “Letter”).

Federal and State Financial Regulatory Agencies Issue Interagency Statement on Supervisory Practices Regarding Financial Institutions Affected by the Hawaii Wildfires

(Aug. 17, 2023) – The Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, the Hawaii Department of Commerce and Consumer Affairs’ Division of Financial Institutions, the National Credit Union Administration, and the Office of the Comptroller of the Currency, collectively the agencies, recognize the serious impact of the recent Hawaii wildfires on the customers and operations of many financial institutions and will provide appropriate regulatory assistance to affected institutions subject to their supervision.

Recovering financially from the Hawaii wildfires

This month, the Hawaiian island of Maui was affected by wildfires that devastated thousands of acres and affected tens of thousands of people. Recovering from a deadly event like this one can feel overwhelming. It’s not always easy to know where to turn for help and what steps to take.

CFPB Penalizes Freedom Mortgage and Realty Connect for Illegal Kickbacks

WASHINGTON, D.C. – Today, the Consumer Financial Protection Bureau (CFPB) took action against Freedom Mortgage Corporation (Freedom) for providing illegal incentives to real estate brokers and agents in exchange for mortgage loan referrals. Freedom provided real estate agents and brokers with numerous incentives — including cash payments, paid subscription services, and catered parties — with the understanding they would refer prospective homebuyers to Freedom for mortgage loans.

Did you get a letter from a “lawyer” about cashing in on someone else’s life insurance policy?

You can’t cash in on a stranger’s life insurance policy — even if a lawyer says you can. The FTC has heard reports from people in Korean, Vietnamese, and Latino communities who got letters in the mail from a supposed “lawyer” in Canada.

Worldwide Foundation for Credit Unions Supports Maui, Hawai’i through National Credit Union Foundation’s CUAid Initiative

MADISON, Wis.—Worldwide Foundation for Credit Unions (WFCU) is supporting credit union communities in Maui, Hawai’i through CUAid, the National Credit Union Foundation's (USA) disaster relief grant program. CUAid is providing relief to credit union employees, volunteers and communities after devastating wildfires tore through Maui on August 8.

Court Decision Affirms CDIA’s Standing to Challenge Texas State Law

The 5th Circuit recently issued a significant decision in the case of Consumer Data Industry Association v. State of Texas, affirming the Consumer Data Industry Association’s (CDIA) standing to challenge Section 20.05(a)(5) of the Texas Business & Commerce Code.

Mortgage rates jump back to 2001 levels

Driving the news: The rate on the 30-year-mortgage ticked up to 7.16% this week — back to the high last reached in October last year. Before that you'd have to go back to 2001 to find mortgage rates this high.

AG Yost Secures the Last Judgments in Massive Texas-Based Robocall Scheme

(COLUMBUS, Ohio) — Ohio Attorney General Dave Yost today announced judgments with the final defendants in a massive robocall operation that bombarded Americans with illegal calls, including an alleged 69 million in Ohio.

Following Rapid Rise in Credit Card Use, More Consumers Now Using Unsecured Personal Loans to Consolidate Debt

A new TransUnion (NYSE: TRU) study, “Debt Consolidation in a Rising Economy,” found that amidst a period of growth in credit card balances and originations, consumers continue to turn to unsecured personal loans as a way to consolidate high interest credit card debt.

CFPB to crack down on data brokers, Chopra says at White House event

WASHINGTON — The White House on Tuesday held a roundtable examining potentially harmful data broker practices, part of an administration wide push to protect Americans' privacy in the era of AI.

Redwood Credit Union Recognized by Forbes as One of “America’s Best Small Employers 2023”

SANTA ROSA, Calif., Aug. 16, 2023 /PRNewswire-PRWeb/ -- Redwood Credit Union has been named by Forbes as one of "America's Best Small Employers 2023." The list ranks the 300 U.S. companies—with more than 200 employees, but fewer than 1,000—most highly recommended as a top place to work.

Second Circuit Strikes Down Attempted Bankruptcy Contempt Proceedings In Class Context

In a recent decision, Bruce v. Citigroup, Inc., et al., the United States Court of Appeals for the Second Circuit clarified the limits of bankruptcy court jurisdiction over class actions.

A Gen Zer and millennial whose monthly car payments exceed their housing costs say it’s ‘stressful’ but that they need a car

Between April and June, a record-high 17.1% of Americans who took out a loan to buy a new vehicle were strapped with a monthly payment of $1,000 or more, according to new data from Edmunds compiling hundreds of thousands of transactions each month from dealerships across the US. 

