Consumer Financial Protection Bureau Settles with NDG Financial Corp.

Washington, D.C. — The Consumer Financial Protection Bureau (Bureau) today filed a proposed settlement with NDG Financial Corp., E-Care Contact Centers, Ltd., Blizzard Interactive Corp., New World Consolidated Lending Corp., New World Lenders Corp., Payroll Loans First Lenders Corp., New World RRSP Lenders Corp., Northway Financial Corp., Ltd., and Northway Broker, Ltd. Also named are corporate officials Kimberly DeThomas, Jeremy Sabourin, and William Wrixon.  The entities and individuals are payday lenders and corporate officials based in Canada and Malta.

With New Limits On Interest, Colorado’s Payday Lenders Could Soon Close

On Friday, Colorado will severely restrict how much interest payday loan businesses can charge consumers — which could force all of them to close.  Voters made the change last November when they approved Proposition 111 by an overwhelming margin.   Colorado and 34 other states allow people to take payday loans. They’re often sold as a quick and easy way to get money for things like rent, or to pay bills, or to pay for other emergency expenses. Often, the very high interest rates trap people in a cycle of repayment. Colorado law changed in 2010 to restrict how lenders could operate, but high interest rates remained.

Cybercriminals Have Your Business In Their Crosshairs And Your Employees Are In Cahoots With Them

"Hello friend! I have some bad news for you. Your files have been encrypted!” Thus begins the ransomware email that could spell utter doom for your business. Think it can’t happen to you? You may want to think again. Cybercrime is big business. It’s projected to cost the world $6 trillion by 2021. Moreover, cybercriminals have found a sweet spot—small businesses. According to the 2018 Verizon Data Breach Investigations Report, 58% of cyber attack victims were small businesses (organizations with fewer than 250 employees).

FTC Wins Key Ruling Allowing Agency to Continue Efforts to Hold Operator of Deceptive Computer Financing Scheme Accountable

At the Federal Trade Commission’s request, a federal court has found BlueHippo Funding LLC, BlueHippo Capital LLC and Joseph Rensin in contempt for operating a deceptive computer financing scheme in violation of a federal court order that the defendants agreed to in 2008. The court also entered judgment against Rensin, BlueHippo’s CEO, for $13.4 million, the harm consumers suffered as a result of the scheme.

CBA backs student loan transparency bill

The Consumer Bankers Association (CBA) has forwarded correspondence to a pair of lawmakers in support of the Transparency in Student Lending Act.   Sen. Mike Enzi (R-Wyo.) and Rep. John Curtis (R-Utah) said the legislation would require the disclosure on the total cost of federal student loans in the form of an annual percentage rate (APR). Clear disclosure would help borrowers compare federal and private student loans on equal terms.

10-Year Challenge Could Be A Data Collection Scam

In the past few weeks, a new viral trend has provoked a serious conversation on privacy and online data collection — for those who aren’t already familiar, the 10-Year Challenge asks participants to post comparison photos of themselves in 2009 and today, with the intent of showing how much they’ve changed in the past decade. Unfortunately, some are speculating that the playful trend may have a darker purpose — namely, some are suspicious of the convenience of a broad data set including side-by-side comparisons of individuals on Facebook and Instagram, which the former owns. Such a data set is ideal for training facial recognition algorithms to better comprehend and predict changing human facial structure and features as people age. Not to mention, in training a software program, having a set time lapse is ideal for accuracy — for example, two side-by-side photographs of the same person 10 years apart.

Data breaches down, consumer exposure up in 2018

U.S. data breaches were down 23 percent in 2018 after hitting a record high in 2017; however, the amount of consumer personally identifiable information (PII) was up 126 percent, according to the Identity Theft Resource Center (ITRC). NAFCU – a leading advocate for national data security standards – continues to push for the adoption of data and cybersecurity standards for all entities that hold consumers' information.

Zcash Out To Prove Privacy Is Key To Crypto Adoption With GDPR-Avoiding Use Cases

When cryptocurrencies started hitting the mainstream, regulators soon felt themselves being drawn into to pass their judgment. Decentralisation was a sticky point, but not as much as its anonymity. Regulators and governments were suspicious of how quasi-anonymous digital payments would be used with money laundering and terrorist funding two major red flags. As time has gone on, and cryptocurrencies have accepted the need to be regulated, so has the narrative changed from the regulators. Fiat-to-cryptocurrency exchanges have been seen as centralised entities that are subject to financial rules and regulations; exchanges are being seen as money services and have to adhere to anti-money laundering rules, as well as Know Your Customer (KYC). However, other regulations have also come to the fore, some which fly directly in the face of public blockchains that store data freely and for all to see. The General Data Protection Regulation (GDPR) in the European Union is one such regulation which is aimed at data protection but contradicts blockchain’s transparent nature. It demands that user’s data be put in their control and consent.

