Banks and Credit Unions Utilizing Ineffective Chatbots May Risk Violating Federal Law

In an October 2023 advisory opinion, the Consumer Financial Protection Bureau (CFPB) put large banks and credit unions on notice that the use of chatbots and other technologies could increase the risk of violating federal law if those services are ineffective.

Brown: Scammers Have Ramped Up Efforts While Banks and Payment Apps Stand By

WASHINGTON, D.C. – Today, U.S. Senator Sherrod Brown (D-OH), Chairman of the Senate Committee on Banking, Housing, and Urban Affairs, delivered the following opening statement at today’s hearing entitled, “Examining Scams and Fraud in the Banking System and Their Impact on Consumers.”

AG Ferguson: Providence must provide $157.8 million in refunds and debt relief for unlawful medical charges to low-income Washingtonians

SEATTLE — Attorney General Bob Ferguson announced today that Providence, one of the nation’s largest health care systems, must forgive more than $137 million in medical debt and refund more than $20 million to patients the company billed for services despite knowing they likely qualified for free or reduced-cost health care. The $157.8 million resolution will provide full refunds, plus interest, and debt forgiveness for 99,446 individuals. It is the largest resolution of its kind in the country.

Year-End Report Reveals Increased TCPA Filings and CFPB Complaints in 2023

According to a recent year-in-review report by WebRecon, reversing the trend of the last two years, filings under the Telephone Consumer Protection Act (TCPA) increased in 2023 as compared to 2022.

Arizona, Kentucky, and Hawaii Become Latest States to Introduce Legislation to Regulate Earned Wage Access Products

Recently, Arizona, Kentucky, and Hawaii have jumped on the bandwagon to regulate earned wage access (EWA) products and services. Arizona’s proposed bill makes clear that EWA services are not considered to be loans or money transmissions, and voluntary tips or gratuities are not finance charges.

CFPB Bites of the Month – 2023 Annual Review – Debt Collection

In this article, we share a timeline of our monthly "bites" for 2023 applicable to debt collection. If debt collection in 2023 had a theme it would be medical debt. Medical debt woes transcend political parties and affect nearly all demographic groups. 

FTC Order Will Require Blackbaud to Delete Unnecessary Data, Boost Safeguards to Settle Charges its Lax Security Practices Led to Data Breach

South Carolina-based Blackbaud Inc. will be required to delete personal data that it doesn’t need to retain as part of a settlement with the Federal Trade Commission over charges that the company’s lax security allowed a hacker to breach the company’s network and access the personal data of millions of consumers including Social Security and bank account numbers.

The importance of incident response

In the ever-changing financial services landscape, credit unions face an array of cybersecurity threats. From data breaches to more sophisticated cyberattacks, the risks aren’t just operational, but also carry severe reputational and financial implications.

GenAI Can Help Credit Unions Match Payments Innovation to Member Needs

Vlad Jovanovic, vice president of innovation at PSCU, told PYMNTS that credit unions will gain loyalty as they harness artificial intelligence to forge new use cases and personalized interactions with their retail and commercial clients.

PenFed Credit Union Finishes 2023 with Over $3 Billion in Net Worth and Welcomes Over 230,000 New Members

TYSONS, Va., Jan. 31, 2024 /PRNewswire/ -- PenFed Credit Union, the nation's second-largest federal credit union, today released financial results highlighting it finished 2023 with nearly 3 million members, $35 billion in assets and over $3 billion in net worth. PenFed continues to focus on its members with market-leading products and services, despite a challenging economic environment with prolonged yield curve inversion.

OCC Assesses $65 Million Penalty Against City National Bank

WASHINGTON, D.C. — The Office of the Comptroller of the Currency (OCC) today assessed a $65 million civil money penalty against City National Bank, of Los Angeles, California, related to systemic deficiencies in the Bank’s risk management and internal controls.

FCC CHAIRWOMAN: MAKE AI VOICE-GENERATED ROBOCALLSILLEGAL

WASHINGTON, January 31, 2024—FCC Chairwoman Jessica Rosenworcel today proposed that the FCC recognize calls made with AI-generated voices are “artificial” voices under the Telephone Consumer Protection Act (TCPA), which would make voice cloning technology used in common robocalls scams targeting consumers illegal.

Attorney General Nessel Re-Issues Identity Theft Alert in Recognition of Identity Theft Awareness Week

LANSING – Michigan Attorney General Dana Nessel is re-issuing her alert detailing Identity Theft Warning Signs in recognition of Identity Theft Awareness Week to make residents aware of the clues that might mean their identity has been stolen. 

Carr: Georgia Files Suit Against MV Realty Over Allegations of Unfair and Deceptive Practices

ATLANTA, GA – Attorney General Chris Carr has filed suit against MV Realty and certain affiliates over allegations that the companies used unlawful and deceptive means to mislead cash-strapped homeowners into signing a 40-year agreement for what is essentially a predatory financial product.

AG Platkin, Division of Consumer Affairs Announce 2023 Consumer Protection Enforcement Highlights

TRENTON — Attorney General Matthew J. Platkin and the Division of Consumer Affairs (“Division”) today provided a look back at the 2023 enforcement initiatives undertaken by the Division to protect consumers from unfair and deceptive business practices in industries that historically generate a high volume of consumer complaints in New Jersey each year.

SAFE Credit Union Paid Members $57 Million in Dividends in 2023

FOLSOM, Calif., Jan. 31, 2024 /PRNewswire/ -- Citing its commitment to help its members build financial freedom, SAFE Credit Union paid out a total of $57 million in dividends to its members, an impressive 423% increase in 2023 over the previous year.

Be scam free for Black History Month

February is Black History Month — a great time to help raise awareness in Black communities, and among your family and friends, by staying on top of the latest scams that might affect them.

Veterans: Guard against identity theft

Identity theft can happen in a lot of ways: a stolen wallet, a missing phone, or a hacked online account. Then there are impersonators — scammers who pretend to be almost anyone. They’ll tell you almost any story to get you to trust them, so they can steal your money or information.

CFPB Bites of the Month – 2023 Annual Review – Biggest Fines and Penalties

In this article, we share a list of the top 10 biggest fines and penalties from our monthly bites for 2023.

WEBRECON DEC 2023 STATS & YEAR IN REVIEW

The final stats of 2023 are in and for the first time since June, they show the big three statutes (TCPA -4.3%, FDCPA -.3%, FCRA -14.1%) all down from the previous month. CFPB complaints ended the month up +9.4%.

“True Lender Act” Bill Proposed in Maryland

Maryland has joined the ranks of states considering legislation that would codify elements of “true lender” theory in an effort to impose federally preempted state licensing requirements and rate caps on loans to Maryland residents.

Update on Visa/Mastercard Antitrust Settlement

If your business accepted any Visa or Mastercard payments between 2004 and 2019, you may be eligible to recover funds from a recent settlement. But to take advantage of this opportunity, you have to move quickly. Court documents suggest that the last day to file claims will be May 31, 2024.

Suffolk Credit Union Announces Innovative Partnership to Launch Buy Now, Pay Later Service, Elevating Financial Flexibility for Members

LONG ISLAND, N.Y., Jan. 30, 2024 /PRNewswire/ -- Suffolk Credit Union, with asset base of $1.8 billion, is proud to announce the introduction of a groundbreaking Buy Now, Pay Later (BNPL) service to its suite of digital banking solutions.

NYDFS Issues Proposed Guidance on AI and External Consumer Data Use

On January 17, 2024, the New York State Department of Financial Services (NYDFS) issued a proposed Circular Letter that provides guidance for authorized insurers using external consumer data and information sources (ECDIS) and artificial intelligence systems (AIS) in underwriting and pricing. NYDFS requests feedback on the draft by March 17, 2024.

McHenry, Hill, Flood Urge CFPB to Revisit Digital Consumer Payment Proposed Rule

The Chairman of the House Financial Services Committee, Patrick McHenry (NC-10), Chairman of the Digital Assets, Financial Technology and Inclusion Subcommittee, Rep. French Hill (AR-02), and Rep. Mike Flood (NE-01) sent a letter to Consumer Financial Protection Bureau (CFPB) Director Rohit Chopra regarding the Bureau’s proposed rule “Defining Larger Participants of a Market for General-Use Digital Consumer Payment Applications.”

Court Finalizes Injunction and Monetary Judgment against Illegal Telemarketing Operation and its Owners

A federal district court has entered final orders against a telemarketing company and its owners, who made millions of illegal, unsolicited calls to people that were registered on the Do Not Call Registry. The court ordered the defendants to pay $28.7 million in civil penalties and permanently banned the defendants from participating in telemarketing or assisting and facilitating others engaged in telemarketing to consumers.

Attorney General James Sues Citibank for Failing to Protect and Reimburse Victims of Electronic Fraud

NEW YORK – New York Attorney General Letitia James today sued Citibank, N.A. (Citi) for failing to protect and refusing to reimburse victims of fraud. The lawsuit alleges that Citi does not implement strong online protections to stop unauthorized account takeovers, misleads account holders about their rights after their accounts are hacked and funds are stolen, and illegally denies reimbursement to victims of fraud.

The Average American’s Household Expenses Are $6,081 A Month Or $72,967 A Year — But The Median Annual Household Income Is Just $74,580

With inflation impacting budgets, many are seeking ways to manage their expenses effectively. The 2022 Consumer Expenditure Survey by the Bureau of Labor Statistics reveals that the average American household’s monthly expenses total approximately $6,081, equating to $72,967 annually. This amount includes costs for housing, transportation, food and other essential categories​​

FTC Orders Tax Company Inuit to Halt Deceptive Advertising

In a recent legal move, the Federal Trade Commission has issued an opinion and final order (PDF) against Intuit Inc., the company behind the widely used TurboTax tax filing software, according to a press release from the FTC.

