Yet another panel discussion at the ABA Consumer Financial Services Committee just held in Naples, Florida, entitled “Preparing for CFPB Exams and Enforcement” involved two speakers from the CFPB: Kristen Donaghue, a lawyer in the Office of Enforcement, and Calvin Hagins, Assistant Regional Director, Southwest Region.
Ms. Donaghue described the CFPB enforcement actions and investigations that were already a matter of public record.… Continue Reading
Earlier today, we reported on the panel discussion of the lawsuit filed by State National Bank of Big Spring that took place at the ABA Committee on Consumer Financial Services in Naples, Florida during a session entitled “State National Bank of Big Spring, et al. v. Geithner, et al. – Is the CFPB Constitutional?” … Continue Reading
The programming at the ABA Consumer Financial Services Committee meeting included an excellent panel discussion addressing whether the creation of the CFPB and the appointment of Director Richard Cordray were Constitutional. Currently pending in federal district court, a lawsuit filed by State National Bank of Big Spring against the CFPB, the Department of Treasury, Richard Cordray, and a number of other federal officials alleges that the formation and operation of the CFPB violate the Separation of Powers Doctrine. … Continue Reading
During one of the panel discussions at the ABA Consumer Financial Services Committee meeting, a speaker indicated that the newly elected Mayor of Mt. Holly, NJ has publicly stated that he is interested in settling the case now pending before the U. S. Supreme Court. As we previously reported, a cert petition is pending before the Court which once again tees up the question of whether a Fair Housing Act violation can be established through evidence of disparate impact on a protected class.… Continue Reading
At the ABA Consumer Financial Services Committee meeting earlier this week, Rick Hackett, Assistant Director of the Research, Markets and Regulations Division of the CFPB, spoke about “Discretionary Pricing in Indirect Auto Finance.” Rick made it very clear that the CFPB is sticking to its position that the disparate impact theory applies under the Equal Credit Opportunity Act.… Continue Reading
The discussions at the ABA Consumer Financial Services Winter Meeting have reached biblical proportions (literally). The participants on yesterday’s CFPB Exams and Enforcement panel read from the New Testament on “ravening wolves in sheep’s clothing” (later clarified as NOT a reference to CFPB enforcement attorneys) and how the “wise man built his house upon a rock” (the rock being a strong compliance program). … Continue Reading
We previously reported that the Bureau had sent warning letters to many mortgage originators and brokers chastising them about certain advertising practices. Yesterday, at the ABA Consumer Financial Services Committee meeting, Chris Peterson (a policy analyst in the Bureau’s enforcement division) mentioned during his presentation that the Bureau has launched investigations of some recipients of these letters.… Continue Reading
I am at the ABA Consumer Financial Services Committee’s meeting in Naples, Florida. (There is record attendance at this year’s meeting—nearly 225 consumer financial services lawyers. I am sure that the CFPB deserves some credit for this.) And yesterday morning, I listened to a panel on CFPB exams and enforcement actions on which Calvin Hagins, the leader of the CFPB’s examination staff, spoke. … Continue Reading
A recent CFPB blog post warning Native Americans receiving payments from the settlement in Cobell v. Salazar that they could be targeted by scammers also highlights the CFPB’s collaboration with tribal governments.
In the post, the CFPB indicates that its “enforcement team will continue to be on the watch for scams and other harmful financial products that target Native Americans” and directs consumers and tribal leaders to “[r]eport problems with payday loans, settlement anticipation loans, auto loans, or anything bought with credit.”… Continue Reading
Because of their potential implications for the validity of CFPB Director Cordray’s appointment, we have been following several pending cases challenging the National Labor Relations Board’s authority to take various actions based on the alleged invalidity of President Obama’s recess appointment of three individuals to the NLRB.
On December 26, the Seventh Circuit issued an opinion in Richards v.… Continue Reading