Regulatory and Enforcement

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The Federal Trade Commission recently issued a proposed policy statement that could reshape how financial services firms use AI-powered tools. The proposed statement, titled “Proposed Policy Statement Concerning the Suppression of Accuracy in Artificial Intelligence Systems,” puts AI developers on notice that altering AI outputs away from accuracy, even if done to comply with a state law, may constitute consumer deception under Section 5 of the FTC Act.… Continue Reading

The House Financial Services Committee has approved legislation that would establish the first comprehensive federal regulatory framework for earned wage access (EWA) providers, marking a significant development for the rapidly growing industry. The bill now moves to the full House for consideration.

If enacted, the legislation would provide long-sought federal clarity for providers of earned wage access products while also addressing the continuing debate over whether these products should be regulated as loans.… Continue Reading

In a pair of very important decisions issued today, the U.S. Supreme Court reshaped the constitutional landscape governing independent federal agencies. In Trump v. Slaughter, Court overruled the 91-year-old precedent of Humphrey’s Executor v. United States, 295 U.S. 602( 1935),  and held that members of the Federal Trade Commission may be removed by the President at will, notwithstanding statutory “for cause” removal protections.… Continue Reading

In this episode, Adam Maarec sits down with fintech thought leader Simon Taylor for a lively fireside chat focused on the rapidly evolving world of fintech, payments, and banking innovation. Adam, an experienced legal and regulatory advisor in financial services, and Simon, widely recognized for his writing, podcasts, and advisory work with fintechs, banks, VCs, and regulators, delve into some of the most relevant challenges and opportunities shaping the industry today.… Continue Reading

On a recent episode of the Consumer Finance Monitor Podcast, Alan Kaplinsky, host of the podcast, had the opportunity to interview Amelia O’Rourke-Owens, a legal scholar and former CFPB policy fellow, about her article, “Tearing Holes in Consumer Protection: Democracy’s Safety Net.” Amelia is the founder and CEO of Resilience Solutions, which provides subject matter expertise and consulting services around policy solutions and strategic planning.… Continue Reading

The federal banking agencies have proposed on May 19, 2026 the most significant overhaul of the CAMELS supervisory rating system in nearly 30 years, signaling a major philosophical shift in bank supervision under the Trump Administration. The proposal, issued by the Federal Financial Institutions Examination Council (“FFIEC”), would revise the Uniform Financial Institutions Rating System (“UFIRS”) to place greater emphasis on material financial risks and less emphasis on process-oriented supervisory criticisms.… Continue Reading

We’re pleased to offer an early preview of an upcoming episode of the Consumer Finance Monitor Podcast—and this is one you won’t want to miss.

In about a week, we’ll be releasing a special episode featuring Max Dubin, Chief of Staff to the Acting Superintendent of Banking at the New York Department of Financial Services (DFS) in conversation with our host Alan Kaplinsky, the founder, former Chair and now Senior Counsel of the Consumer Financial Services Group at Ballard Spahr. Max… Continue Reading

Following New York City Mayor Zohran Mamdani’s Executive Orders cracking down on so-called “junk fees” and “subscription traps,” city officials have begun taking action against companies and industries they say abuse consumers by imposing such fees, create such traps or otherwise violate the consumer protection laws under DWCP’s jurisdiction. While most of these actions did not involve consumer financial services as such, we felt it important for our readers to be aware of how aggressive and active this agency has become. … Continue Reading

President Trump recently issued an Executive Order entitled “Promoting Access to Mortgage Credit” seeking to promote mortgage lending by community banks and smaller banks. The Executive Order refers to community banks and smaller banks as banks with assets of less than $30 billion and $100 billion, respectively.

The premise of the Executive Order is that “[o]ver the past two decades .… Continue Reading

As previously reported, in October 2023 the CFPB and DOJ issued a joint statement regarding “the potential civil rights implications of a creditor’s consideration of an individual’s immigration status under the Equal Credit Opportunity Act (ECOA).” We were critical of the joint statement, and observed that:

“By not providing clear guidance on when the consideration of immigration status can cross the line into improper discrimination based on race or national origin, the agencies make it difficult for us to avoid the conclusion that the agencies’ primary goal in issuing the statement is to scare creditors away from using immigration status in credit decisions.”… Continue Reading