Congress Tackles Politicization of Regulations in Hearing

A House subcommittee discussion covered regulation of “junk fees” and how regulatory enforcement processes impact consumers and businesses. ACA urged the subcommittee to continue to focus on CFPB actions related to the discussion.

Junk fees are driving up housing costs. The CFPB wants to hear from you.

Families who manage to save up for a down payment and get approved for a mortgage often get an unwelcome surprise: closing costs that all too often are full of junk fees. Closing costs are the fees you pay on the day you finalize the purchase of your home, and they include things like title insurance, credit report and appraisal fees, origination fees, and more. 

California Invasion of Privacy Act Violations Aimed at Online Retailers

California Invasion of Privacy Act (CIPA) has become a focal point in recent legal battles, particularly within the retail industry. As retailers increasingly adopt technologies like session replay and chatbots to enhance customer experiences, they inadvertently tread into murky legal waters. 

Third Party Vendor Auditing Workshop Announced for May 6-7

Designed for collection professionals, compliance officers, and risk managers, this immersive experience delves deep into the intricacies of auditing third-party vendors. From collection agencies to repossession vendors, learn proven strategies to conduct thorough audits, mitigate risks, and ensure regulatory compliance. Taught by Bev Evancic and Ken Evancic.

AG Nessel Touts Success of the Consumer Protection Team, Shares Top Ten Complaints of 2023

LANSING – To wrap up National Consumer Protection Week, AG Nessel is highlighting the accomplishments of the Department’s Consumer Protection Team. The Consumer Protection Division was created by the late Frank Kelley, who served 10 consecutive terms as Michigan’s attorney general. 

Payday lenders say they will leave Michigan if bill passes

LANSING — Payday lenders would face much tighter caps on the interest and fees they charge for small loans under legislation that took an initial step forward Wednesday over objections that it would lead companies to stop doing business in Michigan.

Third Circuit: Consumer Does Not Have Standing to Raise FDCPA Challenge to Debt Collection Agency’s Disclosure of Private Information to Third Party Mailing Vendor

In Barclift v. Keystone Credit Services, LLC, the Philadelphia-based United States Court of Appeals for the Third Circuit determined that a Consumer did not have standing to sue under Fair Debt Collection Practices Act (“FDCPA”)

Bankruptcy Filings: The New Normal or the Calm Before the Storm?

Webinar - Thursday, May 16th at 2:00 Eastern - Join Judge Anderson for a look at what the statistics say about the future of consumer bankruptcy filings. Brought to you by the NACTT Academy. ConsiderChapter13.org

Legislature Approves Family Financial Protection Bill

SALEM, Ore. – Today, the Family Financial Protection Act (Senate Bill 1595) passed the Oregon House with a bipartisan vote of 46-8. It now goes to Governor Tina Kotek’s desk. The bill improves outdated and flawed consumer protection and debt statutes by strengthening economic protections for Oregonians who are working to pay back their debts and providing recourse for Oregonians subjected to unfair debt collections practices.

US Chamber Sues CFPB to Block Credit Card Late Fee Limits

The U.S. Chamber of Commerce filed a lawsuit against the Consumer Financial Protection Bureau, aiming to stop the agency from implementing its new rule to limit credit card late fees.

New tech support scammers want your life savings

As we continue our deep dive into imposter scams, we’re taking a look at a new twist on tech support scams. Ever deal with a tech support scam? A warning pops up on your computer. It says your computer has a virus and gives you a number to call for help. You often end up paying hundreds of dollars to a scammer who pretends to deal with the fake virus.

The Role of Clear Expectations: Setting the Ownership Stage for Collectors

When I am working with people and trying to learn about them, I will ask “who ultimately owns what you deliver every day?”  Depending on the role of the person I am working with, I typically get a few different answers. Many managers will say that they own what is delivered each day by the collectors on their team. Many collectors will say that their manager is responsible for their output because they tell them what to do. Sometimes I will get managers and collectors to say ...

Industry Claims Soar in January

WebRecon’s latest report shows litigation increased in January across the board for Fair Debt Collection Practices Act, Fair Credit Reporting Act and Telephone Consumer Protection Act claims.

Federal Regulators Continue their Focus on Fair Lending and Appraisal Bias

As 2024 gets off the ground, federal regulators are continuing their focus on fair lending issues. In February, the Federal Financial Institutions Examination Council (FFIEC) released a statement on examination principles related to valuation discrimination and bias in residential lending.