Remarks of CFPB Director Rohit Chopra at White House Roundtable on Protecting Americans from Harmful Data Broker Practices

The United States has a long history of recognizing the sanctity of protecting against unwanted intrusions into our homes and our lives. The Fourth Amendment protects against unreasonable search and seizures. State Peeping Tom laws prohibit looking into private places in person or through the use of devices. And there’s many more examples of how our country has sought to create boundaries.

Appellate Spotlight: Seventh Circuit Confirms Dismissal of FDCPA Case on Article III Standing Grounds

n a case defended by Hinshaw partner David Schultz, the Court of Appeals for the Seventh Circuit recently upheld the dismissal of a Fair Debt Collection Practices Act (FDCPA) lawsuit, affirming that confusion leading one to hire an attorney and pay an appearance fee does not establish Article III standing. The decision was given extensive coverage by legal and accounts receivable trade publications.

Texas federal court grants credit union motion for leave to intervene in lawsuit challenging CFPB final small business lending rule; new lawsuit challenging rule filed in Kentucky federal court

A Texas credit union and two credit union trade associations have been granted leave to intervene in the lawsuit challenging the CFPB’s final small business lending rule (Rule) that is pending in a Texas federal district court.

FCU Act update needed to modernize fields of membership

It’s time to update the Federal Credit Union Act and allow credit unions to broaden their fields of membership to promote financial inclusion, CUNA Deputy Chief Advocacy Officer for Federal Government Affairs Jason Stverak wrote to members of Congress Tuesday.

Cost of a data breach 2023: Healthcare industry impacts

Data breaches are becoming more costly across all industries, with healthcare in the lead. The 2023 Cost of a Data Breach Report analyzes data collected from March 2022 to March 2023.

ACA Joins Comments on Proposal for Publicly Traded Company Compliance Audits

On behalf of its members that are publicly traded companies, ACA International has signed on to comments (PDF) led by the U.S. Chamber of Commerce on proposed amendments to audit standards used for those companies related to noncompliance with laws and regulations.

FTC Sending Refunds to Consumers who Invested in Deceptive Sanctuary Belize Real Estate Development Scheme Operated by Repeat Offender Andris Pukke

The Federal Trade Commission is sending refunds totaling approximately $10 million to consumers nationwide who bought deceptively marketed overseas real estate lots in what the sellers pitched as Sanctuary Belize, a supposed luxury development being built in southern, coastal Belize. 

Credit Card Debt, Auto Loan Delinquencies Pose Problems for Consumer Lending

Credit card debt and auto loan delinquency growth could threaten banks and become a potential weak spot in consumer lending if economic conditions worsen, according to a report by the Federal Deposit Insurance Corporation.

CFPB Reports Troubling Trends in Auto Loan Servicing

On July 26, 2023, the Consumer Financial Protection Bureau (CFPB) issued a new Supervisory Highlights report (Report) that sheds light on the CFPB’s observations and findings of unfair, deceptive, and abusive practices in auto loan servicing, among other consumer financial products.

Ninth Circuit Affirms Dismissal of TCPA Case Involving Text Messages Holding “Prerecorded Voice Messages” Require Audible Component

On August 8, a unanimous panel of the Ninth Circuit issued a decision affirming a district court’s partial dismissal judgment entered in Trim v. Reward Zone USA LLC, holding that text messages did not use prerecorded voices under the Telephone Consumer Protection Act (TCPA) because they did not include audible components.

CFPB files reply brief supporting its constitutional structure

On August 3, the CFPB filed a Reply Brief in support of its request to overturn the Fifth Circuit’s decision in Community Financial Services Association of America v. Consumer Financial Protection Bureau, in which the 5th Circuit found that the CFPB’s funding structure violated the Constitution’s Appropriations Clause (covered by InfoBytes here, here, and here, and in a firm article here).

NCUA Monitoring and Assisting Credit Unions Affected by Wildfires in Maui

ALEXANDRIA, Va. (Aug. 14, 2023) – As Lahaina, Hawaii, works to recover from the destruction caused by wildfires, the National Credit Union Administration is monitoring the situation closely and has resources available to help credit unions affected.

FTC Charges Experian with Spamming Consumers Who Signed Up for Company Accounts with Marketing Emails They Couldn’t Opt Out Of

The Federal Trade Commission will require Experian Consumer Services, which offers consumers access to their Experian credit information, to pay $650,000 to settle charges it sent consumers unsolicited email without offering them a way to opt out of such messages, as required under the CAN-SPAM Act.

One-Third of Credit Union Members Would Leave for Better Credit Products

Consumers in the United States rely less on their primary financial institution (FI) for major credit products than they used to. Many are shopping around for better deals on rates and terms and for a larger variety of products, resulting in increased competition from non-bank and non-credit union financial entities such as FinTechs.

Credit Control, LLC: Winner – Best Places to Work in Collections

Ranked #1 by Our Employees for the Fourth Year in a Row

St. Louis, MO August 14^th – Credit Control, LLC (“Credit Control”) is proud to announce for the fourth year in a row, our employees have ranked us as winners in the Best Places to Work in Collections program. This is the company’s fourth time participating and the fourth time being recognized as program winners including back-to-back #1 overall rankings in the large company category in 2021 and 2022.

When sending commercial email, businesses can’t unsubscribe from CAN-SPAM compliance

Just because consumers sign up for a membership or subscription doesn’t mean they sign up to get unwanted marketing email. A proposed $650,000 settlement with Experian Consumer Services just filed on the FTC’s behalf by the Department of Justice reminds businesses that they can’t “unsubscribe” from their legal obligations under the CAN-SPAM Act.

Cyber Incident Notification Requirements

Beginning on September 1, 2023, all federally insured credit unions must notify the NCUA as soon as possible, and no later than 72 hours, after the credit union reasonably believes it has experienced a reportable cyber incident or received a notification from a third party regarding a reportable cyber incident.

ACA and Trade Groups Suggest Ways FCC Can Prevent Legitimate Calls From Being Blocked

In comments on the Federal Communications Commission’s ongoing proposed rulemakings to stop illegal robocalls, ACA International and joint industry trade groups in banking, mortgages and student loans stress changes that need to be made to ensure legitimate and important calls to consumers are getting through.

FDIC Publishes 2023 Risk Review

The 2023 Risk Review provides a comprehensive summary of key developments and risks in the U.S. banking system, as in prior reports, and includes a new section focused on crypto-asset risk.

Trends in reverse mortgage direct mail advertising

Many older adults value homeownership, with nearly 80 percent owning their home,¹ and nine out of ten  wanting to remain in their homes for as long as possible. Home equity is often an older adult’s largest asset², and one that has grown in recent years as home prices soared across the United States.

California Privacy Protection Agency Turns its Attention to Connected Vehicles

On July 31, 2023, the California Privacy Protection Agency’s (“CPPA” or the “Agency”) Enforcement Division announced a review into the data privacy practices of connected vehicle (“CV”) manufacturers and related CV technologies.[1] This marks the CPPA's inaugural public announcement regarding its enforcement priorities.

Credit Union of Denver Awarded Number 1 in State of Colorado

DENVER, COLORADO, UNITED STATES, August 11, 2023/EINPresswire.com/ -- Credit Union of Denver is proud to announce we have been awarded first place as Best-In-State Credit Union in Colorado for 2023!

CFPB Report Details UDAAP Violations Uncovered During Recent Supervisory Examinations

On July 26, 2023, the CFPB released its Summer 2023 Supervisory Highlights, which focuses on alleged unfair, deceptive, and abusive acts or practices (UDAAP) violations found in recent supervisory examinations.  The report also detailed violations caused by insufficient technology controls.

Do you use payment apps like Venmo, CashApp, or Zelle? Read this

Ever send money through an app like Venmo, CashApp, or Zelle? They make it easy to send money fast to friends or family. But what happens when it’s a scammer on the other end?

Many workers facing a layoff would accept a 25% pay cut to keep their jobs—but 97% of bosses don’t even ask. Even the researchers are stumped why

Companies almost never offer employees pay cuts in the lead-up to layoffs, despite a willingness of workers to accept even deep reductions in wages to avoid losing their jobs, a new study finds.

Credit card and car loan delinquencies pass pre-Covid levels as consumers get squeezed

New York CNN — More Americans are failing to make payments on their credit cards and auto loans, another sign of rising financial pressure on consumers. New credit card and auto loan delinquencies have now surpassed pre-Covid levels, according to a Wednesday report issued by Moody’s Investors Service. The rate of new credit card delinquencies hit 7.2% in the second quarter, up from 6.5% in the first quarter, according to the Moody’s report, which was based on household debt data published earlier this week by the New York Federal Reserve.

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RMAi Fall Networking & Baseball Event

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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

Used Car Week 2023

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