Fed Adopts ‘Patient’ Rate Stance With Balance-Sheet Flexibility

hile and will be flexible in reducing its bond holdings, a sweeping pivot from its bias toward tighter monetary policy just last month. U.S. stocks rallied, Treasury yields fell and the dollar sank as investors digested the new message from the central bank, which marked a broader shift toward sustaining the expansion -- rather than preventing any overheating -- and follows months of criticism from President Donald Trump for raising rates too much. The Federal Open Market Committee “will be patient as it determines what future adjustments to the target range for the federal funds rate may be appropriate,” the central bank said in a statement Wednesday following a two-day meeting in Washington, opening the door for the next move to also be a cut. In a separate special statement, the Fed said it’s “prepared to adjust any of the details for completing balance sheet normalization in light of economic and financial developments.”

AG FERGUSON UPDATES STUDENT LOAN SURVIVAL GUIDE

OLYMPIA — Attorney General Bob Ferguson today released an updated Student Loan Survival Guide, which provides tips and resources for those impacted by student loans, including high school students thinking about taking out student loans, former college students making repayments and parents who cosigned loans.

Consumer Bankers Association weighs in on small-dollar lending

The Consumer Bankers Association (CBA) maintains actions by federal regulators unfavorably impact small-dollar lending consumers by forcing them to payday lenders and other less regulated sources when in need.   CBA officials said the input stems from the Federal Deposit Insurance Corporation’s (FDIC) request for information on its 2013 small-dollar guidance.

House advances three bills to improve financial oversight

The U.S. House of Representatives advanced three bills that seek to foster better financial oversight of potential bad actors and illegal activities. One of the bills is the Promoting Transparent Standards for Corporate Insiders Act (H.R. 624), sponsored by House Financial Services Chair Rep. Maxine Waters (D-CA) and Ranking Member Rep. Patrick McHenry (R-NC). This bill would protect ‘Mom and Pop’ investors from illegal insider trading and helps the Securities and Exchange Commission (SEC) better understand how to prevent illicit activity.

Point Loma Credit Union Named National City’s Business of the Year

SAN DIEGO, Jan. 29, 2019 /PRNewswire/ -- Last week the National City Chamber of Commerce awarded Point Loma Credit Union 2018 Business of the Year at their 109 [th] Annual Installation Award Ceremony. Point Loma Credit Union's roots in National City date back to the 1950s.  The credit union gives back to the National City community by holding financial seminars in both English and Spanish, hosting numerous chamber events, and volunteering for charities.

Complaint snapshot: Mortgage

One of the primary functions of the Bureau of Consumer Financial Protection (“Bureau”) is collecting, investigating, and responding to consumer complaints. Created as a result of the Dodd-Frank Wall Street Reform and Consumer Protection Act (“Dodd-Frank Act”), the Office of Consumer Response (“Consumer Response”) hears directly from consumers about the challenges they face in the marketplace, answers their inquiries about consumer financial products and services, brings their concerns to the attention of companies, and assists in addressing their complaints.

AG Healey Secures Loan Relief for Students Misled by Online Education Company

BOSTON — Attorney General Maura Healey announced today that MSW Capital, LLC, a Florida-based debt buyer, will discharge thousands of dollars of loans made to Massachusetts students to finance expensive and ineffective online study materials and educational services.

How to Protect Yourself on Data Privacy Day

Do you use social media? Have you made an online purchase? Have you clicked the “I agree” button without reading the fine print of a website’s Terms of Service? If so, there is a good chance that your personal information has been compromised.   “The websites and apps we use every day collect, store, process and share all kinds of personal information about us,” said Attorney General Ellen Rosenblum. “If that data gets in the wrong hands, bad things can happen. We need to be aware of what information is being collected and educate ourselves on how to protect that information.”

Shared National Credit Review Finds Some Improvement in Credit Quality, Risk Remains Elevated in Leveraged Loans

Federal banking agencies find that risk in the portfolio of large syndicated bank loans has declined, due to improving conditions in most sectors. Despite the improvement, the dollar volume of loans rated below “pass,” as a percentage of total loans, remains elevated compared with levels experienced in prior economic cycles, according to the Shared National Credit (SNC) Program Review.