AG Nessel Advises Consumers To “Slam the Scam” During National Consumer Protection Week

LANSING – As part of the Federal Trade Commission’s (FTC) National Consumer Protection Week, Michigan Attorney General Dana Nessel is encouraging residents to “Slam the Scam” on March 7.

Nevada offers fewer consumer debt protections than almost every other state, report says

Nevada is one of the worst states in the nation when it comes to offering consumer debt protections, according to a new analysis by the National Center for Access to Justice at Fordham Law School. Nevada ranked 47th in the nation on NCAJ’s Consumer Debt Litigation Index, which analyzes states against 24 specific policies designed to protect consumers.

U.S. Department of Education Imposes $14 Million Fine Against Liberty University for Clery Act Violations

The U.S. Department of Education (Department) today announced its office of Federal Student Aid (FSA) is imposing a $14 million fine as a result of a settlement agreement with Liberty University (Liberty) for material and ongoing violations of the Jeanne Clery Disclosure of Campus Security Policy and Campus Crime Statistics Act (Clery Act), including with respect to its published crime statistics and treatment of sexual assault survivors.

Powell reinforces position that the Fed is not ready to start cutting interest rates

In prepared remarks for congressionally mandated appearances on Capitol Hill Wednesday and Thursday, Powell said policymakers remain attentive to the risks that inflation poses and don’t want to ease up too quickly.

Credit scores decrease for the first time in a decade as more borrowers fall behind on payments

The national average credit score, which has steadily increased over the last decade, fell to 717 from a high of 718 in the beginning of 2023, according to a report from FICO, developer of one of the scores most widely used by lenders. FICO scores range between 300 and 850.

FTC reports Coloradans lost $164M to fraudsters last year

DENVER (KDVR) — The Federal Trade Commission is helping celebrate National Consumer Protection Week by sharing data about fraud in the U.S. Nationwide, Americans lost over $10 billion to fraud and scams, with Colorado residents losing $164.2 million.

New “Consumer Debt Litigation Index” Ranks States on Best Policies for Access to Justice

The National Center for Access to Justice (NCAJ) at Fordham Law School today announced the release of the Consumer Debt Litigation Index, an on-line resource that demonstrates that every U.S. state and the District of Columbia lack essential legal standards to protect consumers from wrongful, abusive debt collection tactics that can lead to homelessness, family breakup, overwhelming stress and other devastating consequences for families and individuals. There are signs of progress and many states are trying to improve, but every state has a long way to go. 

In Recognition of National Consumer Protection Week, Attorney General Bonta Highlights Recent DOJ Consumer Protection Action, Urges Consumers to Know Their Rights

OAKLAND – In recognition of National Consumer Protection Week, California Attorney General Rob Bonta today highlighted ongoing efforts to protect California consumers and urged Californians to report misconduct or violations of state consumer protection laws to the California Department of Justice (DOJ) at oag.ca.gov/report. Complaints submitted by the public provide DOJ with important information about potential misconduct to help determine whether to investigate a business or individual.

CFO Jimmy Patronis Issues Proclamation Recognizing National Consumer Protection Week

TALLAHASSEE, Fla. – Today, Chief Financial Officer (CFO) Jimmy Patronis issued a proclamation recognizing the week of March 3^rd through March 9^th, 2024 as National Consumer Protection Week. Since 2017, CFO Patronis has made it a top priority to protect consumers from fraud by launching the Fraud Free Florida initiative and standing up additional fraud investigative task forces throughout the state. If you or someone you know is suspicious of fraud, report it immediately at FraudFreeFlorida.com.

Credit Unions’ Product Innovations Pay off With New Members

An increasing number of former bank customers are transitioning away from those institutions in favor of becoming credit union members. These newly minted members are migrating to credit unions due to the appeal of competitive interest rates, lower fees and the accessibility of staffers, The Wall Street Journal reported Tuesday (March 5)

Bump It Up! Boost Your Collections Success – Goes Virtual

The BUMP IT UP! collection class has transitioned from strictly an onsite classroom into the virtual realm! Now, from the comfort of your own office, and with your own team, collection professionals can finetune their collection skills and performance. The BUMP Call Monitoring Program reinforces the BUMP Call Model and provides a Bump Scorecard tool that collection managers and supervisors can use to evaluate how well each collector is executing their calls.

CFPB ISSUES ORDER ESTABLISHING SUPERVISORY AUTHORITY OVER NONBANKS

On February 23, 2024, the Consumer Financial Protection Bureau (“CFPB” or “Bureau”) published an order establishing supervisory authority over a small-loan consumer finance company, using a Dodd-Frank Act provision that allows the Bureau to supervise certain nonbanks that it has reasonable cause to determine pose risks to consumers (the “Order”). The Order represents the CFPB’s first publicized use of this authority in a contested case.

Navigating Minnesota Debt Collection Laws: Essential Auditing Practices for Compliance

In the realm of debt collection, adherence to regulations isn’t just a suggestion—it’s a legal obligation.  Recently, Minnesota has adjusted the dates that collection agency’s licenses must be renewed.  This change sparked ideas on how to potentially audit your Minnesota collection agencies to adhere to the new adjustment as well as verifying that already implemented laws are being followed.

Our auto finance data pilot

The auto finance market has seen significant change over the past two years. Car prices have risen substantially, leading to larger loan amounts and higher monthly payments. These more expensive loans are beginning to have an impact on consumer and household financial stability.

Assistant Attorney General Kristen Clarke Delivers Remarks at America’s Credit Union’s Governmental Affairs Conference

Good afternoon. I am Kristen Clarke, Assistant Attorney General for Civil Rights at the U.S. Department of Justice. I am delighted to be here today to address America’s credit unions. Credit unions are a cornerstone of a strong economy, and an economy that is equally accessible to all people.

American Bar Association Moves to Dismiss Class Action Complaint Amid Rising Tide of Data Breach Litigation

The number of data breaches in the United States has increased significantly in the past ten years.  According to an IBM study, more than 4 out of 5 companies have experienced a data breach at least once. 

New CFPB rule caps banks’ credit card late fees at $8

The new rule, long expected after an initial proposal was floated early last year, comes after the agency said it reviewed market data related to the 2009 Card Act. Regulations tied to that law granted card issuers the ability to charge ever-increasing amounts of late fees.

McHenry Criticizes CFPB Final Rule on Credit Card Late Fees

Comments from U.S. Rep. Patrick McHenry, chairman of the House Financial Services Committee, highlight how the bureau’s new rule on credit card late fees raises the cost of borrowing for all consumers and is politically motivated. 

US Fed’s progress against inflation ‘not assured’: Powell

The US Federal Reserve's progress in bringing down inflation is "not assured," the chair of the country's central bank told lawmakers in Washington Wednesday, on the first of two days of hearings in Congress.

Consumers Like Open Banking Features, Now Banks and FinTechs Need to Deliver

Last month, a top financial industry regulator voiced concerns that banking and FinTech collaborations might be “blurring the lines” between banking and commerce. According to Michael Hsu, CEO of the Office of the Comptroller of the Currency (OCC), such “blurring” can undermine public confidence in the financial services industry, just as it did in the months leading up to the 2008 global financial meltdown.

Rise in Healthcare Data Breaches & the Impact for Healthcare Providers in 2024

The healthcare sector is increasingly facing cyber-threats with ransomware and hacking at the forefront. In the last five years, there has been a staggering 256% rise in significant hacking-related breaches and a 264% surge in ransomware incidents reported to the U.S. Department of Health and Human Services (HHS) Office for Civil Rights (OCR). Hacking alone was responsible for 79% of the major breaches reported to OCR in 2023.

California AG Warns State-Chartered Banks and Credit Unions on Fees

On February 22, California Attorney General Rob Bonta sent letters to 197 state-charted banks and credit unions warning them that certain fees they charge may constitute “unfair” business practices under California’s Unfair Competition Law and the federal Consumer Financial Protection Act. Bonta encouraged the financial institutions to review their policies and procedures to ensure consumers were not being assessed these fees.

Attorney General James Sues Large-Scale Predatory Lending Operation Targeting Small Businesses

NEW YORK – New York Attorney General Letitia James today filed a lawsuit against a major operation of over 30 companies and individuals for exploiting small businesses through fraudulent loans at sky-high interest rates disguised as merchant cash advances. The companies and individuals sued by Attorney General James include Yellowstone Capital and its founder David Glass, Delta Bridge Funding, and several other individuals who negotiated and serviced the illegal loans.

Governor Hobbs Launches Affordable Arizona: Tackling Medical Debt for Working Families

Phoenix, AZ - Today, Governor Katie Hobbs announced that she is partnering with non-profit RIP Medical Debt to launch Affordable Arizona: Tackling Medical Debt for Working Families. The program will forgive medical debt for up to one million working class Arizonans.       

Vermont AG marks Consumer Protection Week with top ten consumer complaints of 2023

Vermont Business Magazine In recognition of National Consumer Protection Week, Attorney General Charity Clark announced the top 10 consumer complaints received by her office’s Consumer Assistance Program (CAP) in 2023. Claiming the list’s top spots are consumer complaints involving vehicles, home improvement, and retail, which collectively represent 43 percent of all complaints filed in 2023.

During National Consumer Protection Week, AG Campbell Announces $800,000 Grant Program To Expand Access To Legal Services For Consumers Facing Unlawful Debt Collection

BOSTON — During National Consumer Protection Week, Attorney General Andrea Joy Campbell announced a new grant that will provide up to $800,000 in funding to nonprofit legal services organizations offering legal assistance to low-income consumers who are vulnerable to unlawful asset and income seizures by debt collectors and creditors.

West Virginia Proposes Mini-TCPA Law

In late January, the West Virginia Legislature introduced two bills aiming to regulate and expand the telemarketing laws in West Virginia.

CFPB Bans Excessive Credit Card Late Fees, Lowers Typical Fee from $32 to $8

WASHINGTON, D.C. – The Consumer Financial Protection Bureau (CFPB) finalized a rule today to cut excessive credit card late fees by closing a loophole exploited by large card issuers. The rule will curb fees that cost American families more than $14 billion a year. The CFPB estimates that American families will save more than $10 billion in late fees annually once the final rule goes into effect by reducing the typical fee from $32 to $8. This will be an average savings of $220 per year for the more than 45 million people who are charged late fees.

District Court Denies Stay of Lawsuit Pending Supreme Court’s Decision on the CFPB’s Funding Structure

The U.S. District Court for the Western District of New York has denied United Holding Group’s motion to stay a case on alleged violations of the Fair Debt Collection Practices Act until the Supreme Court issues a decision in Consumer Financial Protection Bureau v. Community Financial Services Association of America Limited (CFSA).

NCUA Charters New Jersey State PBA Federal Credit Union

ALEXANDRIA, Va. (March 4, 2024) – The National Credit Union Administration has granted a federal charter and Share Insurance Fund coverage to New Jersey State PBA Federal Credit Union in Woodbridge, New Jersey

Attorney General Kris Mayes Kicks Off Consumer Protection Week 2024

PHOENIX – Attorney General Kris Mayes is kicking off Consumer Protection Week by releasing a list of the 2023 Top Consumer Fraud Complaint trends and providing tips to avoid falling victim to scams. National Consumer Protection Week is an annual opportunity for government agencies, consumer protection groups, and the public to work together to help everyone understand their consumer rights and help prevent fraud before it happens.   

Attorney General James Releases Top 10 Consumer Complaints of 2023

NEW YORK – New York Attorney General Letitia James kicked off National Consumer Protection Week by releasing a list of the top 10 consumer complaints received by the Office of the Attorney General (OAG) in 2023. The top complaints range from price gouging of essential goods and services to housing issues, online banking fraud, and travel related issues. Attorney General James also provides a variety of tips on how consumers can avoid common scams. 

Statement of CFPB Director Rohit Chopra on the Final Rule to Close the Credit Card Late Fee Loophole

WASHINGTON, D.C. — The Consumer Financial Protection Bureau is taking action to rein in junk fees on credit cards, increase competition, and put billions of dollars back in the pockets of American families. We are finalizing a rule that will lower the typical late fees charged by big credit card issuers from an average of $32 down to $8 in most cases.

FTC Cracks Down on Mass Data Collectors: A Closer Look at Avast, X-Mode, and InMarket

Three recent FTC enforcement actions reflect a heightened focus on pervasive extraction and mishandling of consumers’ sensitive personal data.

CFPB to rein in rigged comparison-shopping results for credit cards and other products

The Consumer Financial Protection Bureau (CFPB) is highlighting to law enforcement agencies and regulators how companies operating comparison-shopping tools can break the law when they steer consumers to certain products or lenders because of kickbacks. Consumers use comparison-shopping tools to evaluate the costs, features, and terms of many financial products. These include credit cards, loans, and bank accounts.

Show Me the Money: AG Bonta Warns California Small Banks and Credit Unions Against Surprise Fees

California AG Rob Bonta issued letters to small banks and credit unions warning that overdraft and returned deposited item fees likely violate the state’s Unfair Competition Law and the federal Consumer Financial Protection Act.

Blue Federal Credit Union’s Merger with Aventa Credit Union Is Official

Cheyenne, Wyoming, March 01, 2024 (GLOBE NEWSWIRE) -- Aventa Credit Union, based in Colorado Springs, has fully merged with Blue Federal Credit Union, based in Cheyenne, Wyoming. The merger was approved by Aventa members on February 26, 2024, and officially takes effect on March 1.

Appellate court upholds $21 million judgment against for-profit college regarding unfair competition and false advertising claims

Appellate court upholds $21 million judgment against for-profit college regarding unfair competition and false advertising claims

AG Ferguson request bill to help more than 35,000 Washington veterans access state benefits passes legislature unanimously

OLYMPIA — Today, the Washington state Legislature unanimously passed Attorney General request legislation sponsored by Rep. Mike Volz, R-Spokane, that will expand state benefits to more than 35,000 Washington veterans. It now heads to the governor’s desk to be signed into law.

U.S. Commercial Foreclosures Increase in January 2024

IRVINE, Calif. — February 22, 2024 — ATTOM, a leading curator of land, property, and real estate data, today released a special report on U.S. Commercial Foreclosures. The report reveals a significant climb in commercial foreclosures over the years, from a low of 141 in May 2020 to the current figure of 635 in January 2024. This represents a steady increase throughout the period.

Telephone and Texting Compliance News: Regulatory Update — FCC Confirms TCPA Bars AI-Generated Voices, Adopts New Consent Revocation Rights Rules for Texts, Cuts 13 Entities from Robocall Mitigation Database

Following up on January’s update, the Federal Communications Commission (FCC) issued a Declaratory Ruling that confirms that the prohibitions in the Telephone Consumer Protection Act (TCPA) covering prerecorded or artificial voice calls apply to real voices generated by artificial intelligence (AI).

With medical debt burdening millions, a financial regulator steps in to help

Since then, the CFPB has done its share of policing mortgage brokers, student loan companies, and banks. But as the U.S. health care system turns tens of millions of Americans into debtors, this financial watchdog is increasingly working to protect beleaguered patients, adding hospitals, nursing homes, and patient financing companies to the list of institutions that regulators are probing.

Unmasking Digital Deception: CFPB Targets Unfair Practices Among Comparison-Shopping Tools

WASHINGTON, D.C. — The Consumer Financial Protection Bureau (CFPB) just fired a shot across the bow of companies operating comparison-shopping tools. Often accused of manipulating consumer choices, these corporations are now under the eagle-eyed scrutiny of the CFPB. The agency recently issued a detailed circular to law enforcement agencies and regulators, shedding light on how these companies might find themselves on the wrong side of the law when they steer consumers to certain products or lenders due to elusive kickbacks.

6.1 Million Americans Did This to Prevent Identity Theft Last Tax Season

Letting someone else file your tax return sounds like a pretty sweet deal -- unless that person is an identity thief after your refund. It happens more often than you'd think. Last year, the IRS flagged 1.1 million tax returns with refunds totaling $6.3 billion for additional review due to suspected identity theft. More than 12,000 of these were confirmed as of March 2, 2023.

Transparency Matters: The Value of Open Communication in Oversight

In the world of collection agency oversight, transparency is not just a buzzword – it’s a fundamental principle that underpins trust, accountability, and effective collaboration. Transparent communication is the cornerstone of successful relationships between businesses and collection agencies, fostering mutual understanding, alignment of goals, and proactive problem-solving. Let’s delve deeper into why transparent communication is crucial in the realm of collection agency oversight and how it can drive positive outcomes for all parties involved.

Fewer banks are tightening lending standards, raising hopes for easier loan access ahead

NEW YORK — Fewer banks tightened lending standards as 2023 came to a close, a hopeful sign for businesses that broader loan access is on the horizon.

CFPB to rein in rigged comparison-shopping results for credit cards and other products

The Consumer Financial Protection Bureau (CFPB) is highlighting to law enforcement agencies and regulators how companies operating comparison-shopping tools can break the law when they steer consumers to certain products or lenders because of kickbacks. Consumers use comparison-shopping tools to evaluate the costs, features, and terms of many financial products. These include credit cards, loans, and bank accounts.

Carmakers are failing the privacy test. Owners have little or no control over data collected

BOSTON (AP) — Most major car manufacturers admit they may be selling your personal information — though they are vague on the buyers, a new study finds, and half say they would share it with the government or law enforcement without a court order.
The proliferation of sensors in automobiles — from telematics to fully digitized control consoles — has made them prodigious data-collection hubs.

Third Party Auditing Workshop

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Webinar – Bankruptcy Filings: The New Normal or the Calm Before the Storm?

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RMAI 2024 Executive Summit