On January 8, 2024, the Consumer Bankers Association (CBA) announced the launch of a new microsite, overdraftfacts.com, to demonstrate the value overdraft services provide to consumers, highlight bank-driven overdraft and non-sufficient funds (NSF) innovations and reforms that have significantly reduced consumer costs, and serve as a resource for policymakers. The microsite also includes statements from regulators, legislators, scholars, thought leaders, and the media; input about the CFPB’s planned NSF and overdraft fee rulemaking; and related industry articles.… Continue Reading
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CBA weighs in on the CFPB’s proposed expansion of what constitutes a credit report
By Elanor A. Mulhern on
The Consumer Bankers Association (“CBA”) recently published a letter it sent to the CFPB describing the information that banks typically use for identity verification and fraud prevention and addressing the impact of subjecting such information to the requirements of the Fair Credit Reporting Act (“FCRA”).
The letter is a response to CFPB Director Chopra’s recent remarks detailing proposed changes to the FCRA.… Continue Reading
Consumer Bankers Association Challenges CFPB Proposal to Lower Credit Card Late Fees
By Andrew Carobus on
On April 17, the Consumer Bankers Association (CBA) issued a news release responding to the CFPB’s proposal to lower the credit card late fee safe harbor amount to $8. The CFPB claims that, even though Congress banned excessive credit card late fees, credit card companies have exploited a regulatory loophole “to escape scrutiny for charging an otherwise illegal junk fee.” … Continue Reading
FAA Preemption Petitions Now Ripe for SCOTUS Conference
By Alan S. Kaplinsky on
Posted in Arbitration, Litigation and Court Decisions
Briefing is now complete on the petitions for certiorari in the Blair v. Rent-A-Center appeals that could produce the next blockbuster U.S. Supreme Court arbitration decision. At issue is whether the Federal Arbitration Act (FAA) preempts California’s McGill Rule. Under the McGill Rule, an arbitration agreement that precludes a consumer from pursuing claims for “public” injunctive relief in court or in arbitration is unenforceable under California law.… Continue Reading
Misreading bankers’ worries: a response to Professor Sovern
By Alan S. Kaplinsky on
Posted in Regulatory and Enforcement
In a blog post yesterday, Professor Sovern referenced Politico’s report that at the Consumer Bankers Association’s annual conference this week, unlike from 2012-2016, the “regulatory environment” was not identified as a “top worry” by bankers. According to Professor Sovern, this “raises a question about why Congress is working on a bill to reduce the regulatory burden banks face.” … Continue Reading