Hey Nineteen: Nine FTC developments that could impact your business in 2019

Steely Dan may be one of the best duos of the rock era. (Sorry, Donnie and Marie fans.) Their song “Hey Nineteen” reminds us to mention some FTC consumer protection developments that could be of interest to your company or clients in 2019. As “Any Major Dude Will Tell You,” when you’re “Reelin’ in the Years” – or at least recapping the past one – consider this non-exhaustive and in-no-particular-order case compilation.

Colorado foreclosure system under the microscope in U.S. Supreme Court case

Colorado's century-old public-trustee foreclosure system, the only one of its kind in the country, could be gutted if a Pueblo man wins his case before the U.S. Supreme Court, legal experts say.  The court this month took up the case of Dennis Obduskey, 63, who says lawyers representing banks in the foreclosure process are little different than debt collectors who pester consumers to pay up on an overdue credit card or other unpaid bills.

About Data Privacy Day

Data Privacy Day began in the United States and Canada in January 2008 as an extension of the Data Protection Day celebration in Europe. Data Protection Day commemorates the Jan. 28, 1981, signing of Convention 108, the first legally binding international treaty dealing with privacy and data protection. Data Privacy Day is observed annually on Jan. 28.  The National Cyber Security Alliance (NCSA) officially leads the Data Privacy Day campaign and is advised by a distinguished advisory committee of privacy professionals to help the campaign align with the most current privacy issues in a thoughtful and meaningful way.

Data: How older shoppers use fintech

Americans 50 and older are a sizable portion of the U.S. population — 115 million individuals in 2018 and growing to 132 million in 2030, according to Census Bureau data and AARP estimates. While these consumers may not be the first to use mobile P2P apps such as Venmo or Zelle, they represent a big payment opportunity because of their economic purchasing power. According to estimates from AARP, for each dollar spent in the U.S., 51 cents are spent by people over the age of 50. This group will spend upward of $84 billion annually on technology products by 2030, many of which are payment-enabled.

Office of Servicemember Affairs – Annual Report

The Office of Servicemember Affairs at the Bureau monitors and analyzes complaints from servicemembers, veterans, and their families (collectively referred to as “servicemembers” in this report). Complaints submitted by servicemembers serve as a key initial indicator of emerging issues and continuing trends in the financial marketplace. This report provides data and analysis around the most common complaints submitted by servicemembers to the Bureau. This report also highlights emerging issues and continuing trends facing servicemembers in the financial marketplace such as:

CFPB Announces Changes to Senior Leadership

Washington, D.C. — Consumer Financial Protection Bureau Director Kathleen L. Kraninger today announced leadership changes within the Bureau. The positions being announced today are:    Policy Associate Director for External Affairs; West Regional Director; Acting Chief Communications Officer; Deputy Associate Director for External Affairs; and the Director for the Office of Minority and Women Inclusion.

Consumer Financial Protection Bureau Reaches Settlement with Enova International, Inc.

Washington, D.C. — The Consumer Financial Protection Bureau (Bureau) today announced a settlement with Enova International, Inc., an online lender that extends unsecured payday and installment loans, and lines of credit based in Chicago, Illinois.   As described in the consent order, the Bureau found that Enova violated the Consumer Financial Protection Act of 2010 by debiting consumers’ bank accounts without authorization. While consumers authorized Enova to deduct payments from certain accounts, the company in many instances debited different accounts that the consumers had not authorized it to use. The Bureau found also that Enova failed to honor loan extensions it granted to consumers.

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Receivables Management Association 22nd Annual Conference

FTC Hearing on Competition and Consumer Protection in the 21st Century – February 2019

Federal Trade Commission

ACA International Spring Forum & Expo 2019

ACA International

LendIt Fintech USA 2019

LendIt Fintech

NCUCA – National Credit Union Collection Alliance

NCUCA - National Credit Union Collection Alliance

Collection & Recovery Solutions 2019

Resource Management Services, Inc.

National Creditors Bar Association 2019 Spring Conference

National Creditors Bar Association

PrivacyCon 2019

Federal Trade Commission

ACA International 2019 Annual Convention & Expo

ACA International

Debt Connection Symposium & Expo 2019

Resource Management Services, Inc.

National Creditors Bar Association 2019 Fall Conference

National Creditors Bar Association