CFPB, Federal Agencies, State Agencies, and Attorneys General
The CFPB has taken action against Global Tel Link Corporation (GTL) over allegations that the company took millions of dollars from a half-million accounts and blocked money transfers to consumers who are incarcerated. Those prisoners relied on those funds for food, medicine and clothing.
The CFPB is ordering GTL and its subsidiaries to stop the allegedly illegal activity, pay at least $2 million in redress to victims and pay $1 million civil monetary penalty.… Continue Reading
The CFPB has issued a final rule to supervise large nonbank financial services providers that offer general-use digital consumer payment applications such as digital wallets and peer-to-peer payment apps.
Many of those apps are owned by large technology companies. While banks and credit unions are subject to CFPB supervisory examinations, many of the largest technology firms offering consumer payment services have not been subject to that scrutiny, according to the CFPB.… Continue Reading
The CFPB will hold two virtual sessions later this month to answer questions about its Nonbank Enforcement Action Registry rule. The rule, issued in June 2024, will require certain nonbank entities to register certain covered administrative or court orders, and certain nonbank entities to comply with ongoing attestation requirements on the entity’s compliance with such orders
The two sessions—the first on December 11 and the second on December17—will feature staff from the bureau’s Nonbank Registration Team.… Continue Reading
The CFPB has issued a final rule regarding various annual adjustments it is required to make under provisions of Regulation Z under the Truth in Lending Act (TILA) that implement the CARD Act, Home Ownership and Equity Protection Act (HOEPA), and the ability to repay/qualified mortgage provisions of TILA. The adjustments reflect changes in the Consumer Price Index (CPI) in effect on June 1, 2024 and will take effect January 1, 2025.… Continue Reading
You will not want to miss this 3-part webinar series about the “new” CFPB which will begin doing business on January 20.
Operating under the venerable principle that “the past is prologue,” we decided that the best way to predict what may happen at the CFPB during the next Trump Administration would be to invite as special guests two of the most senior leaders at the CFPB during Trump’s first term in office.… Continue Reading
A panel of the Fifth Circuit Court of Appeals has set March 30, 2025 as the effective date of the CFPB’s payday lending rule.
The panel had previously set a date 286 days “from the resolution of the appeal” as the effective date, but it was not clear when that period would start.… Continue Reading
FirstCash, a national pawnshop chain, cannot use the “bona-fide error defense” in its defense of a Military Lending Act (MLA) suit filed by the CFPB against the company, a federal judge has ruled in a case of first impression.
The Act’s bona-fide error defense protects the defendants from civil liability to a person, Judge Mark Pittman of the U.S.… Continue Reading
Saying that it wants to provide sufficient time to brief issues in pending litigation, the CFPB has announced that it is extending the effective date of its advisory opinion on medical debt from Dec. 3, 2024 to Jan. 2, 2025.
ACA International, the association representing the accounts receivable industry, has filed suit in the U.S.… Continue Reading
ACA International, the association representing the accounts receivable industry, has filed suit against the CFPB, alleging that the bureau’s advisory opinion on medical debt was overtly political, issued in violation of the Administrative Procedures Act (APA) and should be nullified.
The association charged that although the CFPB was designed to be independent, the bureau’s advisory opinion was announced at an event at the White House and was first introduced by Vice President Kamala Harris, who at the time was running for president.… Continue Reading
A federal court has ordered Harris Jewelry to reopen its claims process and to again notify consumers that they may submit their claims for refunds from the jewelry company.
Most of the consumers affected are active-duty servicemembers.
The U.S. District Court for the Eastern District of New York found that Harris Jewelry violated its prior settlement with the Federal Trade Commission and a multistate group led by the New York Attorney General’s Office by prematurely shutting down the claims portal.… Continue Reading
