Read the latest on the Consumer Financial Protection Bureau (CFPB).
- The Good Guy Wins
New York Times 22 Jul 2013
Two years after his nomination by President Obama, Richard Cordray was confirmed last week as director of the Consumer Financial Protection Bureau (CFPB). This will allow the agency to build on its existing accomplishments, including a crackdown on abusive credit card tactics, and boost other projects, such as the regulation of credit reporting agencies and debt collectors.
- Senate Confirms Cordray to Head Consumer Financial Protection Bureau
Washington Post 17 Jul 2013
The U.S. Senate on July 16 confirmed Richard Cordray to head the Consumer Financial Protection Bureau (CFPB), ending two years of political debate over the agency's leadership. He was confirmed by a 66-to-34 vote, paving the way for more aggressive regulation of the financial services industry.
- Running the Numbers: 199,721
Bloomberg Businessweek 15 Jul 2013
Last year, third-party debt collectors raked in $12 billion by pursuing outstanding debts, according to Philadelphia-based Corporate Advisory Solutions LLC. Since the economic downturn in 2007, debt collectors have been using bolder tactics -- including accusations of lying, general harassment, and threats of arrest over the phone.
- CFPB Moves Full Bore Against Debt Collectors, Bank Partners
American Banker 15 Jul 2013
The Consumer Financial Protection Bureau (CFPB) is taking a hard line against the debt collection industry, threatening enforcement, new rules, and public excoriation in a move to crack down on business it sees as rife with questionable consumer practices.
- Will Predatory Lenders Get Fat on Immigration Reform?
Washington Monthly 13 Jul 2013
Immigration reform could possibly include requirements that undocumented residents obtain legal status by paying penalties and back taxes, driving them to seek the services of unscrupulous legal advisers and predatory financial-service providers. The Senate’s Gang of Eight proposal, for example, would require $2,000 in fees and penalties as well as back taxes for every previous year of employment.
- CFPB Finalizes Changes to Mortgage Rules
American Banker 12 Jul 2013
The Consumer Financial Protection Bureau (CFPB) has finalized clarifications to its ability-to-repay and mortgage servicing rules, including notes on calculating a borrower's debt-to-income ratio. The clarifications, which apply to rules taking effect in January 2014, are meant to help bankers determine what loans will be considered a "qualified mortgage."
- 16 Senators Seek Inquiry of A.T.M.-Style Pay Cards
New York Times 12 Jul 2013
Sixteen Democratic senators sent a letter to Consumer Financial Protection Bureau (CFPB) director Richard Cordray and Seth Harris, acting secretary of the Labor Department, asking them to "take swift action to protect American workers" by examining the use of ATM-style cards to pay hourly workers.
- Consumer Bureau Plans Curbs on Bank Debt Collection
Wall Street Journal 10 Jul 2013
The Consumer Financial Protection Bureau (CFPB) is warning banks, payday lenders, finance companies, and other lenders that falsely representing the size of a consumer's debt or their legal right to collect the money or engaging in other questionable practices is against the law.
- Woodstock Institute Defends CFPB Data Depot
Housing Wire 10 Jul 2013
The Consumer Financial Protection Bureau is catching flak from some corners because of its efforts to gather consumer financial data. While the agency is collecting information for the purpose of shaping policy to help protect the public, some view the campaign as a privacy issue.
- Valley Community Bankers Say Payday Loans a No-Go
Fresno Business Journal 10 Jul 2013
Although former Consumer Financial Protection Bureau Deputy Director Raj Date called on banks to create an affordable payday loan system, community bankers in California's Central Valley are opposed to doing so. They say there is no demand for it, and regulations would make such a venture unprofitable.
- The Secret Credit Scores That Run Your Life
Deseret News (UT) 09 Jul 2013
Credit scores available online to consumers may not be the same as those used by lenders, and the differences could cost consumers thousands of dollars. Creditors submit data, such as the payment status on a car loan, to the three big credit reporting agencies: Equifax, Experian, and TransUnion.
- Taking Consumer Complaints Seriously
U.S. News & World Report 05 Jul 2013
More than 120,000 people have submitted formal complaints to the Consumer Financial Protection Bureau (CFPB) through its online Complaint System or the "Tell Your Story" feature on the agency's website. When the CFPB receives a complaint, it contacts the relevant company and gives it two weeks to acknowledge the complaint and two months to respond.
- CFPB Hints at More to Come on Mortgages, Non-Banks
Credit Union Times 05 Jul 2013
In a semi-annual update to its regulatory agenda released on July 3, the Consumer Financial Protection Bureau indicated that it will work to implement and clarify new housing finance disclosures by early next year.
- Credit Unions Want Change to Check Rules
The Hill 03 Jul 2013
The National Association of Federal Credit Unions sent a letter to Consumer Financial Protection Bureau (CFPB) Director Richard Cordray asking for extra time to hold checks before making the money available to consumers.
- Banks Seek a Détente With New Consumer Bureau
Wall Street Journal 02 Jul 2013
Executives from more than 20 banks have met privately with senior officials at the Consumer Financial Protection Bureau (CFPB) to ease tensions and convey their concerns about the agency's approach to its investigations. The agency recently published "responsible conduct" guidelines for financial firms to help them better cooperate with CFPB investigations, which could lead to smaller penalties.
- Downfall of Subprime Cards Spawns Opportunity
American Banker 28 Jun 2013
he subprime credit card market has plummeted in the past six years, with credit card issuers in the first quarter sending out just 21 million direct mailings for cards that carried fees and offered no rewards.
- CFPB Accused of Targeting 5 Million Americans for 'Warrantless' Financial Surveillance
U.S. News & World Report 27 Jun 2013
The government watchdog group Judicial Watch reported on June 27 that the Consumer Financial Protection Bureau (CFPB) has outlined a program that would allow the agency to track the financial records of 5 million Americans, using credit information in a variety of research projects. The program's guidelines sugges...
- U.S. Bank to Pay Back Military Customers as CFPB Cracks Down
Bloomberg BusinessWeek 27 Jun 2013
U.S. Bancorp (USB) and a partner company, Dealers' Financial Services (DFS), will repay roughly $6.5 million to settle Consumer Financial Protection Bureau (CFPB) claims that...
- CFPB Issues Rule Outlining Non-Bank Supervision Procedures
Reverse Mortgage Daily 26 Jun 2013
The Consumer Financial Protection Bureau has issued a rule spelling out its power to supervise certain non-banks whose financial products or services may present a risk to consumers.
- Supreme Court Case May Have Big Impact on CFPB
American Banker 25 Jun 2013
The Supreme Court is scheduled to hear two cases later this year that could drastically impact lenders and potentially challenge the legality of certain new regulations.