CFPB Bites of the Month – 2023 Annual Review – Small Dollar Lending, Lease-to-Own, and Alternative Financial Services

In this article, we share a timeline of our monthly "bites" for 2023 applicable to the small dollar lending, lease-to-own, and alternative financial services industries.

Navigant named among nation’s best regional credit unions in 2024

SMITHFIELD – Navigant Credit Union recently earned a five-star rating from Newsweek, ranking it as one of the nation’s best regional banks and credit unions.

Court Stymies State Regulator’s Attempt to Block Bank-Credit Union Deal

The last two years have seen a significant uptick in the number of transactions involving credit union acquisitions of banks with 26 deals announced and two transactions already announced in 2024. Yet, the law around these transactions remains somewhat unsettled and the path to regulatory approval is often not clear.

US bank regulator to boost transparency of merger reviews, scrap automatic approvals

WASHINGTON (Reuters) -A top U.S. bank regulator on Monday will propose new regulations for bank mergers and acquisitions (M&A) in a bid to increase transparency around the process, while ensuring some deals do not slide through automatically without sufficient scrutiny.

House members urge CFPB to define “risk to consumers” in procedural rule on risk-based supervisory authority

A bi-partisan group of House members has sent a letter to CFPB Director Chopra to express concern about the CFPB’s rule setting forth its procedures for establishing supervisory authority over nonbanks engaged in conduct that poses risk to consumers.

OCC Requests Comments on Proposed Rulemaking and Policy Statement on Bank Mergers

WASHINGTON—The Office of the Comptroller of the Currency (OCC) today requested comment on a proposal to update its rules for business combinations involving national banks and federal savings associations. The proposal also includes a policy statement to clarify the OCC’s review of applications under the Bank Merger Act (BMA).

Attorney General Josh Stein Releases 2023 Data Breach Report

(RALEIGH) Attorney General Josh Stein today released the North Carolina Department of Justice’s 2023 data breach report ahead of Data Privacy Day on January 28. In 2023, more than 4.9 million North Carolinians were affected by a record 2,033 data breaches. The report can be viewed here.

The CFPB’s enforcement work in 2023 and what lies ahead

The CFPB safeguards household financial stability by ensuring that consumer financial markets are fair, transparent, and competitive. Our enforcement authority is among the CFPB’s most impactful tools—reinforcing compliance with federal consumer financial laws and sending a clear message to entities within our authority and the public that the CFPB remains vigilant on behalf of consumers.

CFPB proposes new rule on overdraft lending, opens comment period

On January 17, the CFPB issued a proposed new rule to restrict overdraft fees charged by financial institutions. Historically, the Federal Reserve Board exempted banks from credit disclosure requirements when an overdraft was needed to honor checks (for a fee). 

American bankruptcy filings hit first post-pandemic rise

(CN) — After seeing several years of decline, U.S. bankruptcy filings increased nearly 17% last year, according to data published Friday by the Administrative Office of the U.S. Courts.

Health Care Privacy and Security In 2024: Six Critical Topics to Watch

As we reflect on the flurry of activity in the health care data privacy and security space in 2023 and look ahead to what will continue to be a busy 2024, we are seeing the early stages of federal agency movement to align the regulatory environment with modern health care delivery, cutting-edge technologies, and innovative data-sharing techniques.

Three ways your business can mark Identity Theft Awareness Week | Federal Trade Commission

January 29th kicks off 2024’s Identity Theft Awareness Week, but consumer-conscious companies promote identity theft awareness – and prevention – 52 weeks a year.

CFPB proposes rule to ban “rarely charged” NSF fees for declined transactions based on wildly expansive view of “abusive” prong

On January 24, 2024, a week after issuing its proposed rulemaking for overdraft services, the Consumer Financial Protection Bureau (“CFPB”) issued its proposed rulemaking on non-sufficient funds (NSF) fees.

Attorney General Bonta Announces Investigative Sweep, Focuses on Streaming Services’ Compliance with the California Consumer Privacy Act

OAKLAND – Ahead of Data Privacy Day, California Attorney General Rob Bonta today announced an investigative sweep, and is sending letters to businesses with popular streaming apps and devices alleging that they fail to comply with the California Consumer Privacy Act (CCPA).

Community 1st Credit Union Named Top 250 Regional Credit Union in America by Newsweek

Ottumwa, IA: Newsweek, along with Plant-A Insights Group recently announced that Community 1st Credit Union has been recognized as one of America’s Best Regional Banks and Credit Unions for 2024, receiving a prestigious five-star rating on a five-star scale.

$187,930,725.10 Credit Cards

BAL Financial LLC

(617) 595-5794

$103,866,845.99 Payday Loans

BAL Financial LLC

(617) 595-5794

$1,000,000,000 Credit Cards

Capital Debt Solutions, LLC

(866) 305-5102

$50,000,000 Other

Capital Debt Solutions, LLC

(866) 305-5102

RMAI 2024 Annual Conference

Receivables Management